Resly Vergel S. Sumer Prof. Jayson S.

Esteban
BSBA-IV July 16, 2 016

What is the impact of Taxation to the development of the Philippines?

Philippines is one of the countries that belongs to the third world that which was according to one
of international survey which means our country, sad to say is a pro- country. Such proposition is
contrary to the fact that Philippines has the biggest value added tax or well known as VAT which is
equivalent to 12% added tax comparing to the other countries around the world. Like a human being
which is fuelled by a fluid that circulates nourishment and oxygen throughout the body which is
referred to us the blood in order to survive likewise, our countries lifeblood is taxation.
According to Mr. Webster, taxation is the process by which a country obtained revenue for its
purposes while in my point of view taxation is the way of a government in acquiring funds from each
constituents in order to implement and established its proposed projects and programs for national and
local development.
The are many sources or taxes which include the government sectors, the private sectors
composed of different small scale as well as big scale businesses operated or owned by privates
individuals like sari-sari store, groceries, hotels, call centers company, uniliver Philippines, nestle
Philippines and other private companies and corporations.
Another source of our taxes are from the remittances of our overseas Filipino workers were the
biggest percentage of our total taxes coming from.
Don’t we know that even a simple or ordinary netizen like us also contribute to the countries
revenue or taxes? By means of buying something to a sari-sari store we already pay tax indirectly
because of the tax that already added to the price or every commodity or product that we buy.
In short every sector of our country starting from the smallest unit of the society up to the
biggest sector which is the government.
And as far as taxation is concern the only exemption from the process are charitable,religious
and non-profitable institutions.
Since an overview of sources of taxes were presented in the earlier part of this article let me
further and detailed explained how does taxation aid to the development of our beloved Philippines.
Just come to think of it, if the people or netizen of the Philippines buy more domestic products
and services[products and services originated within the Philippines] the more taxes will be generated.
 The more remittances from our overseas Filipino workers will be paid the higher taxes will be
collected. An additional come from the government sectors through an automatic salary deduction for
it.
Lets say that all of this taxes are accumulated what an ideal amount of revenue for the
Philippjnes and if there will be revenue of a country the government can right away implement and
establish whatever proposed and programs.
And if there will be more projects and programs established and implemented it connotes omly
one thing which is “DEVELOPMENT FOR THE ENTIRE PHILIPPINES”.