MANILA, Philippines — Senate President Pro Tempore Ralph Recto on Friday called on the Bureau of Internal Revenue (BIR) to revoke its “erroneous” and “absurd” order raising the corporate income tax on private schools, which he said could lead to bankruptcy.
Under BIR Revenue Regulation No. 5-2021 (RR 5-2021), income tax on so-called proprietary educational institutions that are run by stock corporations would be increased to 25 percent, a 150-percent increase from the current 10 percent.
But Recto stressed that BIR’s order was a “flawed interpretation of the Corporate Recovery and Tax Incentives for Enterprises (Create) Act.”
“Yung title pa lang ng batas, malinaw…
Keep on reading: BIR told: Revoke ‘erroneous, absurd’ tax raise order on private schools