‘Katas ng VAT’ Did Not Reach Majority of Filipinos

According to the January 2009 IBON Nationwide Survey, 62.5 percent of the 1,500 respondents said that the government subsidy package did not reach them, while 18.1 percent said that it did.

BY IBON FOUNDATION
Posted by Bulatlat

Malacañang released this week the final P4-billion ($82,850,041 at the current exchange rate of $1=P48.28) tranche of the so-called ‘Katas ng VAT’ program, a subsidy package funded by excess revenues from the value-added tax (VAT) on oil. However, majority of Filipinos believe that revenues from the tax measure did not reach them.

According to the January 2009 IBON Nationwide Survey, 62.5 percent of the 1,500 respondents said that the government subsidy package did not reach them, while 18.1 percent said that it did.

Moreover, 58.9 percent did not agree that VAT revenues go to social services spending and other needs of the people.

Of the total respondents, only 55.4 percent said that they were aware of the government’s subsidy package. Asked if this was enough to alleviate the poor’s condition, 84.2 percent of these respondents said no, while 11 percent said yes.

Research group IBON Foundation has criticized government’s subsidy program, saying the majority of the 17.4 million poor families are not reached in a sustained manner. More importantly, the VAT earnings are barely used to subsidize pro-poor projects as P6 ($0.12) for every P10 ($0.207) immediately go to servicing the government’s debt.

The IBON Survey was conducted Jan. 7-16, 2009 across various regions and sectors nationwide. It has a margin of error of plus or minus three percent. (Posted by Bulatlat)

Below is the tabulation of the respondents’ perception on the government subsidy program and value-added tax revenues.

According to the government, the Value Added Tax (VAT) is needed to generate revenues for social services and other needs of the people. In your opinion, do VAT revenues actually go to social services and other needs of the people?

Do you know the Arroyo administration has recently distributed a subsidy package to alleviate the people’s present condition?

In your opinion, are these enough to alleviate the people’s condition?

Has the VAT revenues reached you?

Please visit www.ibon.org for the full results of the January 2009 survey.(Bulatlat.com)

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