Philippine President Gloria Macapagal-Arroyo Thursday appealed to the public to support the expanded value added tax (EVAT) after it comes into force starting in November, noting these temporary sacrifice can bring the country long-term benefits.

President Arroyo, through spokesman Ignacio Bunye, said in a statement that the EVAT must be spared from partisan politics and be allowed to be implemented fully.

"The EVAT entails a little sacrifice in the short run but lasting rewards in the long run in the form of more jobs and livelihood facilities, better social services, more infrastructure and less debts," Arroyo said.

The president noted that the new tax measure can raise the government revenues to 120 billion pesos (2.18 billion US dollars) a year, and then help the country achieve a balanced budget and reduce debts rather than pass them on to future generations.

"That's an unprecedented interest in a generation's time," she said.

Worries have been prevailing on the rise of price level after the Supreme Court Tuesday lifted the temporary suspension order on the EVAT, allowing the government from Nov. 1 to raise the sales tax rate from 10 percent to 12 percent.

Earlier reports even warned of a bleak Christmas the Filipinos will have this year due to the stringent expenditure.

However, Bunye said that the government would do its best to provide safety nets to cushion the impact of the EVAT on the poor - particularly the removal of the excise tax on oil and energy, fuel discounts for public utility jeepneys, close watch on the prices of prime commodities and the strict implementation of fare discounts for students and senior citizens.

"The government is also going after tax cheats, smugglers and other economic saboteurs as reflected in dramatic increases in our revenue collections," Bunye said.

He further gave the assurance that the government would be fully transparent in the use of public funds. "Highest budgetary priority will be given to education, microfinancing, housing, land reform, public health and other poverty alleviation measures."

The new taxes will come at a time when President Arroyo is facing a political crisis despite winning an impeachment case before the House of Representatives in September.

As a response to the challenge from the political rivals seeking to repeal the EVAT law, the government Tuesday said that it is ready for the political fallout from the implementation EVAT law and maintained President Arroyo would survive the public backlash despite her low popularity ratings.

Source: Xinhua