TUCP welcomes Senate proposal to reduce income taxes

The Trade Union Congress of the Philippines (TUCP) today welcomed proposals in the Senate to give salary earners tax breaks by reducing income tax rates.

The TUCP said that the proposal will improve the take-home pay of workers and will redound to a bigger purchasing power for working families. “It would like be having a wage increase”, TUCP said.

Senate Ways and Means Committee Chair Ralph Recto announced yesterday that the Senate is looking at offsetting the VAT with an income tax cut of at least 20%.

TUCP, however, reiterated its suggestion to exclude food and other essential items from the proposed 2% hike in the value-added tax.

TUCP also supports proposals to lift exemptions granted to professionals, particularly lawyers, doctors, and other sectors enjoying similar privileges.