SENATOR Joel J. Villanueva has filed a bill seeking the automatic reversal of fuel excise tax rates to levels before to enactment of the tax reform law, setting as trigger events for the reversal the movements of fuel and food prices.
The bill’s trigger events are inflation exceeding the government target, average food prices increasing more than 7%, and crude oil prices exceeding P4,080 per barrel.
Senate Bill No. 2014, filed on Nov. 19, seeks to amend fuel excise tax provisions under Republic Act 10963 or the Tax Reform for Acceleration and Inclusion (TRAIN) law.
In a statement, Mr. Villanueva said the proposed three conditions will serve as “circuit breakers” against the undue burden of higher taxes. It also intends to help reduce the aggravating effects of fuel taxes if inflation exceeds the government outlook. — Camille A. Aguinaldo
