Senator Benigno Aquino IV has renewed his call to suspend the excise tax on fuel under the government’s Tax Reform for Acceleration and Inclusion Law, citing the heavy burden this has imposed on the transportation sector.
“For the drivers, operators and passengers, the TRAIN should be stopped to ease their burden,” he said.
Hs said the mechanism should be returned to suspend the excise tax due to inflation to reduce the burden of drivers, operators and commuters.
Aquino, one of four senators who voted against the ratification of the TRAIN Law, made the call after several jeepney operators filed a petition asking for a P2 fare increase amid the recent increases in prices of petroleum products.
He has filed Senate Bill No. 1798 which seeks to stop the collection of excise tax on fuel under TRAIN once the inflation rate breaches “target range.”
Under Aquino’s measure, the collection of excise tax will be suspended once the average inflation rate surpasses the annual inflation target over a three-month period.
The opposition senator introduced that specific provision during the TRAIN’s deliberation and was approved by fellow senators.
However, the provision was not included in the bicameral conference committee and the approved version of the measure.