Gatchalian to DOF, BIR: Propose ways to give full amount of poll workers' honoraria

Senator Win Gatchalian urged the Department of Finance (DOF) and the Bureau of Internal Revenue (BIR) to give their proposals on how poll workers, including public school teachers, can receive the full amount of their honoraria, allowances, and other benefits.

"I am appealing to the DOF and to the BIR if they can give us a proposal on how we can give the full amount to our teachers. Pareho naman yung ating sentimyento na dapat tulungan yung ating mga teachers, so let's just find a way to give them the full amount," said Gatchalian during a Senate panel hearing on the proposed tax exemption on poll workers' honoraria and other benefits.

Gatchalian filed Senate Bill No. 1193, which seeks to make the honoraria, travel allowance, and other benefits granted to poll workers exempt from tax. It also seeks to exclude poll workers' honoraria and allowances from gross income.

The election honoraria and allowances of poll workers, including public school teachers, have never been subjected to tax until the 2018 Barangay and SK Elections and the 2019 midterm elections when the BIR imposed a 5 percent withholding tax on their honoraria. For the upcoming 2022 national elections, they will be taxed 20%.

While recognizing the intent to help poll workers and public school teachers, the DOF said that it does not support the proposal to grant tax exemption on their honoraria and other benefits. Citing a previous ruling from the BIR, the DOF said that poll workers' honoraria and other allowances, no matter the amount, are wealth that flow into the hands of the recipients and should be subject to income tax.

The DOF also said that the proposed tax exemption is counter to the principles of the Tax Reform for Acceleration and Inclusion (TRAIN) Law to make the tax system more efficient and equitable. The agency added that the tax system is not the best way to provide additional benefits to sectors, noting that it could be difficult to implement and could be subject to abuse.

Gatchalian, however, noted that the tax code already provides for different tax exemptions. The 13th month pay, for example, is exempt from tax. When he quizzed the DOF on how the proposed measure will cause inefficiencies in the tax system, the lawmaker also emphasized that elections are only held every three years.

"Exempting them from 20 percent withholding tax is a small recognition for their sacrifice and a small recognition for the extra mile that they demonstrated for our country in terms of assuring democracy," Gatchalian emphasized.

Apela ni Gatchalian: Ibigay ang buong sahod ng poll workers

Hinimok ni Senador Win Gatchalian ang Department of Finance (DOF) at Bureau of Internal Revenue (BIR) na magbigay ng kanilang panukala kung paano maibibigay ang buong halaga ng honoraria, allowances, at iba pang mga benepisyong ipagkakaloob sa poll workers, kabilang ang mga guro sa mga pampublikong paaralan.

"Umaapela ako sa DOF at sa BIR kung maaari silang magsumite ng panukala kung paano maibibigay ang buong halaga ng sahod at mga benepisyo sa ating mga guro. Sa bandang huli, pareho naman 'yung ating sentimyento na dapat tulungan ang ating mga teachers, kaya humanap na lang tayo ng paraan kung paano maibibigay ang buong halaga," pahayag ni Gatchalian sa isang pandinig ng Senado na tumalakay sa panukalang huwag nang patawan ng buwis ang sahod at mga benepisyo ng mga poll workers.

Inihain ni Gatchalian ang Senate Bill No. 1193 na layong alisin ang buwis sa mga sahod at benepisyo ng mga poll workers. Layunin din ng naturang panukala na huwag nang isama sa gross income ang sahod at benepisyo ng mga poll workers.

Ani Gatchalian, hindi naman kinakaltasan ng buwis ang honoraria at mga benepisyo ng poll workers noon. Pero sinimulan silang buwisan ng 5% noong 2018 barangay at SK elections at 2019 midterm elections. Sa darating na 2022 national elections, itataas na sa 20% ang withholding tax nila.

Bagama't kinikilala ng DOF ang layuning matulungan ang mga guro sa mga pampublikong paaralan, hindi raw suportado ng ahensya ang panukalang huwag nang patawan ng buwis ang sahod at mga benepisyo ng poll workers. Ibinahagi ng DOF ang naging kautusan na ng BIR, kung saan nabigyang diin na ang mga sahod at benepisyo, gaano man kalaki o kaliit, ay maituturing na kita na kinakailangang patawan ng income tax.

Ayon pa sa DOF, hindi sang-ayon ang panukalang i-exempt sa tax ang poll workers sa Tax Reform for Acceleration and Inclusion (TRAIN) Law na layong gawing mas mabisa ang sistema ng pagbubuwis. Dagdag pa ng ahensya na hindi ang tax system ang pinakamagandang paraan upang magbigay ng mga benepisyo sa iba't ibang sektor, lalo na't maaari raw itong maabuso.

Ngunit ayon kay Gatchalian, marami nang mga nakasaad na exemptions sa tax codes. Ang 13th month pay, halimbawa ay hindi pinapatawan ng tax. Pahayag pa ng mambabatas, minsan lamang naman kada tatlong taon isinasagawa ang halalan.

"Ang hindi pagpataw ng 20 percent percent withholding tax ay isang maliit na pagkilala sa mga sakripisyo at mahalagang ambag ng ating mga guro, lalo na't itinataguyod nila ang demokrasya sa ating bansa," ani Gatchalian.