According to Concepcion, the VAT bill is "fair and equitable to all especially to the low-income segments of society."
Concepcion hopes that the Senate, during its three day special session, would be able to reconcile its VAT bill version with the approved House bill at the bicameral conference.
Concepcion also called on the Department of Finance (DOF) and the other concerned agencies to work together as a team and reconcile their revenue projections.
Concepcion noted that different figures came out during the 10 public hearings on the VAT.
The discrepancies, Concepcion said, made it difficult for the Senate, the House, the COPW and the public to appreciate how the VAT impacts on various sectors of society.
COPW has asked the Executive branch to make public the final corrected revenue figures which the House, Senate and consumer groups like the COPW were requesting so that there is resolution to all pending concerns and issues on VAT.
COPW insists that all sectors should not be exempt from VAT, and that those presently exempt from paying VAT should now be covered so government can establish an audit trail.
The COPW favors a two percent VAT on power which should be eventually increased to four percent.
The transition should ease the burden to consumers who will bear the burden of the true cost of power estimated to be P2.80 from September 26th when the petition for a power rate increase is acted on by the ERC.
The COPW, on the other hand, favors a lower VAT of three percent on petroleum products and the retention of the specific tax (excise) of P4.35/liter and P1.63 on gasoline and diesel because the revenue to be gained from VAT would be substantially lower than the current specific tax.
The COPW is not in favor of the "no pass on provision" for petroleum products, provided the DOE and the DOF assure that whenever there are price changes only the net VAT paid by the oil companies is passed on to the consumer.
The COPW is not in favor of the proposal of the big four oil companies, that control 85 percent of the market, to have a single VAT rate for gasoline, diesel, kerosene and LPG.
The COPW favors a 1 1/2 percent VAT with a presumptive input tax of 1 1/2 percent which would have the net effect that producers of rice, fish, beef, pork, vegetables and fruits would not pay VAT.
However, agro-processors would not be entitled to a presumptive input tax of 1.5 percent.
The COPW favors a two percent VAT rate when their sales exceeds P700,000. The two percent VAT would not be subject to abuse because those below the P700,000 threshold rate would pay the three percentage tax.
The COPW favors the House proposal to reduce the VAT or processed agricultural products from 10 percent to six percent.
Processed agricultural products include sardines, refined sugar, cooking oil, pandesal and instant noodles.
On doctors and lawyers, the COPW favors a 10 percent VAT when their gross income exceeds P 700,000 a year.Doctors who work in government, small private hospitals and clinics and small-time practicing lawyers would be exempt from VAT and would be subject to the three percentage tax.