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Taxpayers’ revolt vs. text tax

Wed, Sep 9, 2009

News

Consumer group TXTPower today called on consumers to prepare for a taxpayers’ revolt over a new tax to be imposed on text messaging and warned reelectionists in Congress they will pay dearly for making life even harder amid the worldwide economic crisis.

“To rebel against this new tax is justified,” said TXTPower president Anthony Ian Cruz. “Consumers, all taxpayers, expect the House plenary and the Senate to vote down this new tax.”

TXTPower stressed that the Arroyo government already imposes a 12-percent VAT on all mobile phone services.

“For example, the Arroyo government charges VAT amounting to P3.60 for every P30 electronic load, P36.00 for every P300 call card, P144 for every P1,200 monthly postpaid subscription fee,” Cruz explained.

Alternative

Cruz said that, as an alternative, Congress can still get P36-billion without imposing a new tax in three steps: By reallocating P4-million from each congressman’s pork barrel, P10-million from the Office of the President and 10 percent from the budget intended for debt servicing.

“It is a question of priorities,” said Cruz. “Government has money but both Malacanang and Congress have the wrong priorities which include, for instance, the setting aside of over P340-billion for paying domestic and foreign debt, including fraudulently-acquired ones, apart from billions of pesos are lost due to inefficiency, corruption and wasteful spending such as the expensive and lavish junkets of the President who is always accompanied by hordes of congressmen in her foreign travels.”

According to official records, Arroyo has spent close to P2.7-billion for travel expenses for the past five years alone.

Suarez paid for $15,000 dinner

Cruz reminded the public that it was House ways and means committee chairman Danilo Suarez, main proponent of the text tax, who paid for Arroyo’s $15,000 dinner in Washington DC.

“People like Suarez apparently do not know or do not care about the burdens and hardships faced by families. He wants a tax at this time, no matter what,” said Cruz. “New taxes and lavish dinners go together under this administration. They are so callous in the face of national suffering.”

TXTPower said that “Congress must exercise restraint in looking for ways and means to finance government programs and operations. New taxes are obviously both uncreative and anti-people.”

Guinness record

According to Cruz, if the House passes the text tax bill in a plenary vote set for next week, TXTPower plans to submit the name of the House of Representatives to the Guinness Book of World Records for its record of arguably the first and only legislative body to enact a new tax measure amid the worldwide recession.

“We would submit the names of all congressmen who will vote for this new tax,” said Cruz. “I am sure their constituents would consider that when they vote in 2010.”

TXTPower said that the group is “all for an increase in budgetary outlay for social services like education and health. But Congress is obviously misusing its ‘power of the purse’ when it decides to impose a new tax and not trim down portions of the national budget that ought to be pruned like their pork barrel and the President’s, and the consistently huge allocations for debt service.” ###

2 Comments For This Post

  1. charlie2 Says:

    LET US SUPPORT TAX ON TELCOS FOR THEIR OVERPRICED TEXT.
    LET US OBJECT TO PROPOSED TAX RELIEF FOR PLDT/SMART GROUP

    marami pong palusot sa mga buwis. itong tax sa text ang mahirap nila mapapalusutan

    LET US ALL SUPPORT THIS MEASURE. Texting is the most profitable service of the telcos. it should have been free, but we are being charge P1.00 each. and we can’t stop using them. The telecom abused and overcharged us. Let the government collect this P0.05 tax from the telcos. The NTC is there to guarantee that this will not be passed-on to subscribers. It may even result to reduction of text cost if NTC will set a ceiling of P0.50/text. Telcos are using various excuses so as not to pay taxes. They (Smart) are bringing to court every municipalities and cities that wants to collect taxes. They still refused to pay even if the supreme court already ruled against them. This text tax will be for the good of the country. it will also help the government monitor the sales of these telecoms. LET US ALL SUPPORT THIS.

    Kung meron man po tayong dapat tutulan, ay yuong panukala ni Cong. Joseph Santiago (dating swelduhan ng Smart/Piltel) na nagbibigay na naman ng bagong tax exemption sa PLDT / Smart group

  2. ogii Says:

    we understand that for gov’t to exist & function tax has to be levied on its citizen. personally, i have no qualms being taxed if i see it is spent wisely & for the common good. but if you see gov’t officials enriching themselves & benefiting from the taxes we pay, it becomes abhorent to share even the minutest of your earnings to the national coffers. to impose additional tax on text messages, even for a fraction of a centavo, is UNACCEPTABLE & NON-NEGOTIABLE ! The authors of this legislation should be lashed a million times at the Luneta…& should they survive..itali sa puno at pakagat sa langgam! FILIPINO TEXTERS UNITE!!!

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Ondoy's Trail of Fury from Glenn Omanio on Vimeo.



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