Philippine Government `On a Roll' Against Tax Evaders: Dominguez
Philippine government plans to target additional companies in its crackdown on tax evasion.
(Bloomberg) -- The Philippine government plans to target additional companies in its crackdown on tax evasion, said Finance Secretary Carlos Dominguez
“We are on a roll, and this is part of the president’s program to make our country more law abiding," Dominguez told Bloomberg Television’s Kathleen Hays in an interview in Washington on Friday. “Tax evasion is a really serious violation and we are going after” evaders.
Dominguez said he expects a tax reform bill to receive lawmaker approval. The bill is among the first of five tax packages proposed under President Rodrigo Duterte to raise taxes to pay for infrastructure projects. The plan has been approved by the lower house and awaits Senate approval.
“They have promised the bill will be passed,” he said. “I am 100 percent confident. The legislature will deliver what the president needs.”
Duterte, who’s facing renewed criticism about his drug war, is under pressure to sustain growth above 6 percent to maintain investor confidence amid a weakening currency. The Philippines also needs billions of pesos to rebuild Marawi City in the south, where government forces have been battling Islamic militants.
Moody’s Investors Service and S&P Global Ratings have the Philippines on their second-lowest investment-grade score, while Fitch Ratings has the nation’s sovereign debt just one notch away from junk.
On plans for fundraising, Dominguez said the government will sell debt in China -- a so-called Panda bond -- over coming months.
“We are just awaiting final approval of authorities in China,” he said.
--With assistance from Clarissa Batino
To contact the reporters on this story: Enda Curran in Washington at ecurran8@bloomberg.net, Kathleen Hays in Washington at khays4@bloomberg.net.
To contact the editors responsible for this story: Malcolm Scott at mscott23@bloomberg.net, Ros Krasny