Press Release
October 2, 2007

ROXAS WANTS 'GRADUAL' RAISE OF PUV TAX

Senator Mar Roxas opposed the Bureau of Internal Revenue's planned implementation of a 2,600% hike in the common carriers' tax on public utility vehicles, saying a gradual increase was needed to buffer an increase in cost of living.

"Kung kailangan man ang pagtaas, dapat unang-una, hindi biglaan. Mayroong prinsipyo na ang pagbabago sa buwis ay dapat gradual o dahan-dahan, para bigyang pagkakataon na makapag-adjust ang mga bus at jeepney operator," said Roxas at the Senate ways and means' committee hearing on the BIR Regulation calling for the tax hike.

He also noted that the testimony of transport operators that the BIR's last public consultation for the increase was back in 2003. "Kung mayroong botohan ang kumite, boboto ako na ipatuloy yung suspensiyon ng BIR Regulation, at magkaroon muna ng malawakang konsultasyon," Roxas said.

Roxas said the consultations must thresh out the actual income of PUV operators, and not just BIR estimates. "Kailangang magkaroon ng mas malinaw na datos. Magkano ba talaga ang kita ng mga operators? Ang bawat rota, hindi naman pare-parehas iyan e," he said.

"Dapat magkaroon ng malawakang pag-aaral ng datos, at sa ganoon maaaring gumawa ng mas magandang formula," he added. At present, the law imposes a 3% tax on gross receipts of the operators.

The Senator stressed that even a little change in the tax would make a difference to the PUV operators, as well as to commuters, if the increase is passed on. "Kahit maliit ang pagtaas, malaki ang kaibahan iyon sa pamumuhay ng isang pamilya. Kahit 30 pesos o 100 pesos per month, malaking bagay na iyon, dahil ito ay naka-budget na."

Following the new regulations, jeepney operators in Manila and other cities, now paying P288 annually, will begin paying P7,884; provincial jeepney operators who now pay P144 will begin paying P3,948; bus operators who now pay from P432 to P864 annually depending on the bus size will begin paying from P11,832 to P23,652; Metro Manila taxi operators who now pay P432 annually will begin paying P11,832; provincial taxi operators who now pay P288 annually will begin paying P7,884.

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