Death and Taxes

Only two things in life are certain–death and taxes.

During President Ferdinand Marcos Jr.'s tenure, the Philippines has had a notable economic revival, characterized by a 7.6% yearly expansion in 2022. However, the general populace, particularly those living in poverty, continues to face persistent obstacles. Moreover, the economy has recovered to levels observed before the pandemic; nonetheless, a greater population is currently encountering challenges in the aftermath of the lockdown. There has been a marginal increase in poverty rates, accompanied by a decrease in involuntary hunger rates (Peña, 2023).

IBON Foundation analysts have advocated for improved labor policies to tackle the issue of unemployment and have asked the government to develop a comprehensive national industrial strategy to promote domestic production and genuine industrialization (Lao, 2024). But, merely one month prior, legislators had observed enhancements in employment, price inflation, and famine rates, ascribing them to sound economic measures implemented under Marcos Jr.'s tenure. But this claim goes against data that present unemployment having reached an unprecedented low, and it is also anticipated that inflation will continue to decrease (Philippine Star, 2023).

It is rather concerning that our policymakers have a take different from what research studies imply as shown in their claims of our current economic status. Moreover, false (or maybe just delayed) promises about a minimum wage hike have been in the talks since June 2023 (Bajo, 2023) but it is yet to be realized until right now. I feel that it is highly unfair that our current minimum wage is not even livable in the first place.

This brings to mind the claim that people can get the life they deserve if they just work hard enough. No, that is not the case at all. Having a minimum wage below the livable wage is proof that no matter how hard a Filipino works, it is only the rich who will get richer. It is no wonder that Filipinos are often called working themselves to death, rather than to live. This also goes to say the taxes imposed on the common folk, further deducted what could be their earnings for the day.

Moving forward, I think that our current tax system works well enough to gather the funds that the government needs to fund projects. What makes this a subject of controversy is the doubt that funds are allocated efficiently and used up for the common good. More often than not, we hear claims of tax funds going straight into the pockets of politicians–who are, also more often than not, funded by the rich. This brings us to the question of if people will agree to tax the wealthy few. 

Personally, I would agree, as this would follow the concept of equity (rather than being equal among each other). A lot of other taxpayers will agree to this as well.

But let us be brutally honest: it would not fly with the policymakers who are needed to enact this vision.

It is saddening that there are few to no opportunities for Filipinos to comfortably live. Even though we are known as hard workers, it does not translate well to how Filipinos get to live their lives. It is almost as if Filipinos only live to work, work, and work until they die rather than getting to also live in between. Certainly, the Philippines can be a prime example of what is unchanging in life: working ourselves to death and paying taxes.

#InquiryAnalysisReflection #COBIBMO

Sophia Isabel S. Cauilan

Topic: Economic Factors