Comments on: What do you think is the reason for this difference in common observation and official figures? http://reynaelena.com/2007/08/20/what-do-you-think-is-the-reason-for-this-difference-in-common-observation-and-official-figures/ Mon, 06 Feb 2012 20:55:02 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: reynz http://reynaelena.com/2007/08/20/what-do-you-think-is-the-reason-for-this-difference-in-common-observation-and-official-figures/#comment-20215 reynz Wed, 22 Aug 2007 15:27:44 +0000 http://reynaelena.com/2007/08/20/what-do-you-think-is-the-reason-for-this-difference-in-common-observation-and-official-figures/#comment-20215 JHV! me tama ka! i missed that one! indeed! and the worst thing? did i hear na most rich people eh di naman talaga nagbabayad nang bwis? they hire the best cpa's in the world para lang makaligtas sa mga taxes na yan! JHV! me tama ka! i missed that one! indeed! and the worst thing? did i hear na most rich people eh di naman talaga nagbabayad nang bwis? they hire the best cpa’s in the world para lang makaligtas sa mga taxes na yan!

]]> By: JHVRothschild http://reynaelena.com/2007/08/20/what-do-you-think-is-the-reason-for-this-difference-in-common-observation-and-official-figures/#comment-20214 JHVRothschild Wed, 22 Aug 2007 07:01:10 +0000 http://reynaelena.com/2007/08/20/what-do-you-think-is-the-reason-for-this-difference-in-common-observation-and-official-figures/#comment-20214 I think the inequality in the Philippines is also driven by its extremely regressive tax system. A consumption tax simply hurts the poor the most. The VAT is a type of consumption tax which at its current rate of 12 percent is really reducing the spending power of lower middle and lower classes. Think of it this way. When Lucio Tan buys a t-shirt his tax is the same as that of a day laborer making 200 pesos a day. Does that seem right? Does it seem equitable? The impact to Lucio Tan is simply far less compared to the day laborer. The VAT has to go. I think the inequality in the Philippines is also driven by its extremely regressive tax system. A consumption tax simply hurts the poor the most. The VAT is a type of consumption tax which at its current rate of 12 percent is really reducing the spending power of lower middle and lower classes. Think of it this way. When Lucio Tan buys a t-shirt his tax is the same as that of a day laborer making 200 pesos a day. Does that seem right? Does it seem equitable? The impact to Lucio Tan is simply far less compared to the day laborer.

The VAT has to go.

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