Escudero proposes 5-year tax payment extension for MSMEs

General

Sorsogon Governor Francis Escudero on Monday said the government should consider giving micro, small and medium enterprises (MSMEs) more time to pay their taxes as part of the country’s post-pandemic economic recovery measures.

In a statement, Escudero urged Congress to enact a law that gives direct financial assistance to MSMEs, as is the practice in other countries, and allows a tax payment term of up to five years.

“Para makabangon tayo mula sa pandemiya, dapat magpasa ang susunod na Kongreso ng batas na tutulong sa MSMEs. Sa papaanong paraan? Halimbawa, bigyan ng rektang ayuda katulad ng ginawa ng ibang bansa para may pang-suweldo sila ng 6 hanggang 12 buwan. Kapag may suweldo ang empleyado, iikot ang ekonomiya sa kanilang lugar (For us to fully recover from the pandemic, the next Congress should pass a law that will help MSMEs. In what way? Example, give direct assistance like what other countries do, to give them funds for the salaries for at least six to 12 months. When employees have salaries, the economy within their area will continue),” he said.

According to the Philippine Statistics Authority (PSA), MSMEs comprised 99.51 percent of the 957,620 business enterprises operating in the country in 2020.

Of these, 952,969 are MSMEs and 4,651 (0.49 percent) are large enterprises. Micro enterprises accounted for 88.77 percent of MSMEs.

“Lahat ng ihahalal natin sa darating na ika-9 ng Mayo, ang dapat tutukan ay isang bagay lamang—ang muling pagbangon at pag-ikot ng ating ekonomiya para yung mga negosyong nagsara, ‘yung mga trabahong nawala ay muling bumalik (All who we will elect for this May 9, they need to focus on one thing — the recovery our economy so that the closed businesses and lost jobs to resume operations),” said Escudero, who once chaired the Senate Committee on Finance.

He said if MSMEs would be helped, 99 percent of the country’s economy would recover, he noted.

Source: Philippines News Agency

Leave a Reply