House panel backs move
to increase road userC tax
By JovEE MARIE N.
HE House Comrnittee on
I
W"yt and Means on MondaY
I endorsed for plenarY aPProval a
measure increasing the Motor Vehicle
Road users' (MVRU) Tax.
House Committee on WaYs and
Means Chairman Jose Maria S. Sa1-
ceda said House Bill 4695, which
will be transmitted to the PlenarY
for another round of deliberations,
could provide P40 billion additional
goJ'ernment revenues in thlee years.
rnodernizationprogram (PUVMP) and P 5,7 60in 2027; andP 6,8 40 in 2022. F or
Dr-ls(vv2 t @ioveemarie\
passenger cals with GVW above 2,300
as according to the original mandate
of Republic Act (RA) 8794, or the 'Act tg, the new tax rates would be P10,400
Imposing a Moto(Vehicle User's Charge lo ZOZO, PtZ,gOO
i\I2022-
i.t 2O27,ar.dPI5,200
IMVUC] on Owners ofAllTYPes of Mo-
tor Vehicles and for Other Purposes " The measure saidaP1.40 unitarytax
According to Salceda, the existing
MVUC rates have not been adjusted
perkgof GWVwillbe imposed onutility
vehicles, sport-utility vehicles, buses,
trucks and trailers starting 2020 until
since 2004. RA 8794 was enacted in
the year 2000. 2023. For motorcycles without a sidecar
but with an engine displacement of 40 0
cubic centimeters and above, the newtax
Newntes
UNDER HB 4695, the new ProPosed rates arb: P312 in 2020, P384 b 2027'
rates are: P2,080 in 2020; P2,560 in and P456 in 2022.
HB 4695 said increasing the
2021; and, P3,040 in 2022 forpassenger For motorcYcles with a sidecar, the
MVRU tax would lead to additional
cars with gross vehicle weight (GVW) rates are: P390 in 2020, P480 in 2021'
government revenues of P8 billion
of up to 1,600 kilograms (kg). andP570 in2022.
in 2o2O.P!2 billion in 2021- and
The new tax lates for Passenger cars The bill also proPoses that these
P20 billion in 2022. These reve-
with GWV above 1,600 kg but not ex- road tax rates be increased by 5 percent
nues, accordingto the proposedbill'
ceeding 2,300 kg are: P4,680 in 2020; annually effective J antarY 2024.
will fund the public utility vehicle
n pAq- -tsel