Taxing Troubles: A Double Edged Sword for the Philippines' Fiscal Health The Philippine government's proposal to hike taxes on sugary drinks, e cigarettes, and liquor has sparked debate over its potential impact on public health and revenue.
The Finance Department estimates that the tax increases will yield an average of 48 billion pesos annually over four years, but this figure is dwarfed by the estimated 81.
7 billion pesos in annual foregone revenue from pro consumer measures. The proposed tax hikes could disproportionately affect low income households, which rely heavily on these products for their daily livelihoods.