BPO workers want 3-month tax break

CEBU, Philippines - A newly organized group of call center employees, BPO Industry Employees’ Network-Philippines, will ask the Congress to pass a law on labor standard that will entitle Business Processing and Outsourcing workers a three-month tax holiday per year and another one month tax holiday in case of calamity.

BIEN-Cebu chapter president Renil Oliva said that the BPO sector contributes P2.3 billion in tax revenues per month to the government next to the Overseas Filipino Workers, which means that the industry is number one domestic source of taxes.

But despite their contribution to the government, Oliva said call center workers are living in abnormal lives.

“Abnormal na gyud ang life sa mga BPO employees because of our work schedule, labi na daghan mga batan-on nag-work sa call centers. We are prone to cancer and other sickness. We are heavily taxed. We hope the government will grant our call,” Oliva said during the Labor Day rally yesterday as their group joined a rally with the Alyansa sa mga Mamumuo sa Sugbo-Kilusang Mayo Uno.

According to Oliva, an ordinary call center employee who earns an average of P18,000 per month as single and no dependent is deducted P3,400 per month in withholding tax, aside from 34 percent tax deduction for bonuses and incentives.

“Every payday, whenever we look at our pay slips, the most prominent deduction that we see is the withholding tax. This money being deducted from our salaries could have paid our electricity, bought food and other necessities for daily living,” a BIEN statement read.

The statement also said that if tax holiday can be provided to companies and enterprises from three to eight years, it is more justified to give a three-month tax holiday to the ordinary taxpayers like the BPO workers.

Tax holiday refers to a government’s incentive program that offers non-payment of taxes for a period of time, with the general objective of promoting economic growth.

BIEN-Philippines is a group which members are BPO employees, managers, supervisors, team leaders, quality assurance personnel, sales representatives and customer service agents.  (FREEMAN)