No need for TRABAHO if there’s revenue surplus — Suarez

Why punish the people when you already have breached your target?

The head of the opposition bloc in the House of Representatives yesterday vowed to block the passage of the Tax Reform for Attracting Better and High Quality Opportunities (TRABAHO) or the renamed second tranche of the Tax Reform for Acceleration and Inclusion Law (TRAIN 2), saying there was no need for it, especially in light of soaring inflation.

“We will be on a head-on collision (with the majority) on the implementation of TRAIN 2. As you know, I used to be chairman of the House committee on ways and means,” Minority Leader Danilo Suarez told reporters at a news briefing.

What they will insist is for the government to be “revenue-neutral” and not the “double” revenue proposal submitted by economic managers of President Duterte, according to the Quezon province representative.

Suarez noticed that “Cabinet members boast of improved fiscal capacity of the country” owing to the “surplus” of P1.4 trillion in total revenue collection in the first half of 2018 – as reported by the Bureau of Treasury – which is “nine percent higher than the target.”

“Putting it simply, we have more money now. Therefore, to us, it seems odd that we raised taxes and projected higher income, yet the budget for our people was decreased,” the opposition lawmaker pointed out.

“The minority will not take this lightly. We will demand transparency and integrity in the fiscal activities of the government. Expect that we will scrutinize the proposed budget and ensure that government agencies will use the budget appropriately and effectively,” he said.

The veteran lawmaker reminded his House colleagues that while the proposed 2019 budget is for them to read and absorb, it “doesn’t necessarily mean that it should be followed” to the letter.

Suarez also opposed the rice tariffication bill which the House passed on second reading last Tuesday, noting that only foreign farmers from rice exporting countries like Vietnam, Thailand, Cambodia and Laos stand to benefit.

“We’re just making the farmer in those countries rich. Let’s fix first farming here in our own country,” Suarez said in Filipino.