MANILA, Philippines - Opposition Rep. Edcel Lagman of Albay expressed opposition yesterday to the Duterte administration’s plan to seek higher taxes on cars that would jack up vehicle prices.
He said the proposed increase in car taxes would particularly hurt middle- and upper-income earners.
According to Lagman, the taxes will go up from two percent to five percent for automobiles with prices below P600,000; 20 percent for those selling for P600,000 to P1.1 million; 40 percent for those with prices ranging from P1.1 million to P2.1 million; and 60 percent for vehicles selling above P2.1 million.
“With the prices of automobiles becoming prohibitive, car users will be constrained to continue using their old environment-unfriendly vehicles (while) car distribution companies will suffer lower sales (resulting) in layoff of workers,” he said.
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