Senate to raise tax exemption on salary bonuses before yearend

Senate of the Philippines expresses commitment to pass a measure that will increase bonuses of public and private company employees. “In the meeting we had with the House leadership, we have resolved that the tax exemption limit on 13th month pay and other benefits should have the Congress’ approval before the year ends. This bill has already the lawmakers’ thumbs up, so it’s possible that we can pass it this year,” Senate President Franklin M. Drilon said.

“Once it (Senate Committee on Ways and Means report) is laid on the floor, we will immediately calendar it for debates. I am sure we can come up with the solutions on how to address the concerns regarding its effects on our national coffers,” said Drilon.

Drilon added that the lawmaking body is much concerned on how they can help millions of workers “who are struggling from day to day to cope with the effects of inflation.”

The Senate is looking to raise the exclusion limit on 13th month pay, Christmas bonus, and other work benefits from taxation from the current imposed limit of Php30,000 to Php75,000.