The Manila Times
ORGANIZED labor has sought the abolition of income tax for workers earning P50,000 and below monthly while urging the imposition of new taxes on billionaires and corporate windfall profits. The Trade Union Congress of the Philippines (TUCP), through its party-list representative, filed House Bill 8860, the Patas na Ambag sa Tax para sa Angat-Sahod Act, which raises the income tax exemption to P600,000 a year and increases the tax-free ceiling for 13th-month pay and other benefits, allowing workers to take home more of what they earn. ”It is time to correct the system — cut taxes for workers, increase taxes on excessive wealth,” said TUCP Party-list Rep. Raymond Democrito Mendoza, stressing that employees earning P50,000 and below would pay zero income tax under the proposal. To plug revenue gaps, the measure introduces a 1-percent to 3-percent Solidarity Wealth Tax on Filipino billionaires, and a 15-percent to 35-percent Windfall Profits Tax on corporations, especially in oil and power. TUCP said the shift is long overdue, as ordinary workers continue to shoulder the tax burden while top earners and big industries rake in massive profits. ”Excessive wealth and excessive profit — they are the ones who should be taxed more,” it said, stressing that the bottom line is to “cut taxes for workers, raise take-home pay and make the richest pay their fair share.” The Federation of Free Workers (FFW) also came out with a similar call, along with several urgent initiatives to cushion workers and poor families from the worsening crisis. FFW President Sonny Matula called on Congress to revive the proposed wealth tax bills, saying that those who benefited the most and can best afford to share will contribute more to the national relief effort. FFW proposed to cut the salaries, allowances and nonessential perks of top government officials, including Cabinet secretaries, members of Congress and other high public officials, because austerity should begin at the top. It reiterated its call on Congress to pass the P200 legislated national wage hike without further delay, while directing the Regional Tripartite Wages and Productivity Boards to start regional wage reviews now due to the supervening event of soaring prices, especially fuel and basic commodities. Government, it further said, should also suspend loan payments to Social Security System, Pag-IBIG and Government Service Insurance System for affected workers and members; freeze housing foreclosures and impose a moratorium on ejectment and eviction proceedings against vulnerable families; and suspend parking fees for workers and employees in government export processing zones and industrial estates. FFW called on the government to extend the P5,000 assistance to delivery drivers and riders, who are among the first casualties of fuel shocks and falling demand; accelerate investment in alternative and renewable energy, mass transport and long-term energy resilience so every war abroad will not become an automatic wallet attack at home. FFW said there is a need for the holding of a national summit with genuine workers’ participation in decision-making, because workers should not be treated as spectators in policies they are forced to survive. The labor group added that the current crisis demands not only lower fees but higher fairness. ”Good if bank fees go down. Better if the burdens on workers go down, too,” FFW said. “Workers do not need crumbs dressed up as a banquet.”
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