Connect with us

Hi, what are you looking for?

Economy

Duterte urges Congress to pass remaining tax reform bills

Philippine President Rodrigo R. Duterte on Thursday night urged the Congress to pass his administration’s last two tax reform bills. 

In his speech during the ceremonial signing of several bills in Malacañang, Mr. Duterte called on Congress to ensure the passage of two more measures under the Comprehensive Tax Reform Program. 

The proposed Real Property Valuation and Assessment Reform Act and the Passive Income and Financial Intermediary Taxation Act are the third and fourth packages of the administration’s tax reform program, respectively. The two measures are still pending at the Senate. 

If passed, the third tax reform package will establish a “single valuation base for taxation through the adoption of the schedule of market values of LGUs, and use the updated values as benchmark for other purposes, such as right-of-way acquisition, lease, rental, etc.” 

The measure is set to broaden the property-related taxes of the governments and generate more revenue for local government units “without increasing the existing tax rates or devising new tax impositions.”  

The House of Representatives passed its version of the bill on third reading in November 2019, while the Senate version is still pending at the committee level. 

The proposed passive income law, which aims to simplify the tax structure for financial instruments, was approved by the House in September 2019 but remains at the Senate committee level. 

The President also asked the Congress to approve the bills amending the Public Service Act and Foreign Investments Act. The measures, which remain pending at the Senate, were certified as urgent by the President in April. 

The bills are part of the list of priority measures identified by the Legislative-Executive Development Advisory Council (LEDAC) to be passed before the Duterte administration ends in mid-2022. 

The bill amending the country’s 85-year old public service law will allow full foreign ownership in the public service sector, including transportation and communications, which had been restricted only to Filipino investors.  

The measure amending Manila’s foreign investment law seeks to relax restrictions on foreign companies. It lowers the number of direct local hires required for foreign firms. 

The President also urged Philippine legislators to approve the bill amending the Retail Trade Liberalization (RTL) Act. The bill, which lowers the required paid-up capital for foreign retail enterprises, was approved by the House and the Senate in March 2020 and May 2021, respectively. The two chambers have yet to reconcile their conflicting versions.  

“The Filipino people eagerly await these genuine reforms and may these laws come to fruitful fruition soon,” Mr. Duterte said.  

Maria Ela L. Atienza, a political science professor at the University of the Philippines, told BusinessWorld in January that key economic bills usually take a back seat at the Senate because the chamber is “of national” significance, and senators may be considering their chances in the next elections. 

The 18th Congress opens its third and last regular session on July 26. 

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

WASHINGTON D.C. — The United States is seeking to form a coalition of countries to drive negotiations on a global plastic pollution treaty, weeks...

Economy

By Diego Gabriel C. Robles  THE WORLD BANK (WB) upgraded its growth forecast for the Philippines for this year and 2023, citing an “accommodative”...

Economy

THE PHILIPPINE auto industry’s sales recovery will likely be derailed if a measure reimposing excise taxes on pickup trucks is signed into law, according...

Economy

THE BANGKO SENTRAL ng Pilipinas (BSP) may deliver a second off-cycle rate hike in early November when the US Federal Reserve is expected to...

Economy

THE ASIAN Development Bank (ADB) is planning to allocate at least $14 billion for a program aimed at easing a food crisis in the...

Investing

With the reversal of the 1.25% rise in National Insurance Contributions happening on the 6th of November, employers across the nation have an opportunity...

You May Also Like

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Investing

The minute that any question pops into your head, you can simply ask Google. No longer do we have to pour over books and...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Economy

Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.