Friday, April 13, 2012

WHY IS THE OIL ON VAT SO IRRATIONAL?

I was talking to a driver the other day how much he was earning. He told me: P1,200 for diesel, 500 for boundary and the rest for him and his family.

Since the VAT is 10%, so the 200 that he pays for diesel is the VAT. Now why should the driver pay taxes for something that he will use yet?

Aren't taxes supposed to be for finished products?+

Diesel, gasoline and all other oil products are base ingredients for things, work, services to be done. Why should we pay ahead of time?

Aren't the oil companies already paying taxes?

So why should this driver and the rest of the working people pay the VAT?

I really cannot understand why it is so difficult for people to lift that VAT on oil when doing so could erase a lot of the misgivings of the people for the shortcomings of this administration.

Should we start going back to the Beatles' songs like "Help" and other songs depicting their angst against this world? There is so much money for wars and for outerspace programs, and so little to feed the hungry stomachs. Who was it who said, we need to make the world stand on its feet?

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