A POLITICAL group on Monday urged President Ferdinand R. Marcos, Jr. to swiftly suspend excise and value-added taxes on petroleum products amid a conflict in the Middle East.
The Philippines should not wait for global oil prices to hit $80 per barrel before suspending petroleum duties, former Party-list Rep. Carlos Isagani T. Zarate said in a statement.
“The suspension of excise and value-added taxes on petroleum products is now necessary, as there is no other way to protect consumers while Congress is out of session,” he said in Filipino.
A 2017 law previously allowed the government to suspend the collection of excise tax on petroleum products when world oil prices reach $80 per barrel for three months, but the provision lapsed five years ago.
“The government has the executive power to suspend these burdensome taxes immediately,” Mr. Zarate said. “We cannot afford to wait for legislative action when our people are already suffering from rising prices of basic commodities.”
Rising global oil prices could stoke inflation, Albay Rep. Jose Ma. Clemente S. Salceda said in a separate statement.
“When oil gets more expensive and the peso is weak, it costs more to import fuel,” he said late Sunday. “Every $10 increase in oil prices could raise inflation in the Philippines by as much as 0.5% for poor households.” — Kenneth Christiane L. Basilio
