A SENIOR leader of the House of Representatives pushed for the immediate passage of a measure that seeks to impose an excise tax on fireworks to regulate their manufacture and diminish their hazard to lives, health and property.
In House Bill 4119, Liberal Party Rep. Hermilando Mandanas of Batangas sought to impose on fireworks a tax equivalent to 30 percent on the manufacturer’s selling price, net of excise tax and value-added tax.
“Much mindful of the perils the public is subjected to, during the rambunctious revelry, as staccato of fireworks explosions are heard in yards and streets, posing danger to lives, health and property, this bill seeks to amend the pertinent section of the National Internal Revenue Code of 1997, as amended, to regulate the manufacture of fireworks,” said Mandanas, chairman of the House ways and means committee.
Despite the joint and continuous efforts of the National Police and the Department of Health to warn the public on the dangers of fireworks, Mandanas noted that during the holiday revelry every year, victims are rushed to hospitals for injuries sustained.
“But the hazards brought by the use of fireworks cannot be confined on mangled fingers and bruised hands, for, according to health experts, the health complications could be far more disturbing such as respiratory diseases [asthma, rhinitis and emphysema], blurred vision, skin irritation, fainting, increased heartbeat and blood pressure and dizziness. It equally poses risks on property as seen in fires caused by fireworks that razed to ashes homes, buildings and other structures,” Mandanas said.
Citing records of the Metro Manila police, he said a total of 192 fireworks-related injuries were recorded from December 21, 2009, to 4 a.m. of January 1, 2010, in the metropolis, while a total of 290 fireworks-related injuries were registered in 2008.
During the martial-law era, the industry was declared illegal to avert the use of pyrotechnics in subversive activities.
“For two decades, fireworks manufacturing went underground and the quality of fireworks manufactured suffered degeneration,” Mandanas said.
Despite the prohibition, Mandanas said the persistent use of fireworks for festivities and celebrations ensued, and inasmuch as fireworks-making could not be completely stifled, on January 30, 1992, Republic Act (RA) 7183, or the fireworks law, was passed legalizing the manufacture, sale and use of allowable fireworks and pyrotechnic devices.
Although RA 7183 requires all dealers and manufacturers to seek permits or licenses before they can engage in making or selling fireworks, minimal fees are collected from manufacturers and sellers, which make these products very much affordable, Mandanas said.
“The fees collected remain negligible under Executive Order 256 issued on December 21, 1995, which rationalized the fees and charges on firearms, ammunition, spare parts, accessories, components, explosives, explosive ingredients, pyrotechnics and firecrackers,” Mandanas said.
He noted that manufacturers of fireworks continue to proliferate not only in licensed manufacturing areas but even in houses, backyards and makeshifts and have approximately ballooned to 800 micro enterprises.
