MANILA — Senator Loren Legarda called for tax reforms aimed at easing the financial burden on Filipino families while strengthening accountability in government spending.

In a privilege speech, Legarda presented three proposed measures—Senate Bill Nos. 1851, 1857, and 1963—which seek to reduce the cost of food, medicines, and electricity.

“Ang halagang mawawala sa mga tax cuts na ito ay mas mababa pa sa kabuuang nalilimas ng korapsyon tulad na lang ng mga anomalya sa flood control projects na umabot sa trilyong piso,” Legarda said.

She said that while taxes are essential to government operations, they have become a heavy burden on minimum wage earners and low-income households, especially as inflation recently reached 2.4 percent, driven by higher food prices.

“Hindi mapapatakbo ang isang bansa kung walang buwis na kinokolekta mula sa mga mamamayan. Ngunit kung ang buwis ay halos sinasaid na ang bulsa ng ordinaryong Pilipino, hindi na lifeblood ang tawag dito, dagdag pagdurusa na,” she said.

One of the proposed measures, the Differentiated VAT Rates Act, seeks to lower the value-added tax (VAT) to 10 percent for essential goods and services while retaining the 12 percent rate for luxury items such as high-end cars, real estate, cigarettes, vape, and alcohol.

“Hindi dapat i subsidize ng minimum wage earner ang lifestyle ng may kaya,” Legarda said.

Another proposal, the Murang Bilihin at Serbisyong Medikal Act, aims to remove VAT on basic goods, medicines, and medical services, including over-the-counter drugs, first aid supplies, canned goods, cooking oil, and professional medical services.

“Kaya naman, nararapat lang na wakasan ang pagpapataw ng buwis sa mga basic commodities para sa ating mga kababayan,” she said.

The third bill seeks to remove VAT on certain electricity charges, including systems loss and lifeline rate subsidy, which she said should not be taxed since they are already subsidies borne by consumers.

“Maganda ang adhikain, ngunit mali na tumulong ka na, nabuwisan ka pa,” she said.

Legarda said the proposals aim to correct what she described as a regressive tax system that disproportionately affects the poor.

“Mr. President, ang isang minimum wage worker ay nagbabayad ng buwis araw araw. May VAT sa halos lahat ng binibili niya. Buwan-buwan, lumiliit ang suweldong dapat sana ay buo niyang maiuuwi sa pamilya. Tanggapin na natin na ang kasalukuyang tax system ay regressive. Mas malaking proporsyon ang kinukuha nito sa mahihirap, kaysa sa mayayaman,” she said.

She urged her colleagues to pursue comprehensive tax reform anchored on fairness and equity, while also calling for improved government spending and integrity.

“Panahon na para tanggalin sa mga Pilipino ang pasaning ito at harapin ng pamahalaan ang pagsasaayos ng sarili nitong paggastos at integridad,” she said.

Legarda appealed for the swift passage of the measures, saying Filipinos deserve immediate and tangible relief.

“Ang tanging hinihingi ng taumbayan ay ginhawang ramdam, pagbabago sa presyong nakikita sa resibo, at patakarang may pakinabang sa hapag kainan, hindi lang sa macroeconomic report,” she added.

Leave a comment

Trending