Tax Reform for Acceleration and Inclusion(TRAIN) – The answer to a more satisfying life.
It has been a challenge to the past administration how make majority of the FILIPINOS satisfied to every government
project which came from taxes of the people of the Republic of the Philippines. We have heard so many
disappointments and disbelief how the people’s money gone into waste. But that changed until January of 2018.
What is TRAIN?
Known as Tax Reform for Acceleration and Inclusion, is to create a more just, simple, and more effective system of
tax collection, as per the constitution, where the rich will have a bigger contribution and the poor will benefit more from the government’s programs and services.
There have been countless discussions and exchanges of refusal to site individual’s point on how to effectively revise the TAX REFORM LAW without prejudice – and to make sure that the poor population will benefit more of the proposed TAX REFORM.
December 1, 2017 the LEGISLATIVE branch conducted the TRAIN Bicameral Conference after-which was followed by the
submission of TRAIN to Malacañang last December 15, 2017. With the collaborative effort of the Legislative and Executive branch under the supervision of the Philippine President Rodrigo Roa Duterte, the new TAX REFORM has come to life with the Implementation of TRAIN effective January 1, 2018.
It is not new to us that majority of the tax payers came from middle class. Many of these professionals are under the Travel and Tourism industry, Telecommunication,Computer / Information Technology, Hotel / Hospitality, Computer / Information Technology (Software), Healthcare / Medical, Call Center / IT Enabled Services / BPO, Banking / Financial Services, Law and Legal and Education which contributes approximately 4,000-40,000PHP monthly. And now with the new TAX REFORM collection, they can enjoy the additional take home pay of approximate 3,000-20,000PHP per month as the new tax dictates NO TAX will be collected for annual income of 250,000PHP and below, thus the tax is only collected anything over the said threshold.
WHAT WILL HAPPEN TO THE POOREST OF THE POOR ?
I quote ” The poor don’t pay tax in the first place, so they won’t benefit from the law. At the same time, as the prices of goods go up, they will certainly be burdened” – Anti-Poverty Chief Liza Maza.
This is a fact and will possibly harm approximate 21M Filipinos below the poverty line. As I write this article, I see not so worry to face as the government is in rigor supervision that basic commodities will remain at its current prices and through the initiative of the present administration to fight poverty, we are in good hands.
Moreover, the TAX reform is not merely focused to how poor can live a satisfying life, because we still have the middle class who work their ass off to earn a living. TRAIN is somewhat the answer to the very long agony of many productive employees.
TRAIN is designed to address the basic problem of Philippine society and more of it will be addressed in the coming years. Long term goal is to reduce Poverty rate from 26 to 17% (or some 10 million Filipinos uplifted from poverty). Achieve high middle income status, where per capita gross national income (GNI) increases from USD 3,000 to USD 4,100 by 2022 in today’s money.
Let us learn to embrace CHANGE as this is what ever wanted. A government that would lead its people and not by his comrades. To live in peace and harmony and to be a self-reliable fulfilled nation . Let us bring back the GLORY of the Pearl of the Orient Seas, again.
See the updated Additional Take-Home Pay under 2018 Philippine Tax Reform:
Sources: http://www.dof.gov.ph/taxreform/ http://cnnphilippines.com/news / http://businessdiary.com.ph/