Key senator expects ease of paying taxes legislation to hurdle panel this year
THE proposed Ease of Paying Taxes Act may be approved on second reading before the end of the year, a senator who chairs the committee evaluating the measure said.
“We are currently finalizing the committee report on the proposed Ease of Paying Taxes Act, and we are hopeful that the measure will be approved on second reading before the end of the year. This measure, envisioned to put in place a tax administration system that is effective and expedient, is particularly important as the government endeavors to enhance its revenue collection efforts to finance programs and projects necessary to sustain economic growth,” Senator Sherwin T. Gatchalian, who chairs the Committee on Ways and Means, said in a Viber message.
“I am confident that once enacted, this measure will establish mechanisms that would streamline and improve tax administration to further encourage our taxpayers to fulfill their obligations,” he added.
House Bill No. 4125, or the proposed Ease of Paying Taxes Act, was passed by the House of Representatives in September and is currently pending at committee level in the Senate.
The bill aims to modernize tax administration and improve collection efficiency by encouraging proper and easy compliance on the taxpayers’ part.
The bill calls for an overhaul of taxpayer classifications by the Secretary of Finance, upon the recommendation of the Commissioner of Internal Revenue.
The bill also calls for the filing of returns and payment of taxes through electronic channels or authorized agent banks, as well as the removal of the annual registration fee.
“I am fully committed to supporting measures that would improve tax administration and boost revenue collection efforts of the government,” Mr. Gatchalian said.
“Moreover, we aim to simplify the process of paying taxes in the hope of enhancing tax compliance and strengthening taxpayers’ rights,” he added. — Luisa Maria Jacinta C. Jocson