‘Pork’ banned under federal govt

RETIRED chief justice Reynato Puno, chairman of the Consultative Committee (ConCom) tasked to draft a new charter, said the allocation of pork barrel funds would no longer be allowed under the federal form of government. The 22-man ConCom approved on Tuesday the 78-page draft conM stitution for the proposed Federal

Republic of the Philippines.

Puno on Wednesday said under federalism, local governments would no longer receive pork barrel funds from the national government.

“If our proposal will be apM proved, there will be no more pork barrel from the national governM ment because they will be given the power to generate their own funds,” he said in a radio interview.

@“Meronnasilangsariling (They have their own) power to tax atdi silaaasadunsabinibigaynasalapi ng (and they will no longer be deM pendent on) national government including ‘yungmgaporkbarrelna ‘yan,” he added.

Puno revealed that one of the highly debated provisions in the proposed charter was the structure of the federal government.

“One of the biggest debates is whether we must have federal presidential form of government or federal parliamentary form or semi-parliamentary form. Hatinghati sabandanghuliangnanaloay‘yung federal presidential form of governM ment (The members were divided on that issue. In the end, those in favor of federal presidential form of government won),” Puno said.

The draft charter states that the federal government has the power to levy and collect all taxes, duties, fees, charges and other imposiM tions except those granted to the federated regions.

The federated regions would have the power to levy and collect real property tax; estate tax; donor’s tax; documentary stamp tax; professionM al tax; franchise tax; environmental tax, pollution tax, and similar taxes; road user’s tax; vehicle registration fees; transport franchise fees; and local taxes and other taxes which may be granted by federal law.

The federal government and the federated regions must ensure that taxation shall be uniform, equiM table and progressive. No double taxation shall be allowed.

The federated regions would be given a share of not less than 50 percent of all collected taxes on income, excise, VAT (value added tax), and customs duties, which shall be equally divided among them and automatically released.

The Supreme Court in November 2013 declared the Priority DevelopM ment Assistance Fund (PDAF) or pork barrel “unconstitutional.”