The government said it is looking at implementing at least four amnesty measures in its proposed comprehensive tax reform package (CTRP), according to the Department of Finance (DOF).
The amnesty program covers property taxes, estate taxes, regular taxes including income tax and value- added (VAT) tax, and tax cases.
The aim is to bring more taxpayers back into the system and eventually generate more revenues for the government.
“We are thinking of four tax amnesty: Real estate tax, estate taxes, regular taxes and tax cases,” Finance Secretary Carlos Dominguez 3rd told participants to the Philippine Tax Congress late Wednesday.
Dominguez said the tax case amnesty will allow the DOF to get the legislated authority to settle at least 40 percent or whatever is the desired amount to clear up all the tax cases.
“In the case of estate taxes, it will free up all kinds of lands that were still in your great grandfather’s will,” he added.
Finance Undersecretary and Chief Economist Karl Kendrick Chua said the DOF is still formulating the proposal which will be complimentary to the initial tax reform proposal it submitted to Congress early this week.
“As the secretary says, we are looking at property taxes, estate taxes, the regular tax on income, the VAT, and then one on the tax cases. This will be [part of the package]. It is complimentary to package one, but these are tax administration and not policy measures,” Chua said.
“They are being designed as we speak and the details we will let you know once it is clear so that we avoid confusing you,” he added.