BIR urged to defer tax on online sellers

first_imgMANILA – Sen. Sherwin Gatchalian has urged the Bureau of Internal Revenue (BIR) to postpone its plan to impose taxes on small-time online sellers amid the coronavirus disease 2019 (COVID-19) pandemic.The proposed taxation at the height of the economic and health crisis is “ill-timed and insensitive,” Gatchalian stressed, saying this will only add unnecessary burden to ordinary Filipinos who are trying to make ends meet to feed their families during pandemic.“Taxation on online goods and services during the pandemic will also prompt digital entrepreneurs to pass on the additional expenses to their customers, mostly belonging to the middle-class brackets,” said the senator, who co-chairs the Senate Committee on Economic Affairs.Gatchalian added that premature taxation on online sellers at the height of economic turmoil will impede the growth of the country’s growing digital economy.“Importante ang tamang timing sa pagtatakda o pagtataas ng buwis. Hindi tama ang timing ng BIR na patawan ng tax ang mga online sellers na karamihan sa kanila ay nagsisimula pa lang makabangon muli dahil nawalan ng trabaho,” Gatchalian said.He urged the government to instead help create a vibrant digital economy by resolving some of the key concerns of the eCommerce industry such as lack of trust, improving internet and logistics infrastructures, and lack of governing entity at the regional level that can fight cybercrime and settle cross-border disputes.“Before we impose new taxes on the digital economy, we should first think of ways on how we are going to develop this industry in order to provide more jobs and opportunities to all Filipinos. I believe premature taxation will only do harm than good to our growing digital economy,” he said./PNlast_img

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