What now, more taxes? - Gotcha

First, he shrugs off his fallen poll rating as an act of gravity. Then he wonders aloud that he can't fathom why it sunk so low. Now he's saying it doesn't really matter since it's the people's trust that concerns him more.

Hello, doesn't he understand that the survey is all about trust, so that bad rating means mistrust?

He says the economy rebounded in 1999 -- a day after subordinates admitted a 56-percent drop in investments. He forecast the peso to rise -- and then it fell.

The good news is that Joseph Estrada has shelved Charter changes -- for now. The bad news is that he will press Congress to pass revenue-raising bills -- meaning, new taxes. It's like saying that since 85 percent of citizens won't let him dance Cha-cha, then they'll have to pay for it.

Among Malacañang bills that Estrada certified urgent in last weekend's Ulat sa Bayan is a motor vehicle-user's tax. A sequel to the road-user's tax that Estrada's LAMP passed in mid-1999, the levy will again hit middle-class families who already have a hard time scrounging for money to pay higher car-registration fees. They're the same families that pay half the cost of cars in taxes because government can't give them mass transportation. Such new levy is negligible for the rich who make in one day what a middle-class family works for a month. Makes Estrada's Ulat sa Bayan sound more like Olat (Talo) ang Bayan.

LAMP congressmen announced a week ago that they'll rush other administration bills like water-extraction tax. Makers and sellers of bottled water will merely pass on such levy to middle-class homes that have to buy mineral or distilled water because government can't ensure water in their taps.

Days ago, Estrada's new revenue-raising chief, Finance Secretary Jose Pardo, said he is contemplating a new sales tax on consumption, on top of the present 10-percent value-added tax -- another punishment for the middle class. Estrada in his Ulat then pushed for suspending VAT on banks and financing firms of the rich and influential.

Also among Estrada's urgent revenue raisers are National Power Corporation's privatization and Home Insurance Guaranty Corporation's recapitalization.

Napocor's sale is a right idea being done the wrong way. In its present form, the bill will entice buyers by passing on to taxpayers the state firm's P570 billion in loans and losses. The bulk of those taxpayers are the same middle-class electricity users, who supposedly will benefit from privatization's lower power rates. LAMP doesn't want to consider the proposal that, since users will pay for the losses in the form of taxes anyway, then prospective Napocor buyers should convert such payments into consumers' equity in their power firms. LAMP can't guarantee either that the power firms won't form pricing cartels.

HIGC's recapitalization will also burden the middle class. In its present form, the bill will pump P50 billion into the losing state firm to enable reimbursement guarantees for real-estate developers from bad-paying home borrowers. But the national government will, in turn, guarantee the P50 billion courtesy of middle-class taxpayer's money if HIGC sinks again from mismanagement by presidential appointees.

With all these new bills that the middle class will have to pay under Estrada's revenue raisers, they might as well go for Cha-cha. Then again, the "badder" news is that Estrada will still pursue Charter changes after levying new taxes on them.

Estrada is not thinking of improving tax collection by ridding BIR and Customs of corrupt minions, or getting his cronies off the backs of honest taxmen. He will simply dispatch Marines to cities where middle-class protests are expected -- to remind them that political power grows out of the barrel of a gun.

Refuting Ed Espiritu's complaint about corruption, Estrada said he had to form Task Force Aduana because the one-time finance boss couldn't curb smuggling. But has Aduana chief Gen. Jose Calimlim charged the mastermind of rice and sugar smuggling in Ozamiz?

It's not Rep. Rolex Sulpico who was moving to sack Josefina Lichauco as communications U-Sec, it was Sen. John Osmeña.

INTERACTION. Jonathan David L. Navarro, ibm.com: "You hit it again in `Tell it like it is' (Gotcha, 5 Jan. 2000). His aides know all too well that their jobs depend on the (dis)pleasure of a stubborn president. But tell me, would Erap listen if a child told him the truth about the emperor's new clothes?"

And end the movie in his mind, Jonathan?

Ferdie Sibal, sanmiguel.com: "Congrats for a perceptive article on the 2000 political landscape, what with Cha-cha and political jockeying for Senate slots. I agree that with Erap's popularity declining, there'll be major realignments in LAMP."

If there'll be any of them left, Ferdie.

Rafael Llana, yahoo.com: "We shouldn't expect him to learn (Gotcha, 3 Jan. 2000). It's us who should learn from the terrible mistake of choosing a popular but incapable leader over an educated one."

Seen those bumper stickers saying they didn't vote for him, Rafael?

Veegee, livewire.net: "In this new year, maybe the authorities will check on smoke-belching vehicles. No need for expensive equipment; just looking at the smoke will tell them who violate the law."

But smoke gets in their eyes, Veegee.

Gil Alona, info.com: "They built flyovers on EDSA-Ayala and EDSA-Buendia. Yet from there to South Expressway-Makati, there are 13 traffic stops at intersections. Defies logic."

They built for lagay, Gil, not for logic.

Thank you, Francis Allan Angelo, Pete Lacaba, Sally India, Eva Costila, Therese Banta.

YOUR BODY. The U.S. Food and Drug Administration will expand tracking of serious reactions to herbs, vitamins and dietary supplements to set new manufacturing standards for the $13-billion industry. Let's hope it touches on, and settles debate over, noni juice and mahogany seed.

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