MANILA - The Philippine Chamber of Commerce and Industry said Wednesday the recalibrated corporate income tax bill would afford companies with more capital to keep more jobs.
The Corporate Recovery and Tax Incentives for Enterprises Act (CREATE), formerly known as CITIRA, which aims to "immediately" cut corporate income tax to 25 percent from 30 percent as early as July will result in savings for companies, said Philippine Chamber of Commerce and Industry President Benedicto Yujuico.
"When this kind of tax savings flow through the economy, there is a multiplier effect, this is what will propel or jumpstart the economy moving forward," Yujuico told ANC.
"That’s huge savings that could be used by businesses for working capital and also to keep employment as high levels as possible," he added.
Policy moves by the Bangko Sentral ng Pilipinas will also help businesses keep employment levels high, he said.
Lawmakers are discussing several economic stimulus bills, including the P1.5 trillion COVID-19 Unemployment Reduction Economic Stimulus Act and the Philippines Economic Stimulus Act.