BIR urged not to tax teachers’ poll duty honoraria, allowance

“Hindi lang naman para sa kanila ang ginagawa nila. Ito ay serbisyo nila para sa buong sambayanang Pilipino (They are not doing it just for themselves. They are doing this as service to Filipinos),” Gatchalian said. (File Photo:
Senator Win Gatchalian/Facebook)

MANILA — A senator on Thursday urged the Bureau of Internal Revenue (BIR) to scrap the imposition of the 5-percent tax on the honoraria and travel allowances given to teachers rendering poll duties in the May 13 mid-term elections.

In a statement, Senator Sherwin Gatchalian said it is only fair that the teachers’ honoraria and travel allowance be exempted from withholding tax, considering the “demanding and sometimes life-threatening duties” they would undergo as board of election inspectors (BEIs) during elections.

“Hindi lang naman para sa kanila ang ginagawa nila. Ito ay serbisyo nila para sa buong sambayanang Pilipino (They are not doing it just for themselves. They are doing this as service to Filipinos),” Gatchalian said.

“Giving our teachers the full amount of their election honoraria and allowances is the best way we can show them our gratitude and appreciation for ensuring clean, honest and orderly elections in the country,” he added.

The bureau reiterated its BIR Ruling 759-18 issued last year that such honoraria and allowances are subject to income tax and consequently to withholding tax.

The ruling, however, stated that “if the annual taxable income which includes the honoraria and allowances of teachers who will serve in the Electoral Boards does not exceed PHP250,000, such honoraria and allowances shall not be subject to income tax, and consequently to the withholding tax.”

Around 237,000 teachers will serve as BEIs and Board of Election Tellers (BETs) during the May polls.

Department of Education Undersecretary and Chief of Staff Nepomuceno Malaluan said teachers who will perform poll duties are entitled to honoraria, transportation allowance and minimum of five days service credit which can be converted to leave credits or can be monetized.

“There is no insurance but a medical benefit PHP200,000 that will be shouldered by the government, death benefit that is PHP500,000 in case of injury or death. There is legal indemnification amount also and we are in partnership with the Public Attorney’s Office,” Malaluan said.