Philippines Revamps Mining Tax System for Fair Revenue Share and Transparency
The Philippines' President Ferdinand Marcos Jr has enacted a law reforming the mining tax structure, aiming for fairness and transparency in revenue sharing. The new progressive tax system applies to all large-scale metallic mining, ensuring equitable royalties and preventing loss offsetting across projects.
- Country:
- Philippines
Philippine President Ferdinand Marcos Jr has signed into law a transformative measure enhancing the mining tax system to secure a fairer share of revenues for the government and increase transparency in the sector.
The reform introduces a simplified, progressive tax structure for all large-scale metallic mining, replacing the previous inconsistent regime. The new law mandates a 1% to 5% royalty on mines depending on profitability, even outside mineral reservations.
The law also implements a 1% to 10% tax on income margins above 30%, captures excess profits, and includes ring-fencing, ensuring individual taxation per mining project.
(With inputs from agencies.)
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