Senator Imee Marcos on Thursday called on the government to reconsider her proposal to temporarily suspend the value-added tax (VAT) on fuel, as motorists continue to face consecutive price hikes.
Marcos noted that the country had anticipated such a scenario years ago, citing her Senate Bill No. 187, later refiled as Senate Bill No. 120 in 2025, which seeks to grant the president authority to suspend the 12% VAT on petroleum products during periods of steep price increases.
“(Noong) 2022 pa, nakita na natin at inasahan ang krisis na ito. Kaya inihain ko ang SBN 187 na bigyan ng kapangyarihan ang presidente na ipatigil pansamantala ang pataw na VAT,” Marcos said in a statement.
The senator explained that lifting the VAT would provide immediate relief, since the tax is built directly into pump prices.
“Ngayong linggo, inaasahang aabot ng halos ₱85 ang diesel, habang ₱74 ang gasolina. Kung ipapatupad ang suspensyon ng VAT, makakabawas tayo ng ₱8.43 kada litro ng diesel at ₱6.79 kada litro ng gasolina,” she added.
Marcos emphasized that the proposal targets smaller sectors most affected by fuel price surges, rather than providing blanket relief to all industries.
“Tututok lamang tayo sa mga maliliit na sektor na higit na apektado ng pagtaas ng presyo ng langis—tulad ng mga tsuper at operator, magsasaka, mangingisda, at iba pang maliliit na kumukonsumo ng petrolyo,” she said.
She also highlighted the government’s experience in granting VAT reductions to specific groups, referencing similar measures for senior citizens.
Marcos urged the Department of Finance to ensure that any targeted VAT relief prioritizes smaller sectors, so that benefits reach those who need it most instead of large corporations.
“Naghihikahos na ang ating mga maliliit na sektor, kaya nararapat lang na sila ang makinabang sa ganitong hakbang at hindi lamang ang malalaking kumpanya,” Marcos said.