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Saturday, October 29, 2005
Mayors tapped v. expanded VAT violators
By Albert B. Lacanlale
CITY OF SAN FERNANDO -- The Department of Trade and Industry (DTI) is now coordinating with the Department of the Interior and Local Governments ((DILG) in connection with the deputization of city and town mayors in monitoring movements in prices with the implementation of the expanded value-added tax (e-VAT) law.
A DTI official said local government units (LGUs) and other government agencies will be tapped to monitor markets even before the implementation of e-VAT to thwart possible abuses of unscrupulous traders.
The official said the deputization of agencies with consumer-related functions is part of the government's heightened campaign to keep prices and supply of commodities stable as the country braces for e-VAT implementation starting November 1.
Victorio Dimagiba, director of the DTI-Bureau of Trade Regulation and Consumer Protection (BTRCP), has said the Supreme Court's decision to junk with finality all pleadings for a temporary restraining order (TRO) against the tax law paved the way for its full implementation.
With the development, Dimagiba said the government is ready to protect the welfare of consumers against possible abuse from those who will take undue advantage of e-VAT.
"Since this is a collaborative effort, we, at the DTI, will be asking the Department of the Interior and Local Government to instruct all mayors to intensify monitoring of public markets in their areas," he said.
"Aside from LGUs, all DTI personnel will be deputized to monitor public and wet markets," he added.
DTI Secretary Peter Favila is set to give out the deputization orders to put more men and women in the forefront and in the markets to check abuses in the implementation of the e-VAT law.
Once deputized, LGUs and DTI personnel can conduct monitoring and checking of prices, determine whether price adjustments are reasonable and brought about by legitimate factors. They can also gather evidence against erring establishments and possibly give out charge slips to violators.
Government agencies with a critical role here include the DTI for processed products, the Department of Agriculture (DA) for agricultural products, the Department Environment and Natural Resources (DENR) for forest and lumber products, the Department of Health (DOH) for medicines and other health products, the Department of Energy (DOE) for oil products, the National Food Authority (NFA) for rice and other grain products and the Bureau of Food and Drugs (Bfad) for food products, among others.
Under the Consumer Act of the Philippines and Price Act, the mayors serve as chairpersons of local price coordinating councils (LPCCs) who can initiate moves to help keep prices and supply on check.
(October 29, 2005 issue)
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