Philippine government to suspend excise taxes on petroleum products if oil hits $80

The new duties on fuel – and other items such as cars, tobacco and sugary drinks – are part of the Tax Reform for Acceleration and Inclusion law which took effect at the start of the year. (AFP)
Updated 05 June 2018
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Philippine government to suspend excise taxes on petroleum products if oil hits $80

DUBAI: The Philippine government will suspend the collection of excise taxes on petroleum products if global crude oil prices hit $80 a barrel to soften its impact on Filipino consumers, a presidential spokesperson said Tuesday.
The announcement comes after oil companies on Tuesday implemented their biggest price hike for gasoline products so far this year of 1.6 pesos per liter ($0.03), and prices of diesel and kerosene products up by about 1 peso a liter, with what they claimed was to reflect ‘movements in the international oil market.’
“Excise taxes will be suspended when prices, If I am not mistaken, reach $80 [per barrel]. We are ready when to suspend the collection when oil prices reach that level,” presidential spokesperson Harry L. Roque said during a press briefing.
“The collection will be suspended,” he said, as part of contingencies to protect the public from a possible oil-price shock.
The new duties on fuel – and other items such as cars, tobacco and sugary drinks – are part of the Tax Reform for Acceleration and Inclusion (TRAIN) law which took effect at the start of the year.
The first tranche of the Philippine government’s tax restructuring has been blamed for the rise in consumer prices, which rose 4.5 percent in April and breached the year’s target of between 2 percent and 4 percent.
Finance Secretary Carlos Dominguez, however, said the roughly two-thirds of the April inflation rate was due to the demands of a rapidly-expanding economy, with the TRAIN accounting for only 0.4 point of the increase instead of the estimated 0.7 point.
“We will coordinate with the Department of Finance and the Department of Budget and Management if the benefits [for poor families] aside from the P200 monthly subsidy [as part of the amelioration program] have been released,” Roque said. “There are still other benefits to be given to soften the effects of TRAIN.”


Ghosn appeals against Japan bail rejection

Updated 56 min 55 sec ago
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Ghosn appeals against Japan bail rejection

  • The court has previously refused to release Ghosn on the grounds that he could present a flight risk and destroy evidence
  • If the bail appeal is turned down he faces at least a two-month period in pre-trial detention

TOKYO: Lawyers for former Nissan boss Carlos Ghosn on Thursday appealed against a decision by a Tokyo court to refuse him bail, as he faces charges on three counts of financial misconduct.
Since his stunning arrest on November 19 the auto tycoon has languished in a Tokyo detention centre, facing questioning over allegations he under-reported his salary and tried to shift personal losses onto the company.
On January 11 he was formally charged on two of the counts and his request for bail refused again. Even his own lawyer has admitted he is likely to be kept behind bars until a trial -- which could take six months.
The court has previously refused to release the 64-year-old Franco-Lebanese-Brazilian businessman on the grounds that he could present a flight risk and destroy evidence.
The appeal came as the French government called for him to be replaced at the head of Renault, the only one of the three companies he used to head that has retained him.
Japanese firms Nissan and Mitsubishi Motors jettisoned him as boss almost immediately after his arrest, but Renault was more cautious and appointed an interim leader while Ghosn fought the charges.
If the bail appeal is turned down he faces at least a two-month period in pre-trial detention. This can be extended almost automatically by one month at a time.
His wife Carole has appealed to Human Rights Watch over his detention, saying he was being held in "harsh" conditions and subjected to round-the-clock interrogations in an attempt to extract a confession.
Ghosn has been seen only once in public since his detention, in a dramatic court appearance.
He had clearly lost a lot of weight but seemed otherwise in good health. He passionately proclaimed his innocence and his love for Nissan, a company he is widely credited with saving from the brink of bankruptcy.
"I have been wrongly accused and unfairly detained based on meritless and unsubstantiated accusations," Ghosn told a packed courtroom.