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ORDANES WANTS 90-DAY VAT SUSPENSION

The death of a motorcycle taxi rider who was lining up for fuel assistance in Quezon City has underscored the urgent need for faster, more dignified forms of economic relief, prompting Senior Citizen Party-list Representative Rodolfo Ordanes to call for a time-bound reduction or suspension of the 12% Value-Added Tax (VAT).

“Hindi dapat ganito ang dinaranas ng ating mga kababayan. May namamatay habang naghihintay ng tulong. May mali sa sistema kung ganito ang kapalit,” Ordanes said.

The veteran legislator said the incident reflects deeper gaps in the current aid system, which often requires long queues and delays before assistance reaches those in need.

“Maraming senior citizens rin ang napipilitang pumila nang matagal para sa kaunting ayuda. Sila ang pinaka-nanganganib. Hindi ito makatao.”

“Maraming senior citizens rin ang napipilitang pumila nang matagal para sa kaunting ayuda. Sila ang pinaka-nanganganib. Hindi ito makatao,” the lawmaker added.

As an alternative, he proposed a simpler approach that can be felt more broadly and more quickly.

“Ayuda is selective and often slow. Sa VAT reduction, mas diretso ang tulong at mas mabilis maramdaman,” Ordanes pointed out.

He explained that a temporary VAT cut could help ease the cost of essentials such as food, fuel, electricity, and transportation, while supporting consumer spending.

“Kung babawasan o pansamantalang aalisin ang VAT, mapapababa nito ng presyo ng mga bilihin at magbibigay ng agarang ginhawa sa mga pamilya,” Ordanes said.

He noted that the proposal will require an amendment to the National Internal Revenue Code and urged the executive to move quickly.

“Alam nating mangangailangan ito ng pag-amyenda sa batas, kaya para hindi na natin pagdebatehan nang matagal ang bersyon ng panukala, nananawagan tayo sa Department of Finance na agad magbalangkas ng katanggap-tanggap na panukala, at sa Pangulo na i-certify ito bilang urgent upang mapabilis ang pagsasabatas nito,” Ordanes explained.

He added that policymakers may consider different options, such as a 0% VAT for 90 days or a reduced rate for a longer period, provided the measure remains simple and time-bound.

“Pwedeng 0% VAT for 3 months o kaya’y reduced VAT for a limited period, basta malinaw at mabilis ipatupad.”

“Pwedeng 0% VAT for 3 months o kaya’y reduced VAT for a limited period, basta malinaw at mabilis ipatupad,” Ordanes said.

He acknowledged the fiscal trade-offs but stressed the need to weigh them against the urgency of delivering relief.

“Oo, bilyon ang mawawala sa revenue ng gobyerno dulot ng VAT suspension, pero dapat din nating tingnan ang kabuuang gastos sa kasalukuyang sistema ng ayuda, kabilang ang admin costs, leakages, at oras na nasasayang sa pagpila. That is why it is more prudent to pursue measures that will reduce the cost of goods,” Ordanes explained.

He appealed to President Ferdinand Marcos Jr. to consider the proposal as part of a broader response to rising costs.

“Pangulong Marcos, tiwala po kami sa kakayahan ninyo, makinig po tayo sa hinaing ng taumbayan. Kailangan nila ng agarang ginhawa,” Ordanes concluded.

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