USC34: PASS SIN TAX BILL NOW
Ten Filipinos die every hour from cancer, stroke, lung and heart diseases caused by smoking while the country
loses nearly P500 billion annually from healthcare costs and productivity losses while some 2.5 million people
die annually due to harmful alcohol use.
The Philippine Global Adult Tobacco Survey conducted in 2009 (DOH, Philippines GATS Country Report, March
16, 2010) revealed that 28.3% (17.3 million) of the population aged 15 years old and over currently smoke
tobacco, 47.7% (14.6 million) of whom are men, while 9.0% (2.8 million) are women. Eighty percent of these
are daily smokers with men and women smoking an average of 11.3 and 7 sticks of cigarettes per day
respectively. Further, children as young as 5 years old already begin to smoke. Non-smokers are also not
spared from the detrimental effects of smoking for second-hand smoke causes hundreds of thousands of
deaths to those who do not smoke due to the same smoking-related diseases.
A 2006 study by the WHO, Department of Health (DOH), University of the Philippines-Manila and the Philippine
College of Medical Researchers Foundation showed that the government’s “economic costs, including
expenses for health care and costs of productivity losses,” reached P461 billion. This economic burden is
further worsened by the health costs brought about by harmful alcohol use. The deaths from abusive drinking
also raises an alarming truth. In Southeast Asia, Filipinos were found to be the second highest consumers of
alcohol. The prevalent rate of alcohol consumption is estimated at 5 million Filipino drinkers in a population
of 90 million. Some of the harmful effects attributed to excessive alcohol use constitute 4 percent of all
deaths worldwide – more deaths than those caused by HIV-AIDS and tuberculosis.
--These horrendous facts and statistics reflect how smoking has deeply plagued our health care system and
with it the lives of millions of Filipinos, who suffer and die from an addiction that could be cured or avoided.
Should the government only have the political ascendance to craft a law that could regulate or halt cigarette
consumption and abusive alcohol drinking? Should we, as their stakeholders, take a proactive stance to the
realization of that piece of legislation that we could bring about true and felt outcomes consistent with our
goal of achieving better health for all?
The 34th UP Manila University Student Council (UPM USC) believes that of utmost importance is the health of
our countrymen and we support actions that promote this end. With this we firmly espouse the passage of
House Bill 5727 more popularly known as the Sin Tax Reform Bill. This bill would simplify and update excise
taxes on cigarettes and liquor, generating an additional 33 billion pesos a year for the national government..
Such taxes have been exempt from rises since 1996. The bill also contains modifications which will create fair
market competition and increase revenues for the government such as changing the current multi-tiered tax
system on cigarettes and liquor to a two-tiered system and indexing the cigarette and liquor tax to the current
inflation rate.
Aside from gaining a projected 60.7 billion pesos in tax revenue, house bill 5727 will promote the health of
the Filipinos by creating a disincentive to smoking and drinking alcohol and consequently providing funds for
social services for the poor. As World Bank study as says, a 10 percent increase in taxes on tobacco products
would lead to a 4 to 8 percent decrease in consumption, thus leading to saving thousands of lives. In our
country, some economists estimate that at least 870,000 smokers will quit and 310,000 lives can be spared
from smoke-related deaths.
With that being said, the Sin Tax Reform Bill, after being passed by the House of Representatives three months
ago with the support of more than 200 congressmen only 21 voting against and 5 abstaining is now in the
hands of our senators. Despite the House’s overwhelming support as well as Malacañang’s, the strong lobbying
made by the tobacco and alcohol industry has made it more challenging to gain the approval of the senate. In order to
strengthen the call for the immediate passage of the Sin Tax Reform Bill, the Department of Health (DOH) has launched a
campaign dubbed as “One Million 23/7” aimed to gather 1 million signatures and has been urging the public, most
especially civil society groups and the media to generate support.
As Iskolars ng Bayan from the Health Sciences Center that is UP Manila, we must take on a decisive stand on this critical
matter. We call on everyone to support the Sin Tax Reform Bill. Let us unite and make our voices heard, our presence
felt, as we join this health crusade. Together, let us march towards a healthier and more progressive Philippines!
REFERENCES:
http://www.gov.ph/2012/08/16/senator-drilon-calls-for-the-passage-of-the-sin-tax-bill/
http://www.gov.ph/2012/08/27/doh-sin-tax-is-a-health-bill/
http://www.gov.ph/2012/05/13/the-secretary-of-budget-and-management-on-the-approval-of-hb-5727-in-the-house-committee-on-ways-and-meansmay-14-2012/
http://www.gov.ph/2012/05/13/the-secretary-of-budget-and-management-on-the-approval-of-hb-5727-in-the-house-committee-on-ways-and-meansmay-14-2012/
http://www.healthjustice.ph/?action=viewArticle&articleId=667
http://newsinfo.inquirer.net/61111/smoking-kills-10-filipinos-every-hour
http://business.inquirer.net/82092/sin-tax-bill-at-the-senate-front
http://www.philstar.com/nation/article.aspx?publicationsubcategoryid=200&articleid=846274
http://www.philstar.com/Article.aspx?articleId=848546&publicationSubCategoryId=66
http://www.mb.com.ph/node/304721/alcoholhttp://www.doh.gov.ph/content/smoking-cessation-program-0