Metro Manila (CNN Philippines, February 7)— President Ferdinand Marcos Jr. agrees with a lawmaker’s proposal to increase taxes on luxury goods, calling the move “reasonable.”
“I think right now the tax on luxury goods only covers very specific items, and luxury goods, as those who have put in some study on these, know hindi nagbabago ang demand diyan kahit anong sitwasyon [the demand won’t change no matter the situation],” Marcos told reporters on Tuesday when asked about the bill recently filed by Albay Rep. Joey Salceda.
“[K]ung titingnan ninyo, ‘yung mga luxury items, hindi nagbabago ang presyo niyan dahil may kaya ang mga bumibili,” he added. “So, palagay ko naman, it’s reasonable that we will tax the consumption side of those who are consuming luxury items.”
[Translation: If you look at it, the prices of luxury items don’t change because there are people who can afford it. So, I think it’s reasonable that we will tax the consumption side of those who are consuming luxury items.]
Filed last week, House Bill No. 6993 aims to hike the tax rate of non-essentials goods from 20% to 25%. Items in the list include luxury watches, cars, bags, and other products.
Salceda, who cited how the country’s system has failed to “tax the rich,” said the proposal can mean billions of revenues for the government.
