The program is open to micro taxpayers with annual gross sales of not more than P3 million and total basic tax liabilities and penalties of P80,000 or less for a taxable year.
NOW Telecom is now obligated to pay P3.8 billion to the National Telecommunications Commission following a recent ruling of the Supreme Court for the telco firm to settle its unpaid regulatory fees and penalties.
he country’s largest exporters’ organization said the initiative creates a more supportive tax environment by allowing qualified micro enterprises to settle outstanding tax obligations under more favorable terms, enabling them to redirect resources toward expansion, employment and productivity.
In a statement signed by PHILEXPORT president Sergio R. Ortiz-Luis Jr., the group welcomed the implementation of the BIR’s One-Time Tax Abatement Program for Micro Taxpayers, which was introduced through Revenue Regulations No. 4-2026 issued on 22 June.
“By providing qualified micro enterprises with an opportunity to settle outstanding tax obligations under more favorable terms, the program promotes voluntary compliance while easing financial burdens that may have accumulated over the years,” the PHILEXPORT letter said.
The business group said the measure is particularly important for micro enterprises that have struggled with operational and financial challenges, noting that clearing old tax obligations would allow more businesses to participate fully in the formal economy.
“With tax obligations cleared, more micro enterprises will be encouraged to participate in the formal economy and expand their operations,” Ortiz-Luis added.
The program is open to micro taxpayers with annual gross sales of not more than P3 million and total basic tax liabilities and penalties of P80,000 or less for a taxable year.
Cases covered by the program include delinquent accounts, preliminary or final tax assessments, whether disputed or undisputed, and open stop-filer cases, including those involving taxpayers who have already ceased business operations.
Qualified taxpayers may apply with their respective Revenue District Offices until 31 December 2026 by paying a one-time abatement fee of P5,000 for every approved application.
Once approved, the BIR will issue a Certificate of Availment confirming that the taxpayer has successfully settled the covered case and that the liability has been closed.
PHILEXPORT noted that the tax relief program complements the BIR’s recently introduced simplified business closure process, which is intended to help inactive or shuttered micro enterprises resolve pending tax issues and update their records more efficiently.
The exporters’ group said reforms such as the tax abatement program strike a balance between improving revenue collection and recognizing the realities faced by small businesses, particularly those still recovering from financial setbacks.
It also reaffirmed its support for government initiatives that promote ease of doing business, improve voluntary tax compliance, and strengthen the competitiveness of Philippine enterprises.
