Help monitor
taxes on food items

Published by the Visayan Daily Star Publications, Inc.

NINFA R. LEONARDIA Editor-in-Chief & President

CARLA P. GOMEZ Editor GUILLERMO TEJIDA III Desk Editor NANETTE L. GUADALQUIVER Busines Editor ERIC T. LORETIZO Sports Editor (On Leave) RENE GENOVE Bureau Chief, Dumaguete MAJA P. DELY Advertising Coordinator

CARLOS ANTONIO L. LEONARDIA Administrative Officer

The recent monitoring by the local Bureau of Internal Revenue of some taxable and non-taxable items being sold in the public markets of Dumaguete City, including VAT registered establishments, is encouraging.

The bureau acted swiftly to present profiteering and has issued stern warnings to VAT-exempt establishments in Negros Oriental against taking advantage of the recent political crisis.

The VAT law states that non-VAT establishments are mandated by law to issue official receipts for sale of goods or services worth P25 and above, while VAT-registered establishments are required to issue receipts even for purchases for as low as P1, because it is a consumption tax imposed on the sale or importation of goods and services in the ordinary course of business.

We need to increase our tax collection to sustain the government's delivery of basic services. We can only reduce government expenditures by so much because the public relies on basic services, which include education and medical services.

We urge consumers, therefore, to be vigilant and not fail to ask for receipts for their purchases because, from every peso earned by the government, P0.86 centavos goes to debt servicing, P0.37 to interest payments, and P0.49 to principal payments, while the remaining P0.14 goes to other services. We also urge the authorities to attend to, and help solve the numerous complaints from consumers who are victims of the increase in prices of almost all items in local markets, that include even those not covered by the law.*