THE Department of Labor and Employment (DOLE) said Tuesday it would fully support President Ferdinand Marcos Jr.'s proposal to raise the annual income tax exemption threshold to P350,000.
Marcos, in his fifth State of the Nation Address (SONA) on Monday, urged the Congress to pass the legislation exempting individuals earning P350,000 or less annually from paying income tax.
Labor Secretary Francis Tolentino said the proposal would benefit not only minimum wage earners but also employees earning slightly above the minimum wage.
"If the threshold is set at P350,000 and below, it will definitely benefit more workers, not only minimum wage earners, but also those earning somewhat above the minimum wage," Tolentino said in a statement in Filipino and English.
Tolentino noted that the proposal would require amendments to the National Internal Revenue Code (NIRC).
"The amendment of the NIRC should be done as soon as possible. That requires an act of Congress, it needs legislation. If it is made a priority, it can be passed very quickly," he said.
Marcos said the proposed tax relief aims to help the middle class cope with the lingering effects of recent economic issues while promoting growth, generating revenue and advancing equity.
