BOC missed revenue target in May amid fuel tax relief

MANILA, Philippines – The Bureau of Customs (BOC) fell short of its revenue goal in May, ending a streak of overperformance since the start of the year as weaker imports and fuel tax relief measures dampened collections.

Latest data showed that the BOC had collected P80.66 billion last month, missing its target by P1.73 billion or 2.1 percent.

READ: LPG, kerosene excise tax relief gnaws on customs collections

“This was largely due to reduced import volumes of oil and nonoil commodities, as well as the implementation of Executive Order No. 114, s. 2026, which temporarily suspended excise taxes on selected petroleum products,” the BOC said in a statement.

The Marcos administration in mid-April suspended excise taxes on kerosene and liquefied petroleum gas (LPG) for three months in response to the oil crisis linked to the Middle East conflict. The move reduced the price of a standard LPG tank by P37 and cut P5.65 from the per-liter price of kerosene.

Despite the shortfall from the suspension, May collections were still 6.62 percent higher than the P75.7 billion recorded in the same month last year.

This brought the BOC’s total revenue collections in the first five months of the year to P406.4 billion, exceeding its P397.1-billion target by 2.3 percent. The amount was likewise 6.5 percent higher than collections during the same period in 2025.

The five-month haul accounted for about 40.5 percent of the agency’s P1.003-trillion collection goal for 2026.

“The agency attributed its positive performance primarily to improved valuation and enhanced revenue collection measures, which helped offset the impact of lower import volumes during the period,” the BOC said.

According to the BOC, import volume from January to May decreased 0.53 percent to 53.88 billion kilograms.

The agency did not provide the volume for May alone nor the amount of the shortfall from the suspension of excise taxes.

In separate developments, the BOC issued a series of circulars creating two new offices and launching a new export processing system.

The agency created a Project Management Office (PMO) as an adjunct office under the Office of the Commissioner. It will serve as the oversight arm for the planning, review, implementation and monitoring of programs and projects.

Meanwhile, the former PMO was converted into a permanent Customs Policy and Issuance Office.

The BOC also established the Automated Export Declarations System (AEDS) Plus, which integrates its electronic-to-mobile system with the AEDS platforms of investment promotion. INQ