Duterte pitches for gross taxation to address corruption in gov’t
Robie de Guzman • September 13, 2019 • 519
MANILA, Philippines – President Rodrigo Duterte is pushing for the use of gross taxation system over net tax collection in a bid to eliminate corruption in the government.
Duterte floated the idea on Thursday, saying the adoption of gross taxation system would significantly reduce corruption, starting in the Bureau of Internal Revenue (BIR).
The president previously made mention of this proposal during a media interview in Malacañang on Tuesday.
“Pag gross, wala na. ‘Yang mga examiner, wala nang trabaho ‘yan. Dito ka sa neto eh kasi may mga ano, bayaran, exemption ganun,” he said.
“Kung sinsero talaga kayo and you are on my side to stop corruption, if media would really help government and the Filipino people, all you have to do — tayong lahat, we agitate Congress, gross na tayo,” he added.
The president, however, did not elaborate on how the suggestion will be implemented.
Gross income tax is a tax assessed against the money somebody earns and is applicable to income from a job, as well as to funds that are set aside in an estate or trust.
While net taxes, are levied on production less subsidies received. It also paid to the government less transfer payments.
Net taxes are a simple version of a checkbook balance for governments as they measure the inflows and outflows of the state’s tax activities.
Duterte said that the need for examiners will be eliminated if the computation system of corporate taxes will be changed.
“I guarantee you, ‘pag pumunta tayo ng gross, wala ng examiner, wala ng deduction then they do not haggle for anything. ‘Pag nandiyan na ‘yung resibo, ‘yan na ‘yun,” he said.
The chief executive said this form of tax is already being used in foreign countries, including Hong Kong, Singapore, and Japan.
In response to Duterte’s suggestion, the Department of Finance (DOF) said it will look into shifting to gross taxation.
MANILA, Philippines – Malacañang confirmed Friday that the Philippines has started the process of terminating the Visiting Forces Agreement with the United States, a day after President Rodrigo Duterte threatened to end the deal if it does not reverse the cancellation of Senator Ronald “Bato” dela Rosa’s visa.
Presidential Spokesperson Salvador Panelo said the president issued the termination order Thursday night despite giving a month for the US to restore the senator’s visa.
Panelo said the order has already been relayed to Foreign Affairs Secretary Teodoro Locsin Jr. as well as Philippine Ambassador to the US Jose Manuel Romualdez.
“I just talked with Secretary Teddy Boy Locsin, and he said that he will start with the process and he called up already the vice chair and they talked, and Ambassador Romualdez has already been informed, I was also talking to him earlier,” he said.
In a tweet on Friday, Locsin confirmed he and Defense Secretary Delfin Lorenzana have taken the first step in ending the 1998 deal with the US government.
Locsin sits as the chairperson of the Commission on Visiting Forces while Lorenzana serves as vice chairman.
“Del Lorenzana and I- as Vice and Chair of USVFA – are starting the process of terminating it by first contacting the Senate because it is a treaty on our side, an executive agreement on the US side. I’m leaving for Washington on a totally unrelated matter,” he wrote on his Twitter account.
Lorenzana, for his part, refrained from commenting into Duterte’s latest pronouncement.
“Will study it first,” he said in a message to reporters. “No comment muna. Too soon to comment.”
The VFA is a bilateral accord between Washington and Manila that came into force in 1999. It outlines the guidelines about the treatment of their troops when visiting the US or the Philippines. It includes provisions on visa and passport policies for US troops and the American government’s right to retain jurisdiction over its personnel, among others.
The deal may be terminated by either of the two countries by writing to the other party signifying their intent to end the agreement. Its expiration will come 180 days from the date of notification. – RRD (with details from Correspondents Rosalie Coz & Lea Ylagan)
MANILA, Philippines – President Rodrigo Duterte said he has decided to reject the invitation of United States President Donald Trump to attend the US-Association of Southeast Asian Nations (ASEAN) summit to be held in Las Vegas this March.
Duterte announced his decision during an interview with Russian International Television Network RT.
“I just received an invitation to go to the United States together with the ASEAN leaders. I haven’t been to the States. I was invited by [former US President Barack] Obama a while back. But I did not go,” he said in a video posted on Thursday.
When asked if he will attend the upcoming summit between the US and ASEAN, Duterte replied with: “No, no.”
During the interview, the president recalled the time when Obama criticized him and his campaign against illegal drugs.
“One time when I was being criticized by Obama in a press conference, he should have realized that I’m also the head of a sovereign state. He should have criticized me in the proper venue,” he said, referring to a September 2016 press conference where Obama urged Duterte to conduct his campaign “the right way.”
The president said Obama’s move to castigate him in a press briefing got him “so mad” and prompted him to curse the former president.
Presidential Spokesperson Salvador Panelo earlier said that the chief executive is “still pondering” on whether he would accept Trump’s invitation as he is mindful of the possibility of getting barred from entering the US since he doesn’t have a visa, and making some American senators “unhappy” seeing him there. – RRD (with details from Correspondent Rosalie Coz)
MANILA, Philippines – President Rodrigo Duterte can terminate the Visiting Forces Agreement (VFA) between the Philippines and the United States (US) even without the concurrence of the Senate, Malacañang said on Friday.
Presidential Spokesperson Salvador Panelo issued the statement after the president threatened to scrap the VFA if the US government does not reverse the cancellation of Senator Ronald “Bato” dela Rosa’s visa.
“Because it (VFA) is an executive agreement so he can cancel it without the approval of the Senate,” Panelo said.
Dela Rosa on Wednesday confirmed to media that he is not allowed to travel to the US for now after he received notification about his visa cancellation.
The senator said the exact reason on why his US visa was cancelled remains unclear but he heard reports it might be linked to the Duterte administration’s war on drugs that he spearheaded when he was the chief of the Philippine National Police (PNP) from 2016 to 2018.
The VFA, signed by Manila and Washington in 1998, is a bilateral deal which outlines the guidelines for the conduct of government troops when they are visiting the US or the Philippines.
Panelo said the US government should not intervene with the Philippines’ internal issues.
The Palace official also believes the president’s threat to cancel the VFA will not affect Filipino workers in the US. – RRD (with details from Correspondent Rosalie Coz)
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