On Sept. 26, the Department of Finance (DoF) submitted to Congress the first package (out of four) of its proposed tax reform program, the purpose of which is to create a tax system that is simpler, fairer and more efficient, characterized by low rates and a broad base.
This is a huge change in our tax system, and one that took a long time coming, I must say, since our National Internal Revenue Code has been in existence for almost two decades, and yet no major reforms (at least not of this magnitude) have been formally passed, until last month. Also, with the ASEAN integration, and the Philippines having one of the highest personal income tax rates and one of the narrowest tax bases within the Asia-Pacific region, it is high time that a major revamp of our existing tax system be considered.
Oct 262016