REVILLA WANTS EVAT ON OIL AXED

To ease the public's burden from the surging inflation, Senator Bong Revilla today reiterated his position on the Expanded Value Added Tax (EVAT) on petroleum products.

"Personally, I want the full removal of the 12% VAT on oil. We can concentrate on an intensified campaign against tax-evaders to generate revenue," he said.

However, the senator expressed his understanding that the economy might not be able to absorb the revenue losses from the scrapping of the said tax.

"As the present economic situation can not sustain it, I am willing to compromise. Let's scrap the 2% from the EVAT on oil immediately. I will be filing a bill to this effect," he said.

According to Revilla, there is a need for concrete actions against rising prices that will be felt automatically by the public, especially the poor and he believes that the effect of inflation caused by rising oil prices would be moderated if there is a reduction of the EVAT on petroleum products by 2%.

He explained that the 2% reduction of the EVAT on oil is equivalent to P1.20 on the estimated P60 per liter cost of gasoline and P13.50 on every 11 -kilogram Liquefied Petroleum Gas (LPG) tank. "These may be slight amounts but it would still help our financially-strapped countrymen. Their savings from the EVAT reduction will be additional budget for other expenses," the lawmaker said.

Revilla cited studies conducted by independent think-tank IBON Foundation which revealed that EVAT on oil products would result in the lowering of its prices that would immediately profit nearly one million Public Utility Vehicle (PUV) drivers and their families, as well as almost nine million households using LPG.

IBON Foundation added that at least three to four million farmers and fishermen and their families paying for irrigation or fuel for fishing boats.

"There is an immediate need to address the inflation. Delayed action would cause further damage to the economy," Revilla warned.

The senator urged the Department of Labor and Employment (DOLE) to implement non-wage benefits to workers to lessen their difficulties from the impact of the inflation.