Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Seventeenth Congress
First Regular Session

House BILL No, 38741
Introduced by Honorable Rodante D. Marcoleta

This bill seeks to include incidental expenses in the exercise of profession as
additional allowable deductions from the annual taxable income of teachers.

It is the policy of the State to recognize the vital role of teachers in nation
building. The service that they provide to our students is an essential factor in the
economic growth of our nation. As mentors, they mold the mind of the youth to help
them become active, informed and responsible citizens. To ensure that our youth avail
of quality and affordable education, our government engages qualified, educated and
intelligent teachers who act as mentors and molders of our students in their daily
undertaking in school. However, due to low salaries and lack of benefits for their
services, teachers are migrating to foreign lands to seek greener pastures or finding
other lucrative undertaking instead of dedicating their lives to the vocation of
teaching,

To prevent the migration of our teachers and losing them to other
undertakings, it is imperative for the government to address the financial burden of
teachers. One effective measure is to lessen the tax burden of teachers. One way of
doing this is to grant them additional allowable deductions of their taxable income for
incidental expenses they incur in the exercise of their profession such as expenses for
books, school supplies, study tours, education tours, conferences, seminars, training
courses, master and doctoral courses, similar studies necessary in their teaching
profession and instructional activities. This tax incentive will provide financial relief
to teachers and, in effect, will enhance their role as educators.

In view of the foregoing, approval of this bill is earnestly recommended.

pony

E D. MARCOLET:



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Seventeenth Congress
First Regular Session

374
HOUSE BILL no3? 41

Introduced by Honorable Rodante D. Marcoleta

AN ACT
INCLUDING INCIDENTAL EXPENSES IN THE EXERCISE OF
PROFESSION AS ADDITONAL ALLOWABLE DEDUCTIONS FROM
THE TAXABLE INCOME OF TEACHERS.

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. All incidental expenses incurred by teachers in the exercise of
their profession such as the purchase of books and school supplies and payments
for attendance in study or educational tours, conferences, seminars, training
courses, master and doctoral courses and other continuing professional
development programs during the taxable year, shall be deducted from their
annual and gross taxable income, The allowable deduction shall not exceed Fifty
Thousand pesos (50,000.00) per taxable year. The expenses shalll be substantiated
with sufficient evidence, such as official receipts which indicate the amount of the

expenses being deducted relative to the exercise of profession of teachers.


For the purposes of this Act, teachers refer to all persons who are engaged
in the personal development of students through the classroom instructional
strategies from the kindergarten, elementary, high school and college levels in all
educational institutions including guidance counselors, aides, head teachers and

principals employed in any level of the public and private educational institutions.

2. The Commissioner of the Bureau of Internal Revenue shall,

in coordination with the Secretary of Education and the Chairperson of the
Commission on Higher Education, issue the necessary rules and regulations for the
effective implementation of this Act.

SEC. 3. This Act shall take effect fifteen (15) days from its publication in

the Official Gazette or in a newspaper of general circulation.

Approved,