SAN PALO, LEYTE – Trade and Industry regional Director Cynthia Nierras allayed the fears of consumers on the implementation of the additional two percent Expanded Value Added Tax (EVAT), saying that their agency would make sure that any increase would be within “reasonable limit.”
Nierras said that to ensure that the increase in the prices of the essential basic commodities would be within reasonable limit, a monitoring team, mostly from the provincial offices of the DTI-8, will visit different groceries and even markets.
This way, the DTI regional chief said, owners of the establishments would be asked to explain for an increase that is beyond the reasonable limit.
“They will be summoned to explain why they impose prices beyond what’s allowed. Of course, due process will be observed,” Nierras told Leyte Samar Daily Express.
The DTI-8 chief said that under the present condition, any establishment found to have imposed price increase on essential commodities would be sanctioned accordingly.
“They should not take advantage on the imposition of the EVAT to raise prices of the commodities beyond what is allowed. That would be aggravating on their part,” Nierras said.
She also appealed to business establishment owners to be “considerate” and not use the value added tax as a means to impose excessive increases on the items they sell to the consumers.
Since yesterday, the DTI field offices have yet to submit report to their regional office here, whether there has been movement of prices that were beyond those allowed by the DTI. An increase of 10 percent from the current price of a commodity is considered to be within the limits allowed by the agency.
A consumer welfare’s desk has been put into place in the different markets and groceries wherein consumers could lodge their complaint for any price increase beyond what is allowed.
The implementation of the additional two percent of EVAT, which took effect yesterday, raised concern among consumers on ground that it would further escalate prices of commodities. Last November 1, the government imposed a ten-percent value added tax to certain commodities and services.
Last Tuesday night, members of different militant groups based in the city staged their protest rally at the old bus terminal to dramatize their opposition to the implementation of the additional two percent EVAT saying this would further deprive ordinary wage earners.
But Nierras told Express that while she understand the sentiments of the consumers on the implementation of the EVAT, described by her as a “bitter pill”, the government has no other option but to enforce the said tax measure.
“The government has to implement this tax measure for it to raise the needed funds. And in the process, help provide basic services needed by the people,” the trade and industry regional chief said.
“So we call our consumers to sacrifice...for our own benefits,” Nierras added.
Meantime, Nierras also called on the local government units to do their share in activating their respective price monitoring councils to monitor any abnormal increase of prices on commodities sold on their markets or groceries.
Alert Alocilja, regional director of the Bureau of Internal revenue, had earlier told Express that the implementation of the EVAT would help the cash-strapped government of President Macapagal-Arroyo raised needed funds for it to implement projects and programs for the people.
Alocilja said that a big bulk of the income derived from the EVAT collection would be used for purposes of funding government projects and programs.
