The Department of Finance (DOF), upon the recommendation of the Bureau of Internal Revenue (BIR), has issued Revenue Regulations (RR) No. 3-2026, providing the implementing rules for the temporary suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene.

The regulation implements Executive Order No. 114 signed by President Ferdinand R. Marcos Jr. on Thursday, April 16, which orders the suspension of excise taxes on selected petroleum products under the National Internal Revenue Code.

Under the guidelines effective April 17, 2026, LPG—except when used for petrochemical production or motor fuel—and kerosene—except when used as aviation fuel—will be exempt from excise taxes for three months, subject to monthly review by the Development Budget Coordination Committee.

The BIR and the Bureau of Customs (BOC) are also directed to submit monthly reports to Congress on the volume and value of affected petroleum products, while requiring strict documentation and inventory monitoring from importers and manufacturers.

BIR Commissioner Charlito Martin R. Mendoza said the agency is coordinating closely with the DOF to ensure the swift implementation of the directive and is exploring additional measures to support government relief efforts amid economic pressures.

The policy aims to ease fuel-related costs for consumers while maintaining transparency and regulatory oversight.