MANILA -The House of Representatives on Monday approved on final reading a bill that would provide income tax relief to frontline medical workers for the year 2020.
The chamber unanimously voted to pass House Bill 8250, which exempts medical frontliners from paying 25 percent of their income tax due for year 2020.
The measure limits the coverage of the proposed exemption to salary or compensation, as well as the gross receipts from the exercise of profession or employment received by medical frontliners.
The tax exemption shall not include those income received by the medical frontliners from their other businesses, investments, and other kinds of passive income not related to serving, treating, caring, aiding and assisting COVID 19 patients, it read.
It authorizes the secretary of Finance to extend for a period of not more than 6 months the exemption from payment of income taxes to qualified medical frontliners.
The bill amends parts of Republic Act 8424 or the National Internal Revenue Code of 1997 as amended, Republic Act 11469 or the Bayanihan to Heal as One Act and Republic Act 11494 or the Bayanihan to Recover as One Act.
The measure is the latest government incentive extended to health workers who have been working overtime to curb the spread of COVID-19 in the country.
Last year, Congress passed several measures to provide cash aid for medical personnel who either fell ill or died from COVID-19.