Deferment of the VAT
August 16th, 2005 at 6:31 am (General, National Politics, Economics)
Finance Secretary Margarito Teves has stated that deferring the implementation of the 10% VAT will “bring more pain to the people.”
Once again, this administration proves that it is out of touch with the real status and feelings of its constituency. The administration, as represented by Secretary Teves, contends that the implementation of the reformed VAT is the very core of solving the country’s fiscal and budget crises.
Contrary to what they claim, I believe that the immediate implementation of the reformed VAT would be the real cause for new pains of the people. The new VAT, contrary to what they claim, will affect every Filipino, especially those who are already living below the poverty line. The administration is delusional whenever they say that the reformed VAT will in no way aggravate the situation of the poor. How can it not affect the poor when it increases how much they pay for food? How can it not affect the poor when it affects how much they pay for their basic utilities? How can it not affect the poor when it increases their daily fares? How can it not affect the poor when it limits their access to basic health care and legal services?
The reformed VAT will definitely not solve all our problems. Our fiscal and budget crises are not caused by lack of funds. Rather, it is caused by the misappropriation and misuse of funds. Thus, increasing funds and making people suffer in the process will cause no good to our country. Are the poor, and the rest of the populace, for that matter, supposed to tighten their belts while the government spends their funds away?
It’s time that the administration realizes and recognizes the true roots and causes of our problems. The problem is not that people do not contribute enough. The problem is that the people receiving the money do not use it properly.
No, I do not believe that the implementation of the reformed VAT should be deferred. It should be scrapped all together.
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severina said,
January 15, 2007 at 11:44 pm
government should raised fund