I am a private employee and my monthly tax will reach up to a maximum of 1800.00 php. It is okey for me to pay that amount since i cannot even feel that i paid that much because it is already deducted in my payroll. One time, I purchased something from a 24hrs mini grocery, i bought something with a price of only 34.50 php. I gave a hundred peso bill and received the change of only 61.00 php. I was amazed because i really expect that my change must be 65.50 php. And then I noticed in the reciept that I paid 4.50 php for RVAT.
Gosh! it's an overkill. My salary was already deducted with tax but then again i paid another tax for my purchase?Â* Â* Â* Â*
Can you imagine that? Let's just say you have a salary of 10,000 per month and you are deducted with 10% Government tax. So, you will get a net salary of only 9,000.
That's 1,000 pesos tax!
Then you will buy something worth 9,000 (Vat INC) with an included RVAT of 964.28.
Total Tax paid by you is 1,964.28. It's really very disapproving to know that employee paid taxes 2 times.
The best thing is that Government will collect taxes from the manufacturers or to the retailers and not to the consumers who already paid taxes from their salaries.