Incoming BOC chief faces gargantuan task

0
260

THE customs commissioner of the incoming administration will have a tough time meeting revenue targets given the current economic conditions, according to outgoing Customs commissioner Napoleon Morales.

“The economic assumptions of the economic managers are too high,” Morales said, noting that the Bureau of Customs (BOC) barely hit its goals last year.

“If it is any consolation, he (new commissioner) may have an easy time meeting targets in the early part of his term as we expect that the measures that I have put in place this year will be enough to meet the assigned targets for the rest of the year,” Morales said. “He just has to continue what I have started.”

Morales will tender his courtesy resignation after a new President is sworn into office on June 30, 2010. Morales has been Customs commissioner since 2006.

Based on assumptions of the inter-agency Development Budget Coordination Committee, BOC has a collection target of P333.1 billion next year or 21% higher than this year’s target of P273 billion.

The assumptions are based on an import growth rate of 17% to $63.5 billion, a Dubai oil price of $75 a barrel, and a peso-dollar exchange rate of P45 to $1.

In the first four months of the year, the BOC collected P83.985 billion, a 30% improvement over last year’s P64.730 billion. The agency also recorded a surplus of P5.68 billion for the period.

Of the total collections, P73.82 billion represented cash, exceeding the target by P8.4 billion.

However, the agency’s Tax Expenditure Fund collection was P2.7 billion below target at P9.6 billion.

For May, the BOC target is P23.36 billion.