BIR chief says she’s ready to defend VAT on toll fees

August 13, 2010 11:39 am 

MANILA, Aug. 12 –- Bureau of Internal Revenue (BIR) Commissioner Kim Henares said on Thursday she is ready to defend the imposition of the value-added tax (VAT) on the tollway rates.

“I’m ready to defend it even in Plaza Miranda, no matter what it takes. The VAT on toll fees is implemented in Europe and South Africa,” Henares told reporters covering the BIR beat.

“I don’t know where these legislators are coming from with ideas that tolls are not ‘vatable’. We are implementing what the law says. We leave it up to the Supreme Court if there is a ground to suspend the hearing,” she said.

The 12 percent VAT on expressway toll fees will push through on Monday despite opposition by some senators and a case filed before the Supreme Court questioning its legality, Henares said.

Earlier, Henares told the Senate committee on ways and means she would still push through with the VAT imposition on toll fees.

“As of now, unless there are some changes, then there will be VAT on tolls on Monday,” she said.

According to Henares, only the Supreme Court could stop the BIR from implementing the VAT toll fees.

She insisted there is nothing illegal with the VAT since there is no expressed provision in the law exempting toll fees from tax. (PNA) scs/JCA

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