BUHAY Rep. Joselito Atienza warned salaried employees, including government personnel, might not enjoy bigger Christmas bonuses should there be a delay in the passage of the administration’s tax reform package pending before the Senate.
“With all due respect, the Senate should just put in whatever modifications they want and pass the tax reform bill. After all, President Rodrigo Duterte has already certified the measure as urgent,” he said.
“Once the Senate approves the bill, we can leave it all up to the bicameral conference committee to thresh out the final version of the measure for ratification.”
Apart from a cut in the individual income tax rates and tax exemption in all personal income of up to P250,000, Atienza said the bill would also raise from P82,000 to P100,000 the maximum amount of tax-exempt 13th month pay and other Christmas bonuses.
“The personal income tax cuts will put an extra P141 billion in the paychecks of salaried employees as a result of reduced withholding taxes,” he said.
Congress approved House Bill 5636, or the proposed Tax Reform for Acceleration and Inclusion Act on third and final reading on May 31, and transmitted the measure to the Senate.
The lobbying of key players from the sugar and beverage industries against the proposed P10-per-liter tax on sweetened drinks, however, has delayed the passage of the bill.