Legislative History
| House Bill/Resolution NO. House Bill No. 10, 12th Congress of the Republic | |
| FULL TITLE : AN ACT ADOPTING THE GROSS INCOME TAXATION FOR CORPORATIONS AND INDIVIDUALS ENGAGE IN TRADE OR BUSINESS AND/OR PRACTICE OF PROFESSION, AMENDING FOR THE PURPOSE PERTINENT PROVISIONS OF TITLE II OF THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, AND FOR OTHER PURPOSES | |
| ABSTRACT : This bill proposes a GROSS INCOME APPROACH in taxing the business income derived by individuals and corporations. Rationale: By shifting to gross income taxation, the areas of discretion are minimized. Tax examiners need to validate only the accuracy of the taxpayer's declared gross sales/receipts and "cost of goods sold" or "cost of sales/services" . It would lessen paper work of both the taxpayer and tax examiner as substantiation requirements will be significantly reduced. As it will be easier to comply with, more taxpayers will be encouraged to file their returns. And with more taxpayers in the tax net, tax collection will consequently increase. | |
| PRINCIPAL AUTHOR/S : PEREZ, FRANK S. | |
| DATE FILED : 2001-07-02 | |
| SIGNIFICANCE: NATIONAL | |
| CO-AUTHORS (Journal Entries) : | |
| 1. Santiago (004 ) | 2. Badelles (006 ) |
| 3. Libanan (008 ) | 4. Cuenco (009 ) |
| 5. Lapus (012 ) | 6. Zialcita (016 ) |
| 7. Espino (022 ) | 8. Syjuco (023 ) |
| ADMINISTRATION BILL? No | |
| URGENT BILL? No | |
| ACTIONS TAKEN BY THE COMMITTEE ON RULES | |
| REFERRAL TO THE COMMITTEE ON WAYS AND MEANS ON 2001-07-24 |
Abstract
This bill proposes a GROSS INCOME APPROACH in taxing the business income derived by individuals and corporations. Rationale: By shifting to gross income taxation, the areas of discretion are minimized. Tax examiners need to validate only the accuracy of the taxpayer's declared gross sales/receipts and "cost of goods sold" or "cost of sales/services" . It would lessen paper work of both the taxpayer and tax examiner as substantiation requirements will be significantly reduced. As it will be easier to comply with, more taxpayers will be encouraged to file their returns. And with more taxpayers in the tax net, tax collection will consequently increase.
Disclaimer
Note: Legislative history and other information accessed from Congress Legis. Information as of April 20, 2022.