Excess VAT collections used for microlending, feeding program

MANILA, Philippines - The Philippine government has released funds collected from value-added taxes (VAT), allotting cash for microlending and a feeding program for schoolchildren. Approximately P7.33 billion was released by the Department of Budget and Management (DBM) under the Katas ng VAT program. The fund forms part of the more than P9 billion windfall generated from VAT due to higher oil prices. An estimated P4 billion was already endorsed to the Department of Social Welfare and Development (DSWD) which gave a one-time P500 subsidy for consumers using 100 kilowatt hours of electricity or less. The Department also received an extra allotment for a program benefiting the elderly. The next biggest beneficiary was the Commission on Higher Education (CHED), which received P1 billion for the Student Assistance Fund for Education. The fund helps parents transfer their children to private schools from public learning institutions. Meanwhile, P500 million each was allocated to the Departments of Energy, the Philippine Postal Savings Bank, and the Department of Education. Energy Secretary Angelo T. Reyes said that the department used its Katas ng VAT allocation for its Philippine Energy Efficiency Program. For its part, the Philippine Postal Bank used its P500 million allotment for its microlending activities. A separate P500 million was used by the education department to feed school children across the country. Another P100 million was set aside for land acquisition that benefits those falling prey to eviction and demolitions. - GMANews.TV