The Sangguniang Panlungsod (SP) of Bacolod City unanimously approved a measure expressing full support for House Bill No. 4302, which seeks to lower the Value-Added Tax (VAT) rate from 12 percent tp 10 percent.
House Bill No. 4302, filed by Rep. Leandro Legarda Leviste, aims to provide immediate financial relief to Filipino families and stimulate economic activity by reducing the VAT imposed on goods and services.
Bacolod City Councilor Caesar Distrito, who authored and sponsored the SP resolution, explained that Bacolodnons, like most Filipino consumers, are heavily burdened by the current VAT rate.
“At 12 percent, the Philippines has one of the highest VAT rates in Southeast Asia, compared to 7 percent in Thailand and Malaysia, and 8 percent in Singapore. This disproportionately affects ordinary wage earners and low-income families who are struggling with rising prices,” Distrito said.
The resolution underscores that lowering the VAT will increase the purchasing power of Bacoleños, encourage higher consumer spending, and energize local businesses, leading to a more robust and inclusive economy, he said.
The Bacolod City government and its residents are expected to benefit directly from the measure, as lower VAT means more affordable basic goods and services and improved household savings, he added.
Copies of the approved resolution will be formally transmitted to Leviste and the House of Representatives to demonstrate Bacolod City’s full and unwavering support for the proposed law.
“This is a call for tax reform that places people first. By easing the burden on consumers, we help families recover faster and create a stronger foundation for economic growth.” Distrito added.*