If you’re a smoker or an avid drinker, then you will not like the Christmas gift that President Aquino has sort of given you. The Chief Executive has just signed into law the Sin Tax Bill that effectively raises taxes on the so-called “sin products” such as cigarettes and alcohol. The vices, in other words. According to the President, the aim is to make health benefits to all, regardless of wealth since the life of the Filipino is sacred. The idea behind this is that these vices just become too expensive, especially for the poor, that would make them stop indulging in them. Not to mention the increase in revenues for the country caused by the increased taxes.
Which is probably the reason why I have been seeing a lot of hoarding going on for cigarettes. Either the smokers are buying bulk or the sellers have stopped selling. I guess the sin tax would be the local equivalent of the looming assault weapons ban in the US in the aftermath of one of the deadliest shootings to date. Twenty six and seven year olds along with six teachers were gunned down by Adam Lanza in a Connecticut school using an AR-15 Bushmaster. The children’s bodies were ripped to shreds, causing rescuers to sob uncontrollably while bringing their bodies out of the school! The anger and clamor for stricter gun control laws have emboldened the anti-gun lobby to once again bring the matter to Congress. With a Democrat at the White House, an impending ban is definitely on the horizon, driving gun sales through the roof in a race to beat it! Only in America!
Here though, you won’t see demonstrations against the sin tax, except for the fervent lobbying of tobacco and alcohol firms against it, which is already moot and academic. Since I am neither both a smoker and a drinker, the effect on me is nothing but good, to be honest. What I am concerned with is where the additional revenue from the additional taxes will go to. I for one would like to see a big chunk of it go to the education and health sectors. Better facilities for public schools, not the schools that use iPads! I would like to see clean, working restrooms for the children in these schools, newer desks and blackboards with real chalk, even more teachers with decent salaries. Real teachers and not just those who think they know how to speak in English!
Philhealth would benefit a lot from the additional taxes, where members get more benefits in times when they need it most, like in dreaded diseases such as strokes, renal failures, diabetes, heart problems and cancer. The financial benefits of the members can increase and the hospitals and doctors paid a little more, then everybody is happy! If the revenues collected from the sin taxes will go to these programs or projects, then by all means, sin away, so to speak!
Figure of speech, alright? Lest some of you get all pious on me!