By Jun Ramirez
The Bureau of Internal Revenue (BIR) has stood firm in its decision to impose the 5 percent withholding tax on the honoria and transportation allowances that public school teachers will get for doing service in the coming barangay elections.
A revenue legal official who declined to be named said the collection of the tax is mandatory under Sections 2.78 and 2.78.3 of Revenue Regulations No. 98.
She said, however, the take will be returned if the teacher’s annual total compensation does not exceed his tax exemption of R250,000 as prescribed under the Tax Reform for Acceleration (TRAIN) law.
The mentors belonging to Alliance of Concerned Teachers trooped to the BIR main office in Quezon City the other day to protest the collection of the tax.