MANILA, Philippines — Many more private schools may be forced to close down or raise their tuition due to an “ill-timed” regulation by the Bureau of Internal Revenue (BIR) to raise their income tax rate by 150 percent, an officer of the schools’ association warned on Thursday.
Joseph Noel Estrada, managing director of the Coordinating Council of Private Educational Associations (Cocopea), explained that 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 from the current 10 percent.
This will result in additional costs not just for the schools but …
Keep on reading: Private schools groan under new tax rule