Legarda files Bayanihan 3 with wealth tax, crisis relief

Senator Loren Legarda has filed a proposed Bayanihan 3 measure seeking a nationwide response to the ongoing global oil crisis, combining immediate relief for Filipinos with a time-bound, crisis-specific tax package.

Senate Bill No. 2020, or the “Bayanihan 3: Power to the People Act,” introduces a one-time “Solidarity Wealth Contribution” targeting individuals with net assets exceeding ₱1 billion, with rates ranging from 1 percent to 4 percent depending on wealth level.

The proposed levy is designed as a temporary measure that will automatically cease once the national emergency ends, unless extended by Congress.

Legarda said the bill calls for shared responsibility during the crisis, ensuring that those with greater capacity contribute more to support vulnerable sectors.

“Ang panukalang ito ay panawagan sa tunay na bayanihan… ang mga may mas malaking kakayahang tumulong ay inaasahang makikibahagi rin, pansamantala,” she said.

The bill also directs the Executive to study additional revenue measures, including a possible windfall profit levy of up to 15 percent on utilities and corporations benefiting from the crisis, and a temporary luxury tax on high-end goods such as vehicles, jewelry, yachts, and premium real estate.

These are intended to offset the fiscal impact of relief measures such as reducing or suspending value-added tax (VAT) on basic goods, medicines, and petroleum products.

Legarda said all revenues would be placed in a dedicated emergency fund to support fuel subsidies, food security, social protection, and energy stabilization programs.

Beyond taxation, the bill authorizes the Department of Finance, in coordination with the Department of Energy, to suspend or reduce excise taxes on fuel and adjust VAT on petroleum products, with corresponding reductions expected to be reflected in pump prices.

The measure also strengthens market monitoring, including the creation of a National Energy Real-Time Monitoring System to detect possible price manipulation and cartel behavior.

Legarda said the proposal aims to balance urgent relief with long-term resilience as the country navigates rising global energy costs.