Finance Secretary Ralph Recto said the government is studying the possibility of raising the ceilings on tax-exempt benefits for Filipino workers amid growing public anger over corruption issues within the Department of Public Works and Highways (DPWH).
While only Congress has the power to raise taxes or grant tax exemptions, the Department of Finance (DOF) has the authority to increase the limits on tax-exempt fringe benefits through the issuance of revenue regulations.
“Lagi po nating hangarin na mapagaan ang pasanin ng mga taxpayers. Sa proposal na ito, gusto nating maramdaman talaga ng taumbayan ang ginhawa dahil mas lalaki ang maiuuwi nilang kita at matutulungan nitong maibsan ang gastusin nila sa araw-araw,” Recto said.
President Ferdinand “Bongbong” Marcos Jr. meanwhile noted that the proposed adjustments would have only a minimal effect on government revenues but would provide significant relief for workers.