Erap: VAT emerging to be a national shame
07/29/2008 | 09:03 AM
MANILA, Philippines - President Gloria Macapagal Arroyo may view it as the country's salvation but her predecessor, former President Joseph Estrada, views the value-added tax (VAT) as an emerging national shame because of its effect on the poor.
In an interview on dzBB radio, Estrada on Tuesday said that only because of its negative effect on poor Filipinos, VAT should be removed, or at least be suspended especially during these times when the prices of basic commodities are high.
"Yan ang nagpapahiya sa ating kababayan. Hanggang sa mga mahirap, nadadama yan, lahat na binibili ng mahihirap napapatungan ng VAT (That is turning out to be a national shame for us. Even the poor are affected because practically all things you buy are covered by VAT)," Estrada
said.
Estrada also scored the Arroyo administration for boasting about some P86 billion in VAT collections, when it failed to plug loopholes that led to a loss of P141 billion due to smuggling.
President Arroyo, in her State of the Nation Address (SONA) last Monday, had defended the VAT from critics calling for its repeal, saying it had been used to shore up the country's financial independence, increase government investments in infrastructure, and ensure enough funds for anti-poverty programs.
In the interview, Estrada gave President Arroyo a failing grade for her SONA, which he dismissed as "karamihan niyan scripted (mostly scripted)." Estrada also said the success stories narrated at the SONA did not give an accurate picture of the nation.
"Yun lang siguro nagtagumpay, e ang libo-libo sa probinsya puro gutom (Only they succeeded, but their thousands of provincemates still go hungry)," Estrada said.
From a range of 0 to 100 with 100 being the most satisfactory mark, Estrada gave President Arroyo a grade of "30" for her SONA, adding the people had already spoken through surveys giving her a low satisfaction rating.
"Sa 100 maswerte nang makakuha sya ng mga 30 (If I were to grade her from 0 to 100, she'd be lucky to get a 30)," Estrada said.
Meanwhile, United Opposition president and Makati City Mayor Jejomar Binay, chided President Arroyo for trying to trigger a class war by defending VAT.
Binay, in a statement posted on the Makati City website, also said the administration cannot deny the expanded VAT contributed to the oil price increase.
He was referring to President Arroyo's claim that VAT is good for the poor and bad for the rich, and suspending it will only benefit affluent Filipinos. - GMANews.TV
In an interview on dzBB radio, Estrada on Tuesday said that only because of its negative effect on poor Filipinos, VAT should be removed, or at least be suspended especially during these times when the prices of basic commodities are high.
"Yan ang nagpapahiya sa ating kababayan. Hanggang sa mga mahirap, nadadama yan, lahat na binibili ng mahihirap napapatungan ng VAT (That is turning out to be a national shame for us. Even the poor are affected because practically all things you buy are covered by VAT)," Estrada
said.
Estrada also scored the Arroyo administration for boasting about some P86 billion in VAT collections, when it failed to plug loopholes that led to a loss of P141 billion due to smuggling.
President Arroyo, in her State of the Nation Address (SONA) last Monday, had defended the VAT from critics calling for its repeal, saying it had been used to shore up the country's financial independence, increase government investments in infrastructure, and ensure enough funds for anti-poverty programs.
In the interview, Estrada gave President Arroyo a failing grade for her SONA, which he dismissed as "karamihan niyan scripted (mostly scripted)." Estrada also said the success stories narrated at the SONA did not give an accurate picture of the nation.
"Yun lang siguro nagtagumpay, e ang libo-libo sa probinsya puro gutom (Only they succeeded, but their thousands of provincemates still go hungry)," Estrada said.
From a range of 0 to 100 with 100 being the most satisfactory mark, Estrada gave President Arroyo a grade of "30" for her SONA, adding the people had already spoken through surveys giving her a low satisfaction rating.
"Sa 100 maswerte nang makakuha sya ng mga 30 (If I were to grade her from 0 to 100, she'd be lucky to get a 30)," Estrada said.
Meanwhile, United Opposition president and Makati City Mayor Jejomar Binay, chided President Arroyo for trying to trigger a class war by defending VAT.
Binay, in a statement posted on the Makati City website, also said the administration cannot deny the expanded VAT contributed to the oil price increase.
He was referring to President Arroyo's claim that VAT is good for the poor and bad for the rich, and suspending it will only benefit affluent Filipinos. - GMANews.TV
