Suspending the Tax Reform for Acceleration and Inclusion (TRAIN) law would have a “minimal impact” on mitigating inflation, the government’s economic managers said on Tuesday, as inflation hits five-year high of 4.6 percent in May. “We must keep in mind that TRAIN reformed a previously unfair and harsh tax regime. ADVERTISEMENTAside from Diokno, Economic Secretary Ernesto Pernia and Finance Secretary Carlos Dominguez are also part of the government’s economic team. The economic managers said the effect of excise taxes on petroleum, sweetened beverages, and tobacco under the TRAIN law, remains at 0.4 percentage points. The officials insisted that TRAIN was vital for the government’s ambitious “Build, Build, Build Program.”“We must bridge the infrastructure gap that has painfully made our country lag behind our ASEAN neighbors,” they said.

Source: Philippine Daily Inquirer June 05, 2018 04:19 UTC