DOF hits record non-tax revenue collections in 2024

The Department of Finance (DOF) reported recently that non-tax revenues reached PHP555.30 billion end of November 2024, a 45.6-percent increase compared to the same period in 2023.

This made DOF hit an all-time high non-tax revenue collections in 2024, providing additional resources to fund key programs of the Marcos administration, especially in improving the lives of Filipinos.

Projections for the full year estimate total non-tax revenue at P606.6 billion, the highest in Philippine history.

This exceeds the Budget of Expenditures and Sources of Financing (BESF) target for the year by P407.6 billion, or 204.9 percent higher, and the 2023 total by P211.80 billion, or 53.6 percent higher.

“We need to raise more funds to meet the growing needs of our people. On top of tax collections, the non-tax revenue sources help us marshall additional resources to equip the government in delivering more and better services in critical areas like healthcare, education, food security, social protection, and national security,” Finance Secretary Ralph Recto said in a statement.

DOF increased non-tax revenues through higher dividend contributions from government-owned and controlled corporations (GOCCs), raising their remittance share from 50 to 75 percent of earnings.

Additional funds were raised through the privatization of government assets and the reallocation of unused GOCC funds, as mandated by Congress.

As of Dec. 9, 52 GOCCs had remitted PHP136.29 billion in dividends to the Bureau of the Treasury (BTr), surpassing the P100 billion target and marking a 35 percent increase from the previous year.

Meanwhile, the DOF collected P4.44 billion from the Privatization Management Office (PMO) as of December 2024, surging by 129 percent from the same period last year.

The proceeds came from asset sales, receivables from litigated assets, income from leases, and other sources, such as selling the government shares in the NLEX Corporation for about P2.9 billion.

Additionally, the government secured a P30 billion upfront payment from the SMC-SAP & Company Consortium after signing the Concession Agreement for the Rehabilitation of Ninoy Aquino International Airport (NAIA).

The project is expected to generate about P900 billion in revenue over its 15-year term, with the option for a 10-year extension.

Further privatization efforts are underway following the approval of new guidelines by the Privatization Council (PrC) September last year.

The council, chaired by the DOF, oversees the country’s privatization program, with the new guidelines aimed at ensuring transparency and efficiency.Under Republic Act 11975, or the General Appropriations Act (GAA) of 2024, the DOF has also allocated excess and unused GOCC funds for vital public services. PNA