Gov’t employees ask SC to stop BIR from taxing fringe benefits
Bureau of Internal Revenue building. AFP FILE PHOTO
MANILA, Philippines — Public-sector employees’ unions are to go to court next week to stop the Bureau of Internal Revenue’s new policy of taxing even fringe benefits, which they say are deductions that further reduce their already low salaries in the civil service.
The Confederation for Unity Recognition and Advancement of Government Employees (Courage), an umbrella organization of public-sector unions in the Philippines, will lead the filing of the petition for mandamus against the BIR at the Supreme Court next week, according to its president, Ferdinand Gaite.
The petition will come with a prayer for a temporary restraining order against the fringe benefit tax.
Employees’ groups from the judiciary, the Senate, the Department of Agrarian Reform, the Department of Social Welfare and Development and the Department of Trade and Industry, among others, would be among the parties to the petition to be filed before noon Thursday, Gaite said.
Still continuing their silent black-and-red protest against recent attacks on the judiciary, members of the Judiciary Employees Association of the Philippines (Judea) will be also among the petitioners.
“You know how low the pay is in government. We are given incentives to stay and work for government and then they will tax us?” said Jojo Guerrero, Judea president.
He said the BIR’s recently implemented a policy on fringe benefits taxes “even loyalty awards” of government employees. The deductions were first imposed on judiciary employees and later introduced in other government agencies, Guerrero said.
The petition will be filed during their lunch break as the public sector unions “do not want any disruption of work,” according to Guerrero.
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