The House of Representatives on Monday overwhelmingly approved on third and final reading a measure providing a 25-percent discount to the personal income taxes (PIT) of medical front-liners.
Voting 235-0-0, the chamber passed House Bill 8259 or the proposed Handog Sa Mga Bayaning Lumaban Kontra Covid-19 Act, which provides income tax relief to medical front-liners for taxable year 2020 as the government’s appreciation for putting themselves at risk to fight the coronavirus pandemic.
The exemption granted in this proposal will only cover the salary or compensation, as well as the gross receipts from the exercise of profession or employment received by a front-liner for taxable year 2020.
The exemption will not cover income received by medical front-liners from their other businesses, investments, and other kinds of passive income not related to serving, treating, caring, aiding, and assisting Covid-19 patients.
To help front-liners file their income taxes on time given the potential changes in their tax calculations, the Secretary of Finance will also be given the authority to extend tax filing by six months. (PNA)