Taxes should be equitable and progressive


The incoming 19thCongress may as well observe and comply with what is proper taxation as prescribed in Article VI, section 18 of the Philippine Constitution.

The new President may have started on the right foot when he said he was not amenable for the suspension of the excise taxes and VAT on fuel products. Maybe he said it not because he is the new President but I guess he understood what was wrong with the fuel tax law. Our consumer group Laban Konsyumer Inc. in 2018 challenged the law in the Supreme Court and the case has been pending in said Court. I did not hear other economic managers of the current administration said something in essence what the new President announced on national television.

The incoming President may have hit the right note when he said that he is against the suspension of the taxes on fuel products because these are fixed amounts and what about the rich consumers who can afford to pay. He said that he wishes to prioritize and concentrate on those vulnerable sectors who are greatly affected by these taxes and high oil prices but had to pay the same taxes as the rich taxpayer by extending the financial assistance they badly needed.

Maybe he is not “kuripot“.

The programmed financial assistance should come handily, on time, uniform and one set of rules for the venerable sectors. The Anti Red Tape Authority can propose the set of uniform guidelines for the program.

And the new President  would have adequate funds to support his priority program. The excess funds will come from the same high excise taxes and VAT collections due to the high cost of crude oil over and above the estimate for the year. We may call this windfall tax collection of the government.

Veto the VAPE Bill

The President should veto the Vape or the Vaporized Nicotine and Non-Nicotine Products Regulation Act.

Congress should revisit and clarify the implementing agency of the law in the light of a Supreme Court decision on the sole authority of the Food and Drug Administration on all matters relating to cigarettes and tobacco products.The Supreme Court held that the industry is under the jurisdiction of the FDA given the country’s commitments to the World Health Organization Framework Convention on Tobacco Control.  The Court said that there is no overlap of functions as it is clear that FDA have technical  authority over pubic  health . The FDA will issue rules that are not covered by specialized agencies and special laws.

Save the Internet Transaction Act

The Internet Transaction Act  is ready. The bill is aligned to the incoming Trade Secretary vision in DTI under his administration. The bill is consistent with the privacy law, intellectual property  rights law, cybercrime law and consumer welfare. The 18th Congress can cap its achievement with the signed law.

Thank you to the outgoing administration and welcome to the incoming newly elected public officials.

Atty.Vic Dimagiba, AB,LLB, LLM

President, LabanKonsyumer Inc.

A DTI NCO

Email at [email protected]