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What Is A Tax Holiday?

A tax holiday is a temporary period during which the government removes or reduces certain
taxes like VAT and income taxes on individuals and businesses in certain areas. This is to
encourage consumption and fast recovery of both households and business enterprises.
With all the anomalous spending and depravity issues confronting our government, taxpayers
absolutely deserve a tax holiday. Here are some forms of tax holidays which can actually boost
our economy:
1. VAT and income tax holidays for all individuals and businesses in areas declared under state of
calamity;
2. Income tax holiday for all employees nationwide, at least in the next two months (including
their bonuses), and a VAT refund for their shopping sprees this season. This will surely make
everyone feel the holiday spirit, as they have been weary and devastated after the PDAF and
DAF controversies. It won’t hurt the government budget anyway; they seem to have so much to
even create a new pork for legislators to boost economic spending, as Budget Secretary Abad has
explained;
3. Estate tax holiday to transfer all land titles in provinces, especially of the farmers whose titles
remained under the name of their ancestors. This prevents them from availing of loans since the
land titles are not under their names;
4. All tax holidays for micro and social entrepreneurs at least for its first two years. While the
government is improving ease-in-doing-business in the country, we need to safeguard the interest
of struggling entrepreneurs who are barely making profit, but are contributing significantly,
especially in providing employment;
5. Travel tax holiday for all Filipinos who will fly to their provinces this Christmas break.