Advocacy think tank Action for Economic Reforms (AER) said that the chances of passing fiscal incentives reform in the 17th Congress are at their highest level, after over a decade of continued attempts.
“We think that the chances are highest now than ever,” said AER Industrial Policy Coordinator Jenina Joy Chavez.
The first proposal to streamline fiscal incentives given to firms begun in the 10th Congress, Ms. Chavez said. But these had not gained much traction.
Ms. Chavez said that now would be an “opportune time,” given the availability of comprehensive data to back deliberations on corporate tax incentives after the enactment of the Tax Incentives Management and Transparency Act.
She added that the Finance and Trade department are now in sync in pushing for the reform, as both were at loggerheads in the past.
Ms. Chavez also said that the Duterte administration’s infrastructure program would be concrete evidence that the recouped funds from streamlining tax incentives would be used in actual projects that would benefit the country. — Elijah Joseph C. Tubayan