Marcos Administration Declares Tax Relief Measures for Middle-Class, Small Businesses As Priority Legislation

President Marcos called for amending EPIRA to remove systems loss charges from power bills, offering up to 10% in consumer savings. While House lawmakers filed implementing bills, utility leaders warned that forcing distributors to absorb the costs could strain the power industry.

Tax relief measures for middle-class workers and small enterprises have been included in the list of the current administration’s priority measures amidst quickening inflation rates and global economic pressures. Announced during the 2026 State of the Nation Address (SONA), these measures include the following: 

  • Expanded Income Tax Exemption: This measure seeks to increase the threshold for tax-free annual income from the current PHP 250,000 to PHP 350,000.
  • Removal of Corporate Income Tax for Small Businesses: This measure proposes to exempt micro and small enterprises from the minimum corporate income tax (MCIT). Currently, businesses must pay either a 2 percent MCIT on gross income or a 20 percent regular corporate income tax on net taxable income, even if they operate at a loss.
  • Tax Amnesty Program: The government is pushing for a comprehensive tax amnesty covering unpaid obligations—including income tax, estate tax, donor's tax, and value-added tax (VAT)—along with the waiver of associated penalties and surcharges.

PSA Intelligence Security Analyst Team Inside

The PSA Intelligence team of security and risk analysts monitor thousands of intelligence sources across the Philippines and broader APAC region daily. PSA Intelligence supplies well-known international corporate security operations centers and enterprise risk management teams the reports and data required for their operations.

Contact us to for access to our regular risk management reports and data-feeds. Be sure to talk to us about our analyst vetted, reliable data feeds for your AI driven risk management systems too. We have 20+ years of back-data and keep the data acquisition pipelines running so you don't have to.

PSA Intelligence: Regional Reporting Capabilities

Our fast-paced intelligence pipeline is driven by a dedicated team of Manila-based security analysts that monitor the Philippine landscape every day. We bring together on-the-ground local insight with large scale data monitoring and cut through the noise to deliver the concise, actionable intelligence that our clients rely on to navigate their risks.

Regular Briefs & Industry Monitors

We provide a weekly digest of key political, economic, and security developments and analysis of their short and long-term impact on the local and regional business environment. Our Industry Monitors deliver regular summaries of key developments in manufacturing, energy, mining, and tourism.

Our Cyber Risks Briefs detail emerging cyberthreats, digital security vulnerabilities, and regulatory shifts, while our Economic Briefs provide macroeconomic snapshots covering inflation, trade markers, and fiscal policy. We also publish Health Risks Briefs tracking local disease statistics and healthcare capacities.

Targeted Crime & Kidnapping Reports

Our teams produce continuous updates and analysis on developing crime and safety trends targeting corporates and staff, ranging from opportunistic petty crime to syndicated criminal activity. This includes deep dives on known modus operandi, suspect profiles, and sociopolitical environments.

Additionally, we monitor Kidnapping Related Incidents in the Philippines, tracking publicly-known abduction cases, motives, victim profiles, and the broader regional developments that influence these threat vectors.

Insurgency, Terrorism, and Civil Unrest

We conduct ongoing analysis of activities of Communist insurgents in the Philippines, including their estimated operational capabilities, regional hotspots, and the progress of government peace processes.

Our coverage extends to Islamist Insurgency and Terrorism in Mindanao, assessing activities not limited to terrorism-related motivations but also criminal, personal, and cultural factors. We provide continuous assessments of political stability, strikes, protests, and broader civil unrest dynamics affecting operational continuity.