Manila Water鈥檚 corporate tax off consumers’ back under new deal 鈥� Palace
MANILA, Philippines — Consumers will no longer pay for the corporate income tax of water concessionaire Manila Water based on the company’s new agreement with the government, Malacañang said Monday.
According to presidential spokesperson Harry Roque, this was just among the salient points of the government’s newly signed concession deal with Manila Water which is deemed to protect consumer interest.
“Para po maprotektahan ang interes ng consumer, ‘yung corporate income tax ay hindi machacharge sa consumer hindi katulad ng dating concession agreement,” Roque said in an online briefing.
(To protect the interest of consumers, the corporate income tax will no longer be charged to them, unlike the previous concession agreement.)
“Dati nga po kaya po nagalit si Presidente, dati po kumita na nga, ayaw pa magbayad ng tax. Ngayon po, magbabayad na sila ng tax,” Roque said.
(The President got angry before because even if they earned, they don’t want to pay taxes. Now, they have to pay tax.)
Article continues after this advertisementREAD: Gov’t ends renegotiation of concession deal with Manila Water — Palace
Article continues after this advertisementPresident Rodrigo Duterte has repeatedly threatened before that Manila Water and Maynilad will be sued over their “onerous” 1997 contracts with the government.
“They do not pay corporate income tax. And the corporate income tax they pass on to people as part of what you pay for the water,” Duterte said in a previous speech.
Under the new deal, Manila Water is recognized as a public utility which makes them more accountable to the government and their consumers, according to the Palace.
Roque said negotiations on the government’s concession agreement with Maynilad will be next.
