Essay About Taxation In The Philippines

Philippines, 1st of the countries in ASEAN in terms of taxation with a rate of 32% Income tax and

30% Corporate tax. One might assume that the rates imposed by the burdensome 19-year-old tax system would be made up with generous benefits. Sadly, It has only led to stagnation and degradation of the quality of life of our citizens for both the present and possibly the future generations.

Currently, The 19-year-old tax system uses the same progressive tax brackets from 1990. Wherein the exchange rate of peso to dollar was around roughly 24 pesos. Less volatility of inflation rates, lower unemployment and poverty and exponentially higher spending power may justify one with a 70,000 Pesos Annual income to get catapulted to the 4th out of 7 tax

When she gets sick she needs to have access to quality health clinics . Her children need to study in schools that have books , clean toilets and good teachers.

Having an equitable taxation system would make this much easier to achieve since people would have more disposable income to help themselves rather than rely on faulty government services.

Currently our tax system is complex , inefficient and inequitable. Many large corporations benefit from tax holidays or reduced taxes where they don't really need them. On the other hand micro and small enterprises where the poor are receive much higher taxes which is unfair. Moreover micro enterprises have to file and pay a multitude of taxes every month,meaning that they have to spend a considerable amount of money and time falling in line instead of being able to do more productive things.

Reforms on corporate tax can help ease the burden on micro enterprises which would allow them to flourish giving employees more income, and also encourages job creation. Meanwhile it can also entice foreign investors to make ventures here giving even greater