Records from the Bureau show that tax collections generated in November reached Php82.43 billion, the second highest monthly performance achieved next to the Php91.16 billion collected last April. The monthly trend, or how much the BIR collects per month, is dictated mostly by tax deadlines and the amount of taxable business activity. The target for the month of November amounted to Php86.032 billion.
Compared to the collections last year for November 2009, last month’s taxes expanded by Php12.47 billion for a growth of almost 18%. This is the 6th time this year that the BIR registered double digit growth in its monthly collection, and the 4th time in 5 months or since July 2010. The growth rate of 18% is also the highest monthly growth achieved in 32 months or almost 3 years. The previous highest monthly growth was recorded last August 2010.
In cumulative terms from January to November 2010, tax collections have reached Php753.32 billion. Compared to the same period last year in 2009 when collections reached Php682 billion, this year’s collections have expanded by Php71.41 billion for growth of 10.5%.
While it may not be feasible to reach the yearend Php860 billion target at this point, BIR Commissioner Kim Henares is hopeful that the original target at Php830 billion can be achieved. “The 830 target requires a cumulative growth of 10.3% over 2009 collections, and already from January to November BIR collections have already expanded by 10.5%.”
It may be recalled that the whole year target for 2010 was increased to Php860.4 billion from Php830.4 billion last July.
The holiday season and all the business activity that it brings may just be what the BIR needs to reach its target for December.