Group wants to tax motorcycle taxi firms to fund Libreng Sakay program
MANILA, Philippines — A commuter group is calling on the government to impose taxes on motorcycle taxi companies to help fund the government’s Libreng Sakay program.
Motorcycle taxis have become a popular option for commuters who have had to contend with diminished public transportation capacity during the pandemic.
“During this time of economic hardships, thousands, if not millions, of commuters appreciate free transportation,” The Passenger Forum Convener Primo Morillo said in a statement on Wednesday.
Through the program, the government subsidizes bus rides for commuters along the EDSA Busway Carousel. It is set to continue only up to December as the National Expenditure Program for 2023 did not include funding for the program.
The Metropolitcan Manila Development Authority in August launched another “Libreng Sakay” program, deploying seven buses and two military trucks that would transport commuters along Commonwealth Avenue in Quezon City for free.
The Passenger Forum said imposing taxes on motorcycle taxi firms can help fund the subsidies, even if there is still an ongoing campaign to legalize motorcycle taxis. Morillo said “it is clear as day that they are earning a lot of money.”
Morillo noted the group’s own study showed motorcycle drivers earn up to P2,000 daily. This means that even if only a third of an MC company’s 15,000 employees work per day, 5,000 riders can collectively earn P10 million by the end of it.
"Twenty percent of this goes to MC taxi platforms which totals P2 million per day or P60 million per month or P720 million per year," Morillo said.
"Government should thus be able to subject these massive revenues to taxation."
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