The Bureau of Internal Revenue (BIR) has renewed the suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene, effective from September 28, 2026. This decision comes through Revenue Memorandum Circular No. 100, issued by the BIR. The move aims to provide temporary relief to consumers and businesses affected by rising fuel prices.
The suspension of excise taxes on these fuels is expected to lower costs for households and industries reliant on them. The BIR stated that the measure is part of broader efforts to stabilize the economy during periods of inflationary pressure. The policy will remain in effect until further notice or until specific economic indicators show improvement.
The decision follows previous suspensions of similar taxes, indicating a pattern of short-term relief measures. Analysts suggest the move could have mixed effects, helping lower-income households while potentially reducing government revenue. The BIR has not provided a timeline for the end of the suspension, leaving the policy in place for now.
The policy change reflects ongoing government efforts to manage economic challenges through fiscal adjustments. As the suspension continues, its impact on inflation and consumer behavior will be closely monitored.
