Youth ACT Now!

There has been a growing clamor and pressure from different sectors of society for the government to cancel VAT collections, especially on petroleum products in light of unabated oil price hikes. This has developed into a tactical demand from consumers as the Arroyo administration continues to defend the VAT burden and refuses to heed the people’s call for immediate relief amid an unprecedented economic crisis.

In President Arroyo’s latest State of the Nation Address, the administration once again voiced out its strong resistance to the removal of VAT, saying that its cancellation would result in huge budget deficit for the government. To justify continuous VAT collections despite growing public outrage, Arroyo attributed infrastructure investments, government subsidies and economic programs to revenues acquired through VAT collections.

We beg to disagree.

We believe that VAT impositions on power and petroleum products as well as the 12 percent mandatory VAT collection on almost all consumer products are a burden that Filipinos, in these hard times, would be better off without.

The Catholic Church, the Opposition and even some of Arroyo’s allies are now open to the idea of removing the VAT on consumer goods to lower prices. Latest surveys show that a majority of Filipino families consider themselves poorer in light of continuous price hikes. Supposed subsidies and revenues from the VAT have not trickled down to common folks. As Congress sessions recently resumed, investigations are underway as to where the reported revenues from VAT have gone to.

We believe that the removal of VAT on power and petroleum products and other basic consumer goods is still the most viable and tangible means to provide immediate economic relief to a public burdened by high prices and bad governance.

It is high time for youth and students to add our voices to the clamor to scrap VAT. It is time for our SUMA-TOTAL campaign, to do the VAT Math and set the figures straight on burdensome VAT.

Stop/End funding for the corrupt Arroyo administration!
Save the poor and the middle class!