Press Release
June 16, 2025

SEN. PIA CAYETANO JOINS CALL TO UPHOLD SIN TAX ALLOCATION FOR PHILHEALTH

Senator Pia S. Cayetano has expressed support for calls to uphold the mandatory allocation of sin tax revenues to PhilHealth, following the agency's zero budget in the 2025 national appropriations.

A petition was filed before the Supreme Court questioning the same by the Medical Action Group and Social Watch Philippines, which asserts that the government violated Republic Act 11346 by failing to allocate earmarked revenues from sin taxes for PhilHealth. The groups are also seeking the remittance of unaccounted shares dating back to 2019.

"The sin tax law is clear," Cayetano said. "A portion of revenues from tobacco and sugar sweetened beverages must go to PhilHealth to fund the delivery of healthcare services to the Filipino people. Ignoring this is a violation of the law and a disservice to our most vulnerable sectors."

During the deliberations on PhilHealth's 2025 budget, Cayetano, who served as Senior Vice-Chairperson of the Senate Committee on Finance handling the health budget, raised concerns over the failure of the government to comply with the mandates of the Sin Tax law. She noted that at least ₱69.81 billion from sin taxes should have been allocated to PhilHealth that year. She also signed the bicameral report of the 2025 General Appropriations Act with reservations, citing her "objection to the removal of government subsidy for PhilHealth."

"PhilHealth's accumulation of excess funds is an equally important issue, but it should be addressed separately. Fiscal discipline and accountability are important, but they cannot justify abandoning funds legally designated for PhilHealth," she added. "This is about upholding the law and protecting the rights of millions of Filipinos who rely on PhilHealth coverage."


SEN. PIA CAYETANO, KAISA SA PANAWAGAN NA IPATUPAD ANG SIN TAX ALLOCATION PARA SA PHILHEALTH

Ipinahayag ni Senator Pia S. Cayetano ang kanyang suporta sa mga panawagan na ipatupad ang obligadong paglalaan ng pondo mula sa sin tax para sa PhilHealth, kasunod ng pagbibigay ng zero budget sa ahensya sa ilalim ng 2025 national appropriations.

Isang petisyon ang inihain sa Korte Suprema ng Medical Action Group at Social Watch Philippines kung saan iginiit nilang nilabag ng pamahalaan ang Republic Act 11346 sa hindi paglalaan ng earmarked revenues mula sa sin taxes para sa PhilHealth. Hiniling din ng mga grupo ang pag-remit ng mga hindi naibigay na bahagi ng pondo mula pa noong 2019.

"The sin tax law is clear," ayon kay Cayetano. "A portion of revenues from tobacco and sugar sweetened beverages must go to PhilHealth to fund the delivery of healthcare services to the Filipino people. Ignoring this is a violation of the law and a disservice to our most vulnerable sectors."

Sa panahon ng deliberasyon ng 2025 budget ng PhilHealth, muling binigyang-diin ni Cayetano--na nagsilbing Senior Vice-Chairperson ng Senate Committee on Finance na humawak ng health budget--ang kanyang mga pangamba sa kabiguang sundin ng pamahalaan ang mga itinatakda ng Sin Tax law. Aniya, hindi bababa sa ₱69.81 bilyon mula sa sin taxes ang nararapat na nailaan sa PhilHealth para sa taong iyon. Nilagdaan din niya ang bicameral report ng 2025 General Appropriations Act na may kalakip na reservation, kung saan binanggit ang kanyang "objection to the removal of government subsidy for PhilHealth."

"PhilHealth's accumulation of excess funds is an equally important issue, but it should be addressed separately. Fiscal discipline and accountability are important, but they cannot justify abandoning funds legally designated for PhilHealth," dagdag pa niya. "This is about upholding the law and protecting the rights of millions of Filipinos who rely on PhilHealth coverage."

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