Solons block BIR’s move allowing 12%VAT on toll 09/17/2011

Solons block BIR’s move allowing 12%VAT on toll

09/17/2011
Lawmakers yesterday blocked the move of the Bureau of Internal Revenue (BIR) allowing expressway operators to impose an additional 12 percent value added tax (VAT) on toll.

At least 81 lawmakers said the move was unconstitutional on the ground that new taxes are supposed to be approved by the House of Representatives and signed by the President as law before it becomes effective.

The lawmakers, in House Bill 5185 authored by Rep. Victor Ortega of La Union, stressed that all taxes must pass through the legislative mill and approved by the President.

Ortega cited that based on the congressional records, the VAT on toll rates was not included in the deliberations of the Expanded VAT Law in 1994..... MORE

Source:  The Daily Tribune

URL: http://www.tribuneonline.org/metro/20110917met3.html