REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House Bill No, S189

‘Introduced by MAGDALO Party-List Representative
___HION. GARY C. ALEJANO

Explanatory Note

This bill seeks to recognize the vital contributions to the society of the Filipino public
school teachers, health workers, police and military uniformed personnel by granting them
exemption from the payment of their income tax.

This representation finds Filipino public school teachers, health workers, police and
military uniformed personnel to be equally deserving of the exemption given to minimum wage
earners considering the crucial role they play in the country’s development.

Filipino public schoo! teachers, contribute to the development of the country by shaping
the youth towards becoming productive and responsible members of society. By giving the
public school teachers exemption to income taxation, this measure seeks to encourage more
Filipinos to enter the public school teaching profession in light of the perennial problem of
shortage of public school teachers nationwide.

The granting of tax exemption to our health workers will definitely encourage them to
further serve our community, especially those people who are residing in the remote areas that
badly need medical attention from the government.

This bill likewise seeks to increase the take home pay of the members of the country’s
police force in the hope of lowering the crime rates nationwide and curbing the perceived
corruption in the institution.

Finally, the proposed measure seeks to boost the morale of the military uniformed
personnel to motivate them in performing their duty of defending the country from internal and
external threats.

‘The foregone revenue in granting the proposed income tax exemption Filipino public
school teachers, health workers, police and military uniformed personnel is a small price to pay
for the invaluable service they render to the nation.

passage of this bill is earnestly sought.



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REPUBLIC OF THE PHILIPPINES.
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

5189

House Bill No.

Introduced by MAGDALO Party-List Representative _
_HON. GARY C. ALEJANO

AN ACT
PROVIDING FOR EXEMPTION FROM INCOME TAX TO PUBLIC SCHOOL
TEACHERS, HEALTH WORKERS, POLICE AND MILITARY UNIFORMED
PERSONNEL, AMENDING FURTHER SECTION 24 (A) (2) OF THE NATIONAL
INTERNAL REVENUE CODE OF 1997 AS AMENDED BY REPUBLIC ACT NO. 9504
AND FOR OTHER PURPOSES.

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

SECTION 1. Section 24 (A) (2) of the National Internal Revenue Code of 1997, as
amended by Republic Act No. 9504 is hereby further amended to be read as follows:

“(2) Rates of Tax on Taxable Income of Individuals. ~ xxx
xxx

Provided, That minimum wage earners as defined in Section 22 (HH) of this Code,
PUBLIC SCHOOL TEACHERS, HEALTH WORKERS, POLICE AND
MILITARY UNIFORMED PERSONNEL shall be exempt from the payment of
income tax on their taxable income: Provided, further, That the holiday pay,
overtime pay, night shift differential pay and hazard pay received by such minimum

wage carners shall likewise be exempt from income tax”

SEC. 2. Implementing Rules and Regulations. — The Department of Finance shall

promulgate the necessary rules and regulations for the proper implementation of this Act.

SEC. 3. Effectivity Clause - This Act shall take effect fifteen (15) days after its

publication in at least two (2) newspaper of general circulation.

Approved,