DOF seeks to triple sugary drinks tax
The Department of Finance said higher taxes on sugary drinks is not only a revenue collection policy, but also a health measure.
The Department of Finance (DOF) in the Philippines aims to triple the taxes on sugary drinks to curb consumption and combat lifestyle diseases such as diabetes, obesity, and kidney issues. DOF Assistance Secretary for Revenue Operations Group Euvimil Nina Asuncion explained the department's goal during an interview with dzMM, stating that the higher taxes are intended to discourage the consumption of sweetened beverages.
According to a report from the Philippine Statistics Authority (PSA), diabetes was the fifth leading cause of death in the Philippines in 2026, with 2,795 recorded deaths as of February. Additionally, the National Nutrition Council reported that 43% of Filipino adults are obese. Currently, the government levies a P6 to P12 per liter excise tax on pre-packed sweetened drinks under the Philippine TRAIN Law.
The DOF is proposing to raise these taxes to P20 per liter for non-caloric and caloric beverages, and to P40 for drinks using fructose corn syrup. If approved, retail prices of popular drinks like carbonated soft drinks, pre-packed teas, and ready-to-drink juices could increase. However, the DOF also plans to adjust these excise taxes by around 5% annually.
The collected taxes are intended to support the Universal Health Care system, which aims to enroll all Filipinos into the country's national health insurance program.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
