MANILA, Philippines — The Department of Finance (DOF) is optimistic that the entire comprehensive tax reform program of the government would be passed this year.
The government’s tax reform package 1C needs to be refiled in 18th Congress after it failed to pass in the 17th Congress. This tax package includes raising the motor vehicle user’s charge, the lifting of bank secrecy and the automatic exchange of information to finally implement a general tax amnesty, and Tax Reform for Attracting Better and High-quality Opportunities bill that will reduce corporate income tax rates while rationalizing investors’ fiscal incentives.
The tax reform package 2-plus that calls for higher alcohol excise; package 3 for reforming the property valuation system; and package 4 on capital income taxation also needed to be refiled in the 18th Congress.
“Actually we’re targeting all of these by this year,” Camarines Sur Rep. Luis Raymund Villafuerte Jr., who is also the House Deputy Speaker for Finance, said in an economic briefing in Malacañang on Wednesday.
Finance Undersecretary Karl Kendrick Chua also expressed optimism that all the tax packages would be passed this year.
“But in general, we would like, as Congressman Villafuerte said, to have all of them approved by Congress – both Houses, within the year, and hopefully the regular meetings and coordination between the Executive and Congress and the House and the Senate will facilitate that process,” he said.
In a text message, Finance Assistant Secretary Antonio Lambino said working to ensure the passage of all the tax reform packages were upon the directive of Finance Secretary Carlos Dominguez III.
“Those are our marching orders from Secretary Dominguez,” Lambino said.
“We believe it can be done,” he added.
In his fourth State of the Nation Address (Sona), Duterte called on Congress to pass the second tranche of his planned tax system overhaul known as the Tax Reform for Attracting Better and Higher-quality Opportunities Trabaho bill or TRAIN 2.
READ: Duterte urges Congress to pass Trabaho bill
/kga