0Department of Finance (DOF) is open to a regime of fixed taxation in the country but claims that it requires a special provision through Charter Change. Asked about the possibility having such a system in the country, Finance Secretary Carlos Dominguez 3rd noted the 1987 Constitution does not allow fixed taxation. A fixed tax is a lump sum that is not measured as a percentage of the tax base—income, wealth, or consumption. “I know fixed taxation, like in Hong Kong, is very effective. Fixed taxation will certainly make life a lot easier for the people, for the tax authorities, and may reduce the corruption.

Source: Manila Times August 16, 2016 14:37 UTC