BIR: Govt to lose P43B in revenues if income tax rates are adjusted

The government stands to lose P43 billion in tax revenues by 2017 if a proposed Senate bill adjusting income tax brackets and lowering rates is pushed, the Bureau of Internal Revenue chief said.

 

In a report aired on GMA News' "Saksi" Wednesday night, BIR commissioner Kim Jacinto-Henares said raising the rate on high income earners while lowering the rate on middle income earners is not enough to recover losses from a proposed adjustment filed in Senate. 

 

"Marami ho tayong kelangan pag-gastusan, pag-suportahan. Ang objective is kumolekta ng maraming buwis para pwede nating masuportahan ang mamamayan natin," she said.

 

On February 27, Senator Edgardo M. Angara filed Senate Bill No. 2149 seeking to adjust individual income tax brackets and lower the rates on individual income tax starting January 2015.

 

By 2017, the bill seeks to lower tax rates to 10 percent from 15 percent for those earning between P20,000 to P70,000 and to 25 percent from the current 32 percent for those earning over P1 million. – Danessa O. Rivera/VS, GMA News