DoF expects remaining tax reform packages approved this year

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THE DEPARTMENT of Finance (DoF) is confident that Congress will stick to the planned 2018 approval of all of its succeeding tax reform proposals, following the filing of the corporate tax package last week.

“With the timely filing of the measure in the House, we are optimistic that this proposal, along with the remaining tax reform packages, would be approved by the Congress within the year,” Finance Secretary Carlos G. Dominguez III said in a statement on March 27.

House ways and means committee chairman Rep. Dakila Carlo E. Cua, along with Reps. Aurelio D. Gonzales, Jr., and Raneo E. Abu filed House Bill No. 7458 on March 21 before the session adjourned for a seven-week break.

The bill mainly proposed an annual 1% cut from 30% to 20% starting 2019, while removing tax incentives in areas not included in the Strategic Investment Priorities Plan (SIPP).

However, this was different from the conditional 1% cut per P26 billion collected from streamlining the tax perks that the DoF proposed to Congress last Jan. 16. — Elijah Joseph C. Tubayan