Claiming that owners of multi-wheel vehicles have more money to pay for higher road user tax, a lawmaker proposed to spare millions of motorcycle owners from the planned tax increase.
In a report by The STAR, Albay Rep. Joey Salceda, who chairs the ways and means committee, said that he will propose to exempt millions of motorcycle owners from the motor vehicle user’s charge (MVUC).
Salceda said he would like to impose a tax increase on four-wheel vehicles whose owners, he said, have more money.
The lawmaker said that there are an estimated four million owners of cars, sport utility vehicles, pick-up trucks, vans, and other vehicles. While motorcycle owners, on the other hand, are estimated at around seven million.
“I will propose that we exempt motorcycle owners. There are seven million of them,” he said.
A proposed law by the Department of Finance (DOF) could up the road user tax by as much as 300 percent over the next three years.
The road user tax is being collected in the form of higher annual vehicle registration fees by the government from millions of motorists.
The DOF is proposing that road user levy (a multiplier to the vehicle weight) would be increased by P1.40 for next year, P1.95 for 2021, and P2.50 for 2022. – With Jess Diaz/STAR