Wholly owned Filipino tobacco manufacturer, Mighty Corp had made a quantum leap from P300 million in 2012 to at least P8 billion for the whole year of 2013. This is according to data from the Bureau of Internal Revenue.
According to Oscar Barrientos, executive vice president of Mighty said that the tax paid for the year 2013 just past reflects the jump in their market share and fair share in the increased taxes on “sin” products.
He added that he facts should put to rest false accusations that Mighty Corporation has not been paying its correct taxes. And no case has been filed in court.
The company paid P300 million in 2012, the former judge explained, when its share of the local market of cigarette was a measly three percent. This share shot up since the government put into effect Republic Act 10352, otherwise known as the new sin tax law.
The law has synchronized a five-year adjustment of taxes on cigarettes for it to become a uniform P30 per pack in five years covering all brands. The company has been a minor player until 2012 which pitched in more than P8 billion of the excise tax.