THE Department of Finance (DOF) on Tuesday reiterated its push for a staggered and conditional reduction in corporate income tax rates under the proposed second tax reform package as the government cannot stand to lose more revenues due to the massive physical infrastructure and social services programs that the Duterte administration would want to fund.
During the hearing conducted by the House Committee on Ways and Means hearing, Finance Secretary Carlos G. Dominguez III said that the DOF proposal was “pro-business, pro-investments, and pro-incentives.”
The hearing tackled pending measures aimed at slashing the 30-percent tax slapped on companies’ incomes – the highest in Asean at present – while rationalizing the fiscal perks being enjoyed by investors,
“The second package of our tax reform program aspires to build a more competitive and transparent business environment,” Dominguez told the committee.
“It seeks to rationalize our incentive systems to reduce overlaps, hidden subsidies that benefit a few, and loopholes that unfairly distribute business advantages.”