Businesses that donate online learning tools to get tax perks

MANILA, Philippines — The chair of the House basic education committee on Sunday urged top corporations to donate online learning tools for public school students—and receive up to a 150-percent tax deductible — under the Adopt-a-School program (ASP).

Pasig Rep. Roman Romulo reminded private business of tax incentives available to them via the 22-year-old program as a way to help bridge resource gaps in the transition to blended distance learning by the Department of Education (DepEd).

Under the ASP, donors of basic education materials may deduct from their gross taxable income up to 150 percent of the value of their contribution.

“Business process outsourcing companies, for instance, can donate brand-new or even secondhand desktop computers, laptops or tablets for home use by both students and teachers, while those in telecommunications can sponsor free data plans to facilitate remote learning over the internet,” Romulo said.

Romulo issued the statement while the DepEd was preparing to shift to nonphysical classes in this school year to prevent the spread of the coronavirus.

“The DepEd has existing guidelines on accepting and processing applications for the availment of tax benefits by private donors under the ASP,” Romulo said.

“We would urge new donors to get in touch with the DepEd’s External Partnerships Service Secretariat for more details on the mechanics of the ASP,” Romulo said.

The ASP was established in 1998 to mobilize private funds in addressing the public school system’s persistent resource gaps.

The program entitles private entities or individuals that help “adopted” public schools to claim a gross income deduction of as much as 150 percent of the value of their donation.

For example, should a corporation sponsor P10 million worth of laptops, it may claim a deduction of up to P15 million from gross income, according to the law. INQ