THE Train Law, which took effect on Jan. 1, 2018, introduced quite a number of changes to the Philippine tax system. It was expected that more money would be in the hands of consumers. The Department of Finance's solution to rising prices was done via a P250,000 tax-exempt threshold and lower income tax rates for individuals in the lower brackets, while tax rates for those in the higher brackets were raised. It was said that this favored middle- to low-income earners while extracting more taxes from those that earn more.

Package 2 of the Train Law, meanwhile, focused more on the corporate side, specifically on improving incentives and tax rates. From 30 percent, this was lowered to 20 to 25 percent and other incentives were offered. To counter the lower rates, excise taxes were increased. One major update was the imposition of excise tax on sweetened beverages such as juice drinks, carbonated beverages, flavored water and energy/sport drinks. The rationale was that Filipinos were getting obese and generally unhealthy from these products.