Senator Juan Edgardo Angara on the Proposed Increase of Tax Exemptionfrom P30,000 to P82,000

A photo of Sen. Angara grabbed from google.com

This is the transcript of Senator Angara’s interview on the proposed increase of tax exemption from P30,000 to P82,000.  Credit goes to the Senate of the Philippines which published this on its website senate.gov.ph on November 21, 2014.

QUESTION: Sir na-pass na po sa second reading yung pag-raise ng tax exemption. Who and how many will benefit?

Sen. Juan Edgardo Angara: Well, yung magbe-benefit dito siyempre yung medyo malaki yung bonus kasi in-increase natin from P30,000 to P82,000. Ang computation namin anywhere from 250,000 to maybe 480,000 taxpayers or members of the working class.

QUESTION: Sir mahahabol po pa ba ito for this year?

SJEA: Well, definitely sa Senate palagay ko kayang ihabol na maipasa this year but alam naman natin yung proseso ng pagbalangkas ng isang batas ay maraming dinadaanan. After third reading ng Senado dadaan pa ng bicameral conference yan tapos pupunta pa sa Malakanyang para sa pirma ng pangulo tapos napirmahan na ni Pangulo; meron pang publication at meron pang implementing rules. So, alam natin na hindi madali yung proseso sa paggawa ng isang batas.

QUESTION: Sir, can you clarify na meron daw letter from DoF requesting not to pass it yet within this year?

SJEA: Actually, there was never a stage na sumuporta ang DoF sa panukala natin from the start. So, whether there's a letter or not; there have been many intimations...maraming sinabing...maraming beses na sinabi ng DoF na they oppose to this. Ang problema lang sa DoF never tayo nabigyan ng reliable na datos based on the taxpayers data. So yun ang nakakalungkot dito. In fact ang sabi nga ng ilang eksperto medyo exaggerated yung figures ng DoF. Yun ang nakakalungkot. Una ang sabi nila P43-B tapos naging P39-B tapos habang malapit na pumasa yung batas sinabi nila P26-B nalang ang revenue loss. When actually ang sinasabi ng most resource persons and economists, P3 to 4 to 5 B is the realistic estimate.

A photo grabbed from google.com

QUESTION: Sir ano ang pagpalubag-loob natin sa DoF? Pano nila mababawi yung revenue na supposedly mawawala sa kanila dahil sa bill na ito?

SJEA: Well, marami rin tayong measures na tutulong sa revenue collection. Tulad ng fiscal incentives law kaso dito hindi nagkakasundo ang DTI atsaka DoF. So, sana yung magkaroon sila ng isang pananaw dito sa panukalang batas na ito.

QUESTION: Though may revenue loss, what's your best argument for passing this law?

SJEA: Sa akin ano naman silbi ng gobyerno kung marami siyang pera kung mga mamamaya niya ay wala namang pera, diba. Di naiuuwi yung resulta ng kanilang pawis at hirap.

QUESTION: Sir, ganun ka-simple yun. Tapos Sir, its' P82,000 now...

SJEA: That be a subject to the bicam committee because the House version is P70,000 so..

QUESTION: Revenue...

SJEA: Well, ako..I don't want to take a hard position because it will affect the bargaining at the bicam level. So sa akin I'm sure pag-uusapan namin ng maigi.

A photo grabbed from google.com

QUESTION: (inaudible)

SJEA: Well, hindi na siguro bababa ng 70 yun kasi yun ang position ng House. So, at the very least at the Senate pero siyempre tayo as a Senate panel paglalaban namin yung pinasa naming version.

QUESTION: Senator Recto said may posibilidad na pakiusapan ang House na i-adopt yung House version niyo.

SJEA: Pag-ginawa natin yun siyempre mapapabilis. Hindi na kailangan mag meeting.

QUESTION: Mapapakiusapan niyo ba...

SJEA: We will try our best...alam mo naman mahirap mag-garantiya ng resulta.

QUESTION: Sir, what are the chances na mapasa today..

SJEA: Today?

QUESTION: This year..sorry, this year.

SJEA: This year...

QUESTION: Medyo maliit na yung chances...

SJEA: Maganda yung chances na mapasa this year...

QUESTION: Sa Senate. I mean to be passed it into law

SJEA: Well hindi natin masabi. It also depends how quickly the president signs it and how quickly we convene the bicameral conference or how quickly we convince the House to adopt the Senate version. Yun ang mga considerations natin dito.

QUESTION: Sir, syempre magagalit yung mga tao kasi syempre hindi naman lahat maiintindihan yung lawmaking process dito.

SJEA: Well, siguro ang number one limitation ng Senate dito is yung tinatawag na origination clause ng ating saligang batas na nagsasabing, lahat po ng panukala ukol sa pagbubuwis, sa pinansyal ng ating gobyerno tulad ng budget ay kailangang magmula sa Kamara de Representante. Ang ibig sabihin niyan, ako bilang chairman ng committee on ways and means, hindi ko mailabas sa aking komite, tulad ng pangkaraniwang panukala, hindi ko pwedeng ilabas hanggat hindi pa napapasa ng Kamara. So, once na pinasa ng Kamara nung October, pinasa rin namin sa aming komite. Inilabas namin, hindi kami nag-antay. I think the house... the senate read out on the floor on October 20, we sponsored it on the floor October 22.

QUESTION: Sir, may request yung DoF na mag (inaudible) kayo.

SJEA: Actually, the DoF requested us not to sponsor it on that day and they said they had a new study pero sabi natin sana binigay niyo yan nung nag-hearing tayo ng tatlong beses. Bakit ngayon pa na kumbaga nakasalang na tayo, kumilos na ang house of representatives.

QUESTION: Kung ganon yung stand nila Sir, how will you (inaudible) the risk na ma-veto tong...

SJEA: Well, there's always that risk but I think that knowing the President, he will listen to both sides. At pag nakita naman niya na marami ring respetadong tao na nagsasabing hindi ganon kalaki ang revenue loss, palagay ko papakinggan naman niya yan.

QUESTION: Sir, after the signature ng presidente, sino yung gagawa ng IRR?

SJEA: Well, it's the DoF and the BIR.

QUESTION: Gaano tayo nakakatiyak na hindi tutulog sa BIR at DoF?

SJEA: May nilagay na amendment si Senate President Drilon na yung effectivity ng batas ay hindi maaapektuhan kung saka-sakaling hindi kumilos ang DoF at BIR dahil mayroon ng... with due respect, mayroon ng mga instances in the past na hindi nila ginawan o kaya dinelay ng ilang taon ang implementing rules para lang hindi maapektuhan yung koleksiyon at hindi maimplement agaran ng agaran yung panukala.

QUESTION: Sir, so hindi na kailangan yung IRR sir?

SJEA: For effectivity of the law, no. Meaning, kahit tagalan nila... upuan nila yung IRR e...

QUESTION: Deretso na.

SJEA: It will take effect immediately.

QUESTION: Sir, sa situation right now... ang realistic talaga is next year na i-implement.

SJEA: Well, bilangin na lang natin no? I can't predict kasi I don't know how long Malacañang will take to sign it. I don't know how long the House would take to act to Bicam report... those things are beyond my control so I don't want to make a statement on that. Basta ang commitment natin, we're working as fast as we can.

QUESTION: Pero Sir, may assurance from the Palace na he will sign it?

SJEA: I think the Senate President talked to Executive Secretary Ochoa and he said, well we'll leave it to Congress. Yun ang sabi sa kanya, we'll leave it to Congress. Hopefully that is an indication that the President is not inclined to (inaudible)... We are hoping... sayang din yung trabaho natin diba? Pagka...

QUESTION: Sir, worth P5 million daw yung mawawalang...

SJEA: Yes, I think that's a more accurate figure than the figure cited by the Department of Finance.

QUESTION: Sir, saan siya pwedeng kunin kung mawawala yun...

SJEA: Well, don't forget we passed the sin tax bill. Eh with the sin tax bill, we have P50 billion in additional revenues and growing yan kasi... under the sin tax, lumalaki pa yung tax natin e. So, at 2017 lalaki yung koleksiyon natin so sa akin... bakit hindi natin ibalik?

QUESTION: Sir, ano ba yung posibleng mabili natin for Christmas dun sa 82,000 pesos nay un?

SJEA: Well, depende na sa pamily siguro mabayaran na yung mga utang, makabili ng magandang pang noche buena. Iyon yung nakikita ko. Tapos yung sa edukasyon ng kanilang mga anak. Mabayaran yung mga car loan. Yung mga bagay-bagay na nakikita mo siguro kahit papano ay makakatulong tayo kahit konti; nakatulong na rin tayo sa mga kababayan natin.

QUESTION: So, what would happen kung ise- certify ng Presidente as urgent? (inaudible) considering you don't need IRR.

SJEA: It might help...oo, it might help. Pero that usually helps only to speed up the second and third reading that is the effect of the certification. We don't have a gap between on the second and third reading. In this case, halos patapos na yung three-day gap.

QUESTION: So, pwede niyo nga talaga mapasa?

SJEA: Kasi alam niyo naman yung tradition dito na pagka-budget walang nakakasingit.

QUESTION: So by December 1 ine-expect ni Senator TG ang budget?

SJEA: December 1. Well, kaya nga pwede nating ipakausap kay Senate President at saka kay Majority Leader na isingit natin yung third reading kapag may lull sa budget. Tutal that's only a votation diba kaya it's only a voting.

QUESTION: Pero sir kahit na maisingit, malabo na rin talaga?

SJEA: Kahit maisingit? Well, like I said it is difficult to predict all the other stages which are beyond our control.

QUESTION: So sir yung third reading by December 1 pwede? Tapos magba-bicam kayo, compromise sa amount, pwede pa rin. Ilang days ang printing (inaudible)

SJEA: Iyon ang hindi ko alam sa Senate Printing Office naka-depende siguro kung ano yung ginawa nila or mag-o-overtime ba sila.

QUESTION: Sir, yung publication ilang araw po ba yun?

SJEA: Yung publication it is usually 15 days.

QUESTION: Sir, alam niyo lagi itong good news ngayon nagiging bad news?

SJEA: Hindi naman siguro kasi yung perspektiba lang natin na 20 years hindi kumilos yung P30,000 and finally nagawan na natin ng paraan. Huwag na po tayo mag-focus sa maliliit na detalye. Matuwa na lang po tayo na finally medyo okay na.

QUESTION: Sir, yung amendment ng SP effective immediately after publication?

SJEA: Which one?

QUESTION: Yung amendment.

SJEA: Yung amendment ni Senate President is para hindi magagawan ng paraan ng BIR at DOF to stall the implementation of the law itself. Kasi, in fact, kasi in practice nagagawa nila iyon.

QUESTION: So, kung next year at may bonus ka na ng April, pwede na yun?

SJEA: Yeah. Kasama na yun. Kasama na yun.

QUESTION: Sir, si Sen. Osmeña patuloy parin pagbanat sa APECO.

SJEA: Well, I'm not really surprised! Are you surprised?

QUESTION: No! (Laughs) Five years (inaudible)

SJEA: (inaudible) I don't expect him to... I'm just being consistent with the, his own advocacies.

QUESTION: Kailangan bang idaan lagi sa budget yung ano...

SJEA: Yeah. Because it's a government corporation. It's created pursuance to laws as Chairman Escudero mentioned yesterday. Just read the process na lang, nakalagay sa gobyerno tsaka sa budget. You cannot just give money to any entity without an appropriations cover from Congress.

QUESTION: Sir, yung paulit-ulit na issues wala namang naitutulong yung locator?

SJEA: Well, isipin na lang natin yung Clark, yung Subic, yung Cagayan, yung Bataan, may gestation period talaga eh. In the period from translating your vision from the law to the reality, create building roads, and buildings, that takes time, diba? And kung hindi pinopondohan ng gobyerno how will you succeed diba? That's the reality.

QUESTION: Sir, paano ho kokontrahin yung sinasabi niyong ganyan ...

SJEA: Well, right now I'm in the weaker position because he is the Chairman of the Subcommittee on Finance. All I can do is request, speak to his reason and to his good sense na sana he will restore some of the budget. That's what I plan.

QUESTION: How about yung sa bicam can you also ask other?

SJEA: Sa bicam? Hindi. I think the Senate, the tradition is to work in a consensual manner to talk to the members rather than to bring it outside of the Senate. I think I prefer to talk to him.

QUESTION: Ma-restore?

SJEA: Well, restore. As much as his willing to restore.

QUESTION: How much is that?

SJEA: I don't know? You have to ask him.

QUESTION: Thank you sir!

SJEA: Thank you! Thank you!

Sources: senate.gov.ph and Google for the pictures