MANILA – Senate President Vicente Sotto III said the Department of Finance (DOF) should explain thoroughly the second package of the tax reform program to convince senators to support the proposed measure.
“Kung totoong maganda ang epekto ng TRAIN 2 kung magiging maganda talaga i-eksplika nila sa mga kasama namin,” Sotto said in a radio interview.
The Senate President earlier admitted that majority of senators are not inclined to push for the TRAIN 2 even if it was mentioned by President Rodrigo Duterte during his third State of the Nation Address (SONA).
Likewise, Senate Majority Leader Juan Miguel Zubiri said that nobody wants to sponsor the proposed second package of the tax reform law.
Sotto said that while he understands the DOF’s explanation that TRAIN has inflationary effects, some lawmakers were surprised at the acceleration of commodity prices.
“Naiintindahan ko pero ang mga kasama natin naiintindihan nila… naiintindihan din nila ang palag ng mga kababayan natin, kaya ‘pag narinig ang TRAIN 2, sabi nung isang kasama namin, sabi teka si DOF sabi niya ‘yung inflation ganito, e hindi e,” he said.
“Walang gustong mag-file kasi nadala sa TRAIN 1 kasi nga napaso, unless mapatunayan na ang TRAIN 2 ay beneficial at makikita na ‘di maapektuhan ang mga kababayan natin e ipapasa namin yan.”
The TRAIN 2 aims to reduce corporate income tax rates to 25 percent from the current 30 percent and at the same time rational fiscal incentives given to large businesses.
Economic managers said that the second package will be revenue neutral, meaning no incremental revenues are expected from the tax measure.
“Depende kung sinasabi nila totoo na mas makabubuti kasi meron ako nakikita komentaryo ng mgaekonomista mas makabubuti raw kesa TRAIN 1. Tingnan natin we have two months more…,” Sotto added. (GMA News)
