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Gov’t losses from VAT leakages, corporate tax perks reach P105-B annually

The government is losing P5 billion annually from leakages arising from the value-added tax (VAT) exemptions for senior citizens and another P100 billion from tax holidays for corporations plus other tax perks given to large firms, according to Finance Undersecretary Antonette Tionko.
Tionko said among the primary goals of the Department of Finance (DOF)’s proposed comprehensive tax reform program is to plug these leakages and correct inequitable fiscal incentives by making the current tax system simpler, fairer and more efficient.