NORDIS WEEKLY
November 6, 2005

 

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Baguio militants rally vs. EVAT on All Souls Day

Calls for GMA ouster

BAGUIO CITY (Nov. 4) — Representatives of militant organizations here staged a protest action that ended with a noise barrage on November 2 to condemn the implementation of the expanded value added tax (EVAT). Led by the Organisasyon dagiti Nakurapay nga Umili ti Syudad (Ornus) and Pinagkaisang Samahan ng mga Tsuper at Operator Nationwide (PISTON), the protestors also called for the ouster of Gloria Macapagal-Arroyo saying that her policies like EVAT are anti-people.

On November 1, while everyone was busy remembering the dead, the 10% EVAT on goods and services exempted in the old VAT law was implemented after the Supreme Court ruled that Republic Act 9337 is constitutional. EVAT now covers electricity, electric cooperatives, petroleum products, medical and legal services, literary works and musical compositions and domestic transport of passengers by air and sea, and highway toll fees among others. The law also granted the president the power to increase the EVAT percentage to 12%.

Geraldine Cacho, chair emeritus of Ornus said that the implementation of EVAT would aggravate the already impoverished state of urban poor families. She said that even before the implementation of EVAT the meager income of urban poor families is already not enough to sustain their families.

“The EVAT would suck what is left of the sweat and blood of the Filipino masses,” she said in Ilocano.

Cacho said that there would be at least P600 additional expenses due to the EVAT. She added that the said additional expenses would be very heavy for urban poor families, who are mostly semi-workers. She reiterated that urban poor families in the city earns P2,500 a month on the average.

“GMA is always saying that everybody needs to sacrifice for the good of the country, if she is sincere in her call for sacrifice then she should sacrifice her political ambitions and step down from Malacañang. The truth is, GMA is sacrificing the people for her personal interests and political ambitions,” she said.

Leonida Tundagui of the Kilusang Mayo Uno (KMU) said the situation of workers is no different. She said that the P194 daily wage in the Cordillera Administrative Region (CAR) is much lower than the National Economic Development Authority (NEDA) computations that a family of six needs P640 a day to leave decently.

Tundagui said that even if both parents have jobs, their combined wages pegged at P 388 is just a little over half of NEDA’s computations. She agreed that the P125 wage hike would have augmented the workers’ meager pay to survive the EVAT.

PISTON President Carlito Wayas said that the EVAT is another lash on the already beaten drivers and small jeepney operators. He added that even without the EVAT, petroleum prices have increased 19 times with only one roll back since January this year.

“GMA’s economic and political policies are killing us. If we remain quiet about her unjust laws, we will die of hunger and if we fight for what is just, we will die of assassination,” he stressed.

Wayas mentioned as an example the case of Anakpawis Spokesperson Federico De Leon, also a transport group leader assassinated be alleged elements of the 7th Infantry Division of the Philippine Army under the leadership of Maj. Gen. Jovito Palparan in Bulacan while driving his tricycle.

In a statement, Tongtongan ti Umili (TTU) said that amid the wide and growing protest against the EVAT, “the GMA administration is hell-bent to generate additional revenues at the expense of the people”.

“It is ironic that the people are now being burdened by this administration (of EVAT) when the problems of tax evasion, tariff losses due to globalization and corruption remain unsolved. With this situation, the EVAT will only serve as another target of corrupt government officials and a leeway for tax evaders,” the TTU statement read.

National Tax Research Center (NTRC) estimates annual corruption losses at 20-30 percent. The same office reported a P144 billion VAT leakages in 2003 alone and P41.6 billion annually from 1998 to 2002. Meanwhile, corporate income tax evasion has been estimated at P54.1 billion annually and P26.7 billion annually for professionals and businessmen. Tariff exemptions due to globalization also account for lost revenues.

Furthermore, a 2004 United Nations Development Program (UNDP) study placed the yearly losses from corruption at 13% of the national budget.

“We cannot find the needed respite under the anti-people and anti-poor government of the GMA regime. It is then necessary for the people to act against the EVAT, alongside call for the immediate ouster of the GMA regime,” the statement ended. # Kim Quitasol for NORDIS


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