The share of local government units (LGUs) from the 2019 excise tax collections on locally manufactured cigarettes and tobacco totaled to P24.8 billion, according to the Department of Budget and Management (DBM).
Local budget memorandum No. 84 dated November 22 issued the guidelines on the release and utilization of the shares of LGUs from the 2019 tobacco excise tax collections. Broken down, P19.87 billion was accounted for by excise taxes on local manufactured Virginia-type cigarettes, while the remaining P4.94 billion was from burley and native tobacco excise taxes.
The shares of LGUs from the 2019 collections of excise taxes on locally manufactured Virginia-type cigarettes will be used to advance the self-reliance of the tobacco farmers through cooperative projects that will enhance better quality of products, increase productivity, guarantee the market, and, as a whole, increase farmers’ income, as well as for livelihood projects, particularly the development of the alternative farming system to enhance farmers’ income.
