Senator Loren Legarda on Monday called on the government to immediately suspend excise taxes and the 12% value-added tax (VAT) on diesel and gasoline, citing the urgent need to support sectors hardest hit by the ongoing U.S.-Iran conflict.
“Ngunit nakapagtataka na hindi pa rin tinutugunan ang pangunahing panawagan ng taumbayan, ang diesel, at gasolina na siyang ginagamit ng magsasaka, tsuper, at mangingisda para kumita,” Legarda said in a statement.
While welcoming President Ferdinand Marcos Jr.’s announcement of an excise tax cut on kerosene and liquefied petroleum gas (LPG), Legarda expressed disappointment over the delay in addressing fuel taxes that directly affect millions of Filipinos.
“Anim na linggo na mula nang sumiklab ang krisis sa Middle East, hanggang ngayon ba ay hindi pa din tapos ang pag-uusap sa polisiyang ito?” she said.
The senator estimated that fully removing both excise taxes and VAT would significantly lower pump prices — slashing diesel by around ₱22.07 per liter and gasoline by ₱19.64 per liter.
“Kung agad tayong gagalaw, ang diesel na ₱150 ay magiging ₱128 at ang gasolina na ₱90, magiging ₱70 na lamang,” Legarda said.
“Direkta itong mararamdaman ng mga mangingisda, magsasaka, driver, at bawat pamilyang Pilipino,” she added.
Legarda argued that direct tax relief would be more effective and faster than relying solely on targeted cash aid or “ayuda.”
“Hindi dapat ayuda lang. Para lamang ito sa pinakamahirap na kailangan itawid. Mawawalan din ito ng silbi kung hindi naman ito makararating sa mga kababayan natin sa oras na kinakailangan,” she said.
She criticized the slow pace of government bureaucracy in distributing assistance, stressing that immediate tax suspensions would provide quicker and broader relief to farmers, fishermen, transport workers, and ordinary households.
The administration, however, maintained that any potential suspension of taxes on diesel and gasoline remains under discussion and will be taken up in the next meeting of the unified panel on livelihoods, industry, food, and transport.