Monday, November 16, 2015
BIR SCORED ON CO-OP TAX
"The government, particularly the BIR (Bureau of Internal Revenue), is making it difficult for cooperatives to avail themselves of tax exemptions, by strewing, discouraging, and suffocating administrative procedures and requirements."
Thus, said Sen. Ferdinand R. "Bongbong" Marcos, Jr., in his keynote speech during the 5th Philippine Cooperative TEAMshop held last Nov. 13, 2015 at Boracay, Aklan.
He cited the State policy on cooperatives: "..In essence, the will of the sovereign Filipino people is that we should 'foster the creation and growth of cooperatives as a practical vehicle for promoting self-reliance and harnessing people power towards the attainment of economic development and social justice..'
"However, it is clear that the government itself is getting in the way, as evidenced by the policy and acts of certain agencies of government that seem to ultimately defeat and frustrate this clear sovereign will," Sen. Marcos said.
He also reported that of some 25,000 cooperatives registered with the Cooperative Development Authority (CDA), only about 11,600 were issued Certificates of Good Standing.
On the other hand, only 6,295 of these cooperatives had been issued Certificates of Tax Exemption by BIR.
Sen. Marcos, who is vice chairman of the Senate Committee on Cooperatives Development, added that the reported "underdevelopment" of the cooperative sector is not due to the nature of cooperatives, per se.
This is due to our own regulatory system that, he pointed out, tends to undermine and discourage the formation and operation of cooperatives, as business organizations..".
"This should also be a challenge to the leaders and managers of cooperatives, who should be at the forefront and should not relent on the struggle to demand logical and commonsensical implementation by government of our incentive scheme and to attain tax-exempt status of our cooperatives in the whole country," Sen. Marcos added. (END).