The real ‘why’ please stand up
Sometimes we want something so badly we lose sight of why. As far as the Tax Reform Program of the Department of Finance and the congressional committee on ways and means are concerned, they have all been using such big words and ideas that I’m now lost as far as what their real “Why” was and now suspect them of having “personal” motives. As far as I can remember, the Duterte camp started with their first “Why” and that was: to lower Income Tax Rates. Obviously the reason “Why” was to get more votes and support from the middle and upper class as well as acceptance from the corporate sector.
But after the elections, Secretary Sonny Dominguez started speaking of another “Why” which was to raise the billions of pesos needed to finance infrastructure projects. To make it more attractive, they started pitching the theme: The Golden Age of Infrastructure” complete with project proposals as attractive as their political promises to fight drugs, corruption and solve traffic woes. So far they are only hitting one out of three and their drug war has come with a cost of 7,000 or 3,000 lives depending on whose talking.
Their theme was short-lived however after pundits started hammering and pummeling the DOTr in particular for many heralded plans that failed to fertilize. That’s when Congressman Joey Salceda started to appear on stage talking about the new “Why”: the need to tax the rich, about social equality, and this week’s “Why”: The 1% Rich must pay their share in Nation Building. After being pestered by reporters and Radio Anchors, one can already notice the perceptible shrill in Congressman Salceda’s voice indicating his frustration or annoyance at being hounded to explain or elaborate on the hidden cost of his tax plan.
Obviously, the public still does not get the true “Why” we need to raise taxes on just about everything. I think that the reason is because Secretary Dominguez and Congressman Salceda have failed to show and tell, prove even, “What’s in it for me.” For a bunch of numbers experts and economists, they have yet to present via a public information campaign what the detailed Tax Reform Program will be and how the lowered income tax rates and increased taxes on just about everything will come together for the actual benefit of each and every Filipino. Much like the Anti-Distracted Driving Act, the proposed Tax Reform Program is only understood by a small group of people, shared with limitations to the media and interest groups but not explained with complete transparency to the public.
Yes we all want less income tax so we can spend or save more. But what do I give up in the exchange, and what do we all gain or lose after new taxes are imposed? The only thing we keep hearing and seeing in the news are the “technocrat presentations” that are full of promises but not the cold hard facts of what personal sacrifices “nation building” will cost each of us.
The public has not bought in or taken ownership of the proposition that the government needs to raise money for their “Golden Age of Infrastructure” because we are surrounded by so many white elephants and mismanaged government projects. The MRT - LRT - PNR Pasig Ferry - NAIA - Clark International Airport - North Rail - RFID/New Car Plates - National Broadband plan and so many other projects and plans gathering dust or costing Filipino taxpayers billions of pesos annually. We in media are skeptical of the plan because Cabinet members and government executives have failed to deliver on the most basic of campaign promises.
Last Monday evening, the news featured voice clips of Congressman Salceda talking about how the new taxes will force the rich 1% to pay their share in nation building. Perhaps Congressman Salceda overlooked the fact that the 1% or 10% rich who own, control, or influence our economy and national wealth are also the people who have invested the most and on many occasions have bankrolled and managed many infrastructure projects that previous administrations could not do. Tsinoy, Pinoy or Tisoy, they all invested perhaps gambled on the unpredictability and corruption in doing business with government.
Nonetheless, if Congressman Salceda is earnestly convinced that the rich should give more – then tax them directly – if he can and if he dares! If those who have more should give more, then go and knock on their doors without stabbing the rest of the Filipino people in the back with a tax reform program that will make their cost of living higher and their quality of life poorer.
If Dominguez and Salceda want to wave the flag of patriotism and nation building then I suggest that they follow the principle that “charity begins at home.” Begin by increasing the taxes on mining companies to the same level that Australia has done. Double or triple the various taxes levied on mining companies and put a stop to exporting raw materials and require local processing in order to generate jobs.
The same should go for Congressman Joey Salceda and his associates in Congress and the Senate. Before imposing such heavy taxes on our gasoline, make sure all members give up their gasoline allocations or allowances. Before imposing additional taxes that will raise prices for our consumable products such as soft drinks, milk, and other food products, make sure that members of Congress are willing to give up all their dining privileges, free security protection details, paid personal staff and especially travel allowances to visit the many exotic places beyond their congressional district.
Eleanor Roosevelt once said “It is not fair to ask others to do what you are not willing to do yourself.” It is also important to remind yourself of “Why” you are doing something. Is it really for the benefit of everyone or all about what you think is right? Making assumptions in the comfort of your existence and lifestyle, forgetting that others have a far simpler or perhaps financially difficult life would be adding insult to injury.
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