Albay 2nd district Rep. Joey Salceda said that wealth tax would only scare off potential investors including billionaire who are already living in the Philippines.
The lawmaker is proposing that instead of scaring the rich with a huge wealth tax, why not tax luxury goods like jewelry and bags, wines and art, cars, private jets, yachts, residences and others.
“Kapag tinax mo yung wealth, tatakbo yan eh. So anong P200 billion? P200 billion somewhere in the Cayman Islands? I think it is very mobile, may cryptocurrency. We have a bank secrecy law, one of the strictest in the world so how can you find that P200 billion?” Salceda said.
He noted that the government can just impose tax on luxury goods comparing it to putting cheese on the mousetrap.
“You put cheese in the mousecatcher. I’d rather catch them when they’re eating the cheese,” he said.
“Luxury watches above P50,000, luxury cars, private jets, sale of residential properties above P100 million. Yung mga wine above P20,000. Do you know that this country is drinking P10.3 billion a year on wine whose per bottle is 20,000? Leather products above P50,000. We are spending P11.3 billion on that,” he added.
The lawmaker said Louis Vuitton could be taxed as much as 32 percent “We are buying more Louis Vuitton than luxury cars…You have to pay for your conspicuous tendencies,” he said.
