Manila:A business group has highlighted the benefits of the Bureau of Internal Revenue's (BIR) tax abatement program, noting its significant impact on micro, small, and medium enterprises (MSMEs).
According to Philippines News Agency, the Philippine Chamber of Commerce and Industry (PCCI) issued a statement emphasizing that the program offers micro businesses a practical solution to resolve old tax liabilities and close pending cases. The PCCI noted that unresolved tax cases add financial pressure and uncertainty for many micro enterprises, and the abatement program allows eligible taxpayers to settle their obligations and move past these issues.
MSMEs constitute over 99 percent of business enterprises in the Philippines and employ approximately 66 percent of the workforce, based on government data. The PCCI, citing BIR data, revealed that about 3,929 micro businesses have utilized the program, resulting in the cancellation of PHP266.79 million in taxes and penalties as of October 24, 2026. The BIR has received around 17,101 applications, with approximately 15,050 approvals.
The PCCI also expressed strong support for the BIR's plan to expand the program to small taxpayers. Extending the program to businesses with annual gross sales ranging from PHP3 million to below PHP20 million will enable more enterprises to address outstanding tax cases and alleviate a longstanding burden. The PCCI added that as many MSMEs continue to recover and grow, ongoing access to clear guidance, taxpayer education, and responsive assistance from the BIR is crucial for them to meet their obligations confidently.