The new Tax Reform for Acceleration and Inclusion (TRAIN) has been a hot topic everywhere and has sparked countless debates among the citizens. It is true that big adjustments should and will be made; most of it involves the amount of money we spend on products and services.
Grab wants an increase for its P10 to P14 per kilometer charge to P11 to P15 per kilometer and its P2 per minute charge to P2.10 per minute.
Because of this, ride-hailing company Grab asked the Land Transportation Franchising and Regulatory Board (LTFRB) for a 5% fare increase. Grabs seeks the approval of the government to increase their fare because of the effect of the new tax reform law on fuels and cars.
“We looked into the cost of maintaining a vehicle, we looked at the lifespan of the vehicle, we looked at the price of petroleum products. Those are the bases that we used to determine the amount of increase per trip,” Grab spokesperson Leo Gonzales said.
Grab filed a petition before the LTFRB to have a fare increase of 6 to 10%. Increase on its P10 to P14 per kilometer charge to P11 to P15 per kilometer and its P2 per minute charge to P2.10 per minute is also included in the petition.
According to Grab, the new tax reform law would increase its drivers’ expenses which would mean that there would be fare increase in the company’s fare rates.
Grab is still waiting for a hearing on the petition to be scheduled by the LTFRB.