‘Trabaho’ will be good for SMEs, PCCI exec says

The Tax Reform for Attracting Better and High Quality Opportunities (TRABAHO) bill has been recently approved, and the top official of the Philippine Chamber of Commerce and Industry (PCCI) said that it will benefit small and medium enterprises (SMEs) in the country.

TRABAHO was approved by the House Committee on Ways and Means to replace the Tax Reform for Acceleration and Inclusion (TRAIN) 2.

During the sidelines of the Franchising Seminar in Bacolod City, PCCI president Bing Sibal-Limjoco said that one of the biggest advantages that SMEs can gain from the proposed bill is the lower corporate income tax.

Sibal-Limjoco further explained that the corporate income tax will be reduced to 20 percent by 2019. Currently, the corporate income tax is at 30 percent.

Sibal-Limjoco said that this will encourage underground businesses to surface and pay their corporate income tax. She is also optimistic that the Bureau of Internal Revenue (BIR)’s digitization will address issues on underground businesses in the country.

via SunStar Bacolod / Erwin P. Nicavera