Gatchalian moves to raise personal tax exemption to P200,000
Senator Win Gatchalian wants to expand the personal income tax exemption provided in the Senate version of the proposed Tax Reform for Acceleration and Inclusion (TRAIN) Act.
He made the move to lessen the burden to be imposed on near poor households under the proposed comprehensive tax reform program.
Gatchalian, chair of the Senate Committee on Economic Affairs, stressed the need to raise the threshold for income tax exemption to P200,000 per individual taxpayer annually, a 33-percent increase from the P150,000 cap provided by the bill in its current form.
?In the proper time, I would like to propose an increase to protect the near poor because they are one of the most vulnerable sectors of our population,? he said.
?They can go into poverty even with the slightest shock,? Gatchalian said as he interpellated Sen. Sonny Angara, chair of the Senate Ways and Means Committee and principal sponsor of the TRAIN Bill.
Gatchalian said increasing the cap to P200,000 would benefit more low income earners, pointing out that a portion of their wages would still be taxed by the government.