Healthcare funding gap to get bigger if no sin tax increase —DOF
Aileen Cerrudo • May 18, 2019 • 2206
The Department of Finance (DOF) said there will be a funding gap of P62 billion for the recently passed Universal Health Care (UHC) if Congress will not increase sin taxes on tobacco and alcohol.
In a press briefing of the DOF and the Department of Health (DOH) on Friday (May 17), DOF Secretary Carlos ‘Sonny’ Dominguez III said there would be difficulty in implementing the UHC without new sources of revenue.
“If we do not establish new sources of revenue, we will not have enough funds to properly, fully implement Universal Health Care and ensure a better quality of life for all Filipinos,” he said.
He adds that if the increased sin taxes will be approved, the UHC can cover around 120 drugs to Filipinos.
Meanwhile, Health Secretary Francisco Duque III said raising taxes will also reduce consumption leading to better health for Filipinos.
“Sin tax is first and foremost a health measure. When the prices of cigarettes and alcohol are higher, it is harder, especially for the youth to buy these very harmful products. We can only reduce consumption by making these “sin” products less affordable to consumers,” he said.
Both departments also envisioned the Philippines to be one of the healthiest in Asia by 2040. They propose to increase tobacco taxes by P60 per cigarette and P40 per liter of alcohol.
“With 9 days remaining in the 17th Congress, there is still time to collectively take action. We look forward to the support of our counterparts in the legislature, during this crunch time. This is the final round, tapusin na natin ang boksing, (Let’s finish the fight)” Duque added.
Senator Manny Pacquiao filed Senate Bill 1599 which aims to increase tobacco excise tax to P60 per pack in the first year of implementation, and an additional nine percent each year afterwards.
Senator Sherwin Gatchalian filed Senate Bill 2177 raising tobacco taxes to P70 per pack while Senator JV Ejercito filed Senate Bill 1605 increasing tobacco taxes to P90 per pack.
The House of Representatives has approved on third and final reading the bill which seeks to increase taxes on alcohol and vape products.
Based on House Bill No. 1026 “distilled spirits shall have an excise tax of 22% of the retail price, as well as an additional specific tax of P35 per proof liter in 2020, P40 in 2021 and P45 in 2022. The specific tax shall be increased by seven percent every year afterwards.”
The Committee on Ways and Means chairman Rep. Joey Sarte Salceda assures the excise tax on tobacco products, as stated in the bill, is only for vape products.
“So if you are so afraid of the tobacco taxes, there are no new tobacco taxes (in the bill) except for vape which is not a tobacco product. It is essentially a vape, non-combustion,” he said.
Salcedo added that vape products will have an increase of P30 in excise tax from the current P10.
The bill states that selling heated tobacco products and vapor products at prices lower than the combined excise and value-added tax rates required by the law shall be prohibited.
There will also be a Joint Congressional Oversight Committee which will be referred to as the Oversight Committee on Illicit Trade on Excisable Products.
The said committee will (a) evaluate the programs and performance of the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) in addressing illicit trade on excisable products and recommend remedial legislation; (b) require concerned agencies to submit reports and data that can aid in resolving illicit trade of excisable products; (c) hold public hearings; and (d) deputize the BIR, the BOC, the Philippine National Police, the National Bureau of Investigation and other enforcement government agencies as may be needed, among others.
Meanwhile, DOF Undersecretary Karl Kendrick Chua told reporters last Thursday (Aug 15) that they are not satisfied with the House version of the bill.
“We are not satisfied with the House version, but it’s a starting point. We hope to convince senators to go for higher rates for the universal health care program,” he said.—AAC
The National Kidney and Transplant Institute (NKTI) has turned its gymnasium into an alternative ward for leptospirosis patients.
This is to accommodate patients with leptospirosis and be provided with immediate treatment for the deadly disease.
The Department of Health (DOH) said the recent rains that caused flooding had contributed to the increase in the number of leptospirosis patients in Metro Manila alone.
To date, the DOH has recorded 106 fatalities and more than 900 cases of leptospirosis. 300 of which are from the NCR.
“It’s really a problem because you know the environmental, sanitation and hygiene do affect the health of our people because the local government, for example, do not do their efficient garbage collection, so certainly it raises the risk of the populace,” DOH Sec. Francisco Duque added.
This, however, is still low compared to what was recorded last year in the last 2 years.
The DOH then urged the public to maintain cleanliness in their respective surroundings to prevent leptospirosis. (with details from Mai Bermudez) /mbmf
The National Capital Region (NCR) has recorded more than 11,000 dengue cases from January to August 10 this year.
This is 33% higher than what was recorded in the past five years.
“It’s starting to rise and just like the other regions that began with the alert levels, naging epidemic level na sila [they’ve reached the epidemic level]. Pwede pa ring sumipa ang dengue. Kaya hindi ho tayo pwedeng magpahinay-hinay [Dengue case can still go up. That’s why we should not be complacent],” Department of Health (DOH) Secretary Francisco Duque said.
The cities in the NCR where dengue cases have spiked include Paranaque, Malabon, Taguig, Makati, and Mandaluyong.
The DOH clarified that no medicine, supplement, or vaccine had been proven to cure dengue.
The health department also supports the move of the Department of Science and Technology (DOST) to fund the distribution of food supplements which may help increase an individual’s platelet count to avoid dengue.
“Wala namang gamot ang dengue. Wala ring bakuna. At kung meron man sila ng inaalay na makakagamot, hindi po totoo iyan. Ito po ay food suppmement lamang at kinakailangan merong FDA certificate of product registration [There is no medicine for dengue. No vaccine either. And if there are some who offer something that’s supposed to cure dengue, it’s not true. It’s just a food supplement and it needs to have FDA certificate of product registration],” Duque added.
The health official then reminded the public to clean their surroundings and eradicate dengue-mosquito breeding areas through the 4 o’clock habit using the 4S strategy:
Search and Destroy
Seek Early Consultation
Support Space Spraying
This is to further prevent the number of dengue cases in Metro Manila to further exceed the health department’s alert threshold. (from the report of Aiko Miguel) /mbmf
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