The bible of Philippine politics

Pahirap sa motorista! Salceda wants 300% increase in road user’s tax

0 45

By JOHN CARLO M. CAHINHINAN

Ordinary motorists may face another financial burden starting next year as House Committee of Ways and Mean chair Joey Salceda is eyeing a 300-percent increase of the motor vehicle users’ charge (MVUC) or the so-called Road User’s Tax.

Salceda’s proposal under House Bill No. 4695 “imposes an optimal ‘motor vehicle road users tax’ (MVRUT) on all types of vehicles.”

The proposed legislation introduced by Salceda seeks imposes a unitary rate at P1.40 per kilogram of gross vehicle weight (GVW) for all types of motor vehicles while retaining the multi-tiered structure under Republic Act No. 8794.

Salceda stressed it was about time to implement adjustments to the MVUC since it was introduced in 2004.

Under HB 4695, the previous P800 MVUC for regular vehicles with 1,600-kilogram GVW will become P3,056 by January 2022.

Th amount is on top of other usual charges such as registration fee and emission testing.

Regular vehicles with GVW not over than 2,300 kg will be charged P6,876 by January 2022 from its former rate of P1,800.

Those passenger vehicles with GVW more than 2,300 kg will be charged P15,280 from its previous rate of P4,000.

Meanwhile, “utility vehicles” like pick-up trucks will be charged P3,820 from its former rate of P1,000 by January 2022 if it weighs up to 2,700 kg. Sports Utility Vehicle (SUV) with 2,700-kg GVW will pay P4,393.

Motorcycles less than 400cc will not be charged with MVUC under Salceda’s bill.

Salceda explained that government will earn by as much as P32.61 billion annually if HB 4695 will become a law.

Salceda said that 50 percent of MVUC’s annual collection will be allotted to finance the Universal Health Care Act of 2019 while the remaining half will be used for the modernization of public utility vehicles.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy