Biz chambers call for power to be VAT-exempt

THE exemption of electricity from value-added tax (VAT) will help ease the burden on consumers and improve Philippine competitiveness, business groups said.

- Justine Irish D. Tabile

"Electricity is a basic and indispensable input affecting households, small and large enterprises, and key industries," the Philippine Chamber of Commerce and Industry (PCCI) said in a statement on Wednesday.

"Exempting electricity from VAT would provide immediate relief to consumers," it added.

In particular, the PCCI, with the Philippine Exporters Confederation, Inc., expressed support for House Bill No. 6740.

Written by Trade Union Congress of the Philippines Rep. Raymond Democrito C. Mendoza, the bill seeks to exempt electricity sales from VAT.

"This is not only an economic measure; it is a social protection that safeguards workers and families," he said.