Palace supports BIR regulation on campaign tax
11/05/2009 | 08:00 AM
Malacañang is supportive of the Bureau of Internal Revenue's resolution of imposing a five-percent tax on political campaign contributions, even as it dismissed speculations that the administration would use it to harass the opposition.
Executive Secretary Eduardo Ermita, who is also the president of the ruling Lakas-Kampi-CMD party, said at a press briefing Wednesday that “as long as it’s legal" the administration party would even comply with the tax scheme in order to set an example.
“We are not going to turn our back on it. Maybe we should even set the example," Ermita said.
He likewise brushed aside the claims of Makati Mayor Jejomar Binay that the latest measure of the Bureau of Internal Revenue (BIR) would be used “to employ every trick in the book to harass and intimidate our financial backers." [See: 'Campaign tax will allow Arroyo govt to harass opposition donors']
"I think some people are just bringing it out in the open to keep the administration aware that they are ever vigilant in what the administration is capable of doing," Ermita said.
Earlier, the BIR said it will impose a five-percent tax on contributions to political campaigns. Revenue Regulation No. 8-09 requires all political parties and contributors to effect a five-percent withholding tax on their campaign expenditures and contributions.
The new regulations also require all political parties and candidates to register with the BIR as a withholding agent. - Aie Balagtas See, GMANews.TV
Executive Secretary Eduardo Ermita, who is also the president of the ruling Lakas-Kampi-CMD party, said at a press briefing Wednesday that “as long as it’s legal" the administration party would even comply with the tax scheme in order to set an example.
“We are not going to turn our back on it. Maybe we should even set the example," Ermita said.
He likewise brushed aside the claims of Makati Mayor Jejomar Binay that the latest measure of the Bureau of Internal Revenue (BIR) would be used “to employ every trick in the book to harass and intimidate our financial backers." [See: 'Campaign tax will allow Arroyo govt to harass opposition donors']
"I think some people are just bringing it out in the open to keep the administration aware that they are ever vigilant in what the administration is capable of doing," Ermita said.
Earlier, the BIR said it will impose a five-percent tax on contributions to political campaigns. Revenue Regulation No. 8-09 requires all political parties and contributors to effect a five-percent withholding tax on their campaign expenditures and contributions.
The new regulations also require all political parties and candidates to register with the BIR as a withholding agent. - Aie Balagtas See, GMANews.TV
