The Tax Reform for Acceleration and Inclusion (TRAIN) Law or Republic Act (RA) No. 10963 should be reviewed by Congress if only to look for ways to lower personal income taxes and in effect ease the growing financial strain on the Filipino middle class.

Thus, said Cavite 2nd district Rep. Lani Mercado-Revilla in a recent privilege speech wherein he described the local middle class as the backbone of the economy and at the same time among the most heavily-taxed and least supported sectors.

As far as Revilla is concerned, middle-income earners deserve higher take-home pay and relief from the heavy tax load they shoulder.

She stressed that allowing families to retain more of their hard-earned income would help them manage rising living costs while also stimulating consumption and strengthening overall economic activity.

By Jan. 1, 2026, the TRAIN Law will have turned eight years old. The law lowered personal income tax for the majority of individual taxpayers, especially low- and middle-income earners, while increasing taxes for the wealthiest.

It was the first package of the Comprehensive Tax Reform Program (CTRP) of the previous administration that sought to make the tax system simpler, fairer, and more efficient while generating revenue for infrastructure and social programs. 

Revilla also urged Congress to reassess the impact of the Expanded Value-Added Tax (EVAT). She points out that middle-class families are effectively “taxed twice”—first through withholding tax, and again through consumption tax on basic goods and services.

A typical family spending ₱20,000 a month on taxable goods pays nearly ₱2,400 in VAT, or close to ₱28,800 a year--an amount that could have gone to savings, education, or emergency needs, Revilla noted.

Revilla further pressed for reforms in electricity charges, as she called the system loss fee an “unfair hidden tax” that forces consumers to pay for energy they did not actually use. She urged amendments to RA No.7832 so that families are no longer burdened by costs arising from inefficiencies in the power distribution system.

High electricity bills, she said, have become an added pressure on households already stretched thin by inflation, rent, food, transportation, and utilities.

She likewise highlighted the urgent need to improve access to affordable healthcare. With 64 percent of Filipinos unable to cover even a ₱10,000 hospital bill without borrowing money, Revilla stressed that many middle-class families are “one illness away” from financial distress.

She noted that unlike indigent households, middle-income earners often do not qualify for government medical aid, yet also lack the safety nets enjoyed by workers with employer-provided health maintenance organizations (HMOs).

Revilla prodded the House to initiate a multi-committee investigation and national consultation to craft a coordinated middle-class relief package. She emphasized that the goal is to design responsive, long-term policies that address excessive taxation, high living costs, and the absence of safety nets for millions of Filipino working families.

“These reforms are essential if we want to secure the stability of our households and keep the middle class from sliding into poverty,” Revilla said.