Malaca±ang: The Department of Finance's (DOF) proposal to increase the motor vehicle user charge (MVUC) remains under review, with President Ferdinand R. Marcos Jr. yet to take a final position on the measure.
According to Philippines News Agency, the proposal to raise the MVUC is part of the DOF's broader efforts to strengthen the excise tax system and stabilize government revenues. Speaking to Palace reporters, Palace Press Officer Claire Castro emphasized that the proposed increase would undergo extensive study, particularly its potential impact on motorists and the government.
"Sa ngayon po, ito pa lamang ay proposal. So nire-review ito. Wala pa pong final position ang ating Pangulo (At present, this is still a proposal. So, it is being reviewed. Our President does not yet have a final position on the matter)," Castro said.
She highlighted the government's need to assess the potential effects of the proposed MVUC hike and ensure the measure strikes a balance between raising revenue and minimizing its impact on motorists. "Of course, lahat po ng tax measures, definitely, mabigat po ito sa bulsa. At dapat pag-aralang mabuti kung makabubuti ba ito para ma-increase ang revenue ng gobyerno (Of course, all tax measures definitely have an impact on people's pockets. It should be carefully studied to determine whether increasing government revenue through this measure would be beneficial)," she stated.
"But still, pag-aaralan po ito kung ano ang mas mainam both sa gobyerno at sa mga motorista (this will be studied to determine what would be best for both the government and motorists)," Castro added.
When questioned about whether the proposal could conflict with President Marcos' efforts to support the middle class and micro, small, and medium enterprises (MSMEs), Castro reiterated the need to carefully weigh its potential impact.
The MVUC is a mandatory fee collected by the Land Transportation Office to fund road maintenance and air pollution control programs. Current MVUC rates vary depending on a vehicle's type, weight, and age, ranging from PHP120 to more than PHP4,000.
