Malolos bishop: Trust President Arroyo on eVAT

MANILA, Philippines — A Roman Catholic bishop on Thursday said the government was correct in imposing the expanded value-added tax (eVAT) and that Filipinos should trust President Gloria Macapagal Arroyo because "what she is doing is for the good of the nation." Malolos Bishop Jose Oliveros argued that if properly collected and accounted for, the VAT can do much good. He said the VAT may hurt the pockets of many people but it is still their clear obligation to the government. He said it is the prerogative of the government to impose the VAT that would be used to fund programs for the people. "We are not the only country with VAT. Other countries such as the United States have their own, which is even higher than ours," Oliveros said in an interview over Church-run Radyo Veritas, excerpts of which were posted on Thursday on the Catholic Bishops Conference of the Philippines (CBCP) website. Oliveros earlier reminded President Arroyo that it is a moral obligation to be transparent about the VAT the government collects. "Nandoon 'yung transparency, yung mahalagang tungkulin na gamitin ang mga buwis na nakuha para sa kabutihan ng sambayanan," (It is important that government shows transparency in using taxes, to make sure taxes benefit the people)," he said. He also echoed President Arroyo's line that her "Katas ng VAT" program is for the poorest of the poor who would benefit from it. "Because of VAT, the government is able to provide subsidy to the needy. Subsidy means poorest of the poor," said Oliveros, whose stand differed from those of other bishops. Archbishop Oscar Cruz of Dagupan has blamed the eVAT for the high prices of prime commodities “imposed forcibly on the people." Lipa Archbishop Ramon Arguelles also disagreed with the President’s claim that the poorest of the poor benefit from her policy. “Besides the dole-outs, I have to admit, I am not an economist. But apparently this VAT does not benefit the poor because the tax collected doesn’t return in the form of social services that would help the poor," Arguelles was quoted in the same CBCP site as saying. The CBCP as a whole had earlier called on government to review its economic policies. It had also asked the government to review the oil deregulation law and remove the VAT on oil. (- GMANews.TV