Gov’t to seek biz sentiment on tax reform package 2

The tax reform roadshow will commence on Wednesday (Pixabay photo)

MANILA — The government is partnering with the country’s largest business organization, Philippine Chamber of Commerce and Industry (PCCI), to solicit sentiments among businessmen on the second package of the Duterte administration’s tax reform program.

The Department of Finance (DOF) and PCCI, with the support of the United States Agency for International Development’s (USAID) Facilitating Public Investments (FPI) Project, will be holding a roadshow on the Package 2 of the Comprehensive Tax Reform Program (CTRP), covering reforms on corporate income tax and fiscal incentives.

The tax reform roadshow will commence on Wednesday in Bacolod City, followed by General Santos City on Feb. 7, Subic/Clark on Feb. 13, Cebu City on Feb. 16, Zamboanga City on Feb. 21, Makati City on Feb. 28, Baguio City on Mar. 7, and Tacloban City on Mar. 23.

DOF Undersecretary Karl Kendrick Chua and Assistant Secretary Teresita Habitan will be joining the PCCI’s tax reform caravan.

“We fully recognize the efforts of the government to raise revenue to support its infrastructure projects and we hope that the proposed measure, once passed into law, will be beneficial for everyone,” new PCCI President Ma. Alegria Limjoco said.

On the other note, PCCI Director for Taxation Edgardo Lacson commenced the government’s effort to lower corporate income tax rate following the reduction of personal income tax in the Tax Reform for Acceleration and Inclusion (TRAIN) Act.

“We cannot discount the fact that our country has the highest corporate income tax rate, both nomi¬nal and effective, in ASEAN. There is a need to reduce the rates to a level that will make us competi¬tive in a field of countries competing for the same direct investment funds,” Lacson said.

Likewise, tax expert and PCCI Chair of Taxation Benedicta Du-Baladad supports the government’s move to rationalize fiscal incentives.

Du-Baladad said it is also high time for the government to rethink its investment tax policy by removing redundancies and making tax perks clearer and more accountable.