Filipinos oppose new tax
By Jon Land
Two thousand people protested outside the Malacanang Palace in Manila on June 28 over the introduction of a new value-added tax (VAT). Organised by a coalition called KOMVAT, the action was part of a major campaign to block the implementation of an expanded VAT, which was passed by Congress in May.
KOMVAT is a broad alliance of mass organisations including SANLAKAS (a federation of 60 organisations), trade unions, urban poor, women's groups, religious groups, senators and individuals opposed to the VAT. It involves many of the same left and progressive forces that earlier this year defeated the introduction of an oil levy by the Ramos government.
The coalition opposes the introduction of a VAT on the grounds that it will place greater financial burden on the people and will not remedy the loss of government revenues through graft and corruption.
A KOMVAT press release stated that "massive protests will rock the country" if the VAT is not withdrawn. Anti-VAT rallies have been organised in other cities. A transport strike began in Davao City on June 30 in support of the campaign.
Widespread opposition to the VAT forced the Supreme Court on June 30 to place a temporary restraining order on the introduction of the law until July 7, when a decision will be made on a request to make the ban permanent. Renato Constantinto Jr, a spokesperson for the campaign, stated in the Manila Chronicle that protest actions would continue if the court allowed the VAT to stand.