DOE Undersecretary Felix William Fuentebella said Thursday that the government requires oil companies to submit operations report on a daily, monthly, and annual basis as part of the Tax Reform for Acceleration and Inclusion (TRAIN) law, which took effect last year.
“We required the oil companies to submit the following: the daily operations report for their inventory, their monthly report, and their annual report for the closing of December 31 (2018) stocks,” Fuentebella said in a press briefing.
He added that the report must be submitted to the DOE by Tuesday, January 8.
He explained that these reports from oil firms will ensure that the increase in oil excise tax this year will be implemented on new inventories and not on old stocks of fuel products.
During the first year of implementation of TRAIN law, the government imposed PHP1-per-kilogram excise tax on liquefied petroleum gas (LPG), PHP2.50 per liter for diesel, and PHP7 per liter for gasoline.
For the second tranche of the increase, an additional PHP2-per-liter will be slapped on diesel and gasoline products, PHP1 per liter for kerosene, and PHP1 per kilogram on LPG.
“For retail stations, we will require posting when they will implement the excise tax for gas, diesel, and kerosene. Each has its own inventory,” the DOE official said in Filipino.
DOE Secretary Alfonso Cusi earlier reminded oil firms that they should not impose the new excise tax on old inventories, which is good for 15 to 30 days.