MARIVELES, Bataan — House Speaker Gloria Macapagal Arroyo took time out Thursday afternoon to hear the concerns on the proposed second package of the Tax Reform for Acceleration and Inclusion (TRAIN) Law of locators at the Freeport Area of Bataan here.
She met with representative of 136 investors who aired their apprehension on the proposed bill in a closed-door meeting. Quirino Rep. Dakila Carlo Cua, chair of House Ways and Means Committee, said they were giving importance to investors who are providing jobs in the country.
“Narito kami para makinig sa kanila at ma-address concerns nila. Gusto naming lumago ang negosyo nila at makapagbigay ng maraming trabaho,” he said.
With Arroyo and Cua were Undersecretary Karl Kendrick Chua of the Department of Finance and Bataan Rep. Jose Enrique Garcia 3rd. Gov. Albert Garcia, Mariveles Mayor Ace Jello Concepcion and FAB chairman Emmanuel Pineda were also present in the meeting attended by Patrick Martinez, managing director of Essilor Manufacturing and president of FAB locators, and other investors.
Martinez, a French national, informed the meeting of the incentives offered by other countries.
“One of the concerns of companies is the cost increase and I think they have understood it,” he said.
“With TRAIN 2, tax will be multiplied by two,” Martinez said.
Edwardo Joson, Essilor Finance and Administrative manager, said they were concerned with the 5 percent tax on lost income that they are currently enjoying.
“With the new proposed law, there is a sunset provision that after a few years, we will be paying 18 percent on net income. In our company, for example, we will be paying about 80 – 90 percent more in terms of income taxes,” Joson said.
Rep. Garcia, Gov. Garcia and Mayor Concepcion were all hopeful that the concerns voiced out by the locators will be acted upon positively. Rep. Garcia said that the Speaker pushed for the meeting.
“Gusto niya makaharap ang mga locators para malaman kung ano ang nangyayari sa ground,” he said.
The Bataan solon said the main discussion was about the provision of TRAIN 2 on the length of incentive, rate of incentives and Value Added Tax exemption that will be lost if the investor is not exporting.
He said that the result of the discussion was good. “We are hoping that with Cong. Carlo Cua present and the Speaker present, we can come up with some amendments that will be win-win for both revenue generation on the government side and job generation na gusto nating mangyari sa ating bansa,” the congressman said.
Gov. Garcia said it was a good opportunity for the House Committee on Ways and Means and the DoF to hear the concerns of locators on TRAIN 2. He said the locators are giving employment.
“Kapag walang trabaho gutom tayong lahat,” he said in jest.
“Kapag maipasa ang TRAIN 2, sana huwag mawala ang trabaho bagkus dumami pa at mag-expand ang tax base to support Build, Build, Build program of the President,” the governor said.
He said that the locators will be satisfied if congress listened to them and address their concerns.
“Hopefully, ma-consider ng House Ways and means at ng DoF. Ang main concern ng locators tungkol sa incentives na ma-lilimitahan o mawawala,” he said.
Mayor Concepcion feared that the local economy will be greatly affected if the investors will leave because their concerns were not heard.
“Tingnan ang performance ng mga freeports at pagaralang mabuti kung alin ang dapat ma-improve at dapat bigyan ng importansiya when it comes to tax provision,” he said.
The Bataan officials said that FAB is successful and that DoF has acknowledged it. They urged that there be a performance- based implementation of the House Bill.
