THE House of Representatives Wednesday night approved on second reading the fourth package of President Rodrigo “Rody” Duterte’s Comprehensive Tax Reform Program (CTRP) aimed at generating P4.2 billion in additional revenue for the government, said House Majority Leader and Leyte Rep. Martin Romualdez.
“This is our commitment to improve the financial resources of the government for its programs and projects,” said Romualdez, who chairs the House Committee on Rules.
It was the panel chaired by Albay Rep. Joey Salceda which endorsed for plenary approval the “Passive Income and Financial Intermediary Taxation Act (PIFITA)”, after one hearing.
Romualdez had explained then that the Salceda committee invoked Rule 10, Section 48 of the House rules, which empowers the committee to immediately pass bills and resolutions that were already approved on third and final reading by the preceding Congress.
“Once constituted, the committees responsible for these measures may meet for just one meeting and immediately refer the committee reports for plenary deliberation. This is possible if they invoke Section 48 of the House rules,” Romualdez explained.
Section 48 of the House rules provide that: “In case of bills or resolutions that are identified as priority measures of the House, which were previously filed in the immediately preceding Congress and have already been approved on 3rd reading, the same may be disposed of as matters already reported upon the approval of majority of the Members of the committee present, there being a quorum.”
Salceda said the bill proposes to make capital income and financial intermediary taxes “simpler, fairer and more efficient” for the government to earn P4.2 billion in revenues.
“This bill seeks to reform the taxation of capital income and financial services in the country, by redesigning the financial sector taxation into a simpler, fairer more efficient and a revenue neutral tax system,” said Salceda.