The Duterte administration has been making a lot of buzz ever since the Gung-ho president stepped into the office. Take for instance President Duterte’s campaign against drugs which attracted a lot of supporters yet also gained a lot of detractors in the process. His comments and jokes have also been a topic of numerous debates. And now, the much awaited tax reform program is about to take effect and it’s getting a lot of attention so far.
Citizens across the country are wondering how much their take home pay will be after the tax reform takes effect. For starters, the amount of income of individuals exempted from tax has been raised to P250,000. Minimum wage earners won’t have anything to gain from this tax reform program of the government. But for those earning above the minimum wage, there would be certain increases in the amount of their home pay to be received per month. And here they are:
New Take Home Pay Under the Tax Reform Program for Employees in the Philippines
Note let’s take a look at the matrix above. If your monthly salary is 15,000 to P20,000 per month, your employer will no longer deduct any taxes.
In the table above, if you have a monthly salary of P40,000, you will be receiving P4, 444.06 more than what to used to receive in the past.
The middle income earners have a lot reasons to be excited for this tax reform act because it favors them so much.
However, those at the bottom are the ones who would suffer a lot.