Tolentino urges electricity cost of work-from-home employees be deducted from tax

  • Senator Francis Tolention said he will be filing a bill that will come up an “appropriate” computation for income tax deductions for employees who work from home
  • He explained as due to the work-from-home set-up, employees bear the electricity costs that employers usually pay for
  • The senator explained that because the employees were able to reduce the employer’s expenses, they must be entitled to some tax relief

Senator Francis Tolentino is pushing for tax deductions of workers who work from home.

Image by Francis Tolentino via Facebook

One of the impacts of COVID-19 in the country is the shifting of many jobs to work-from-home set-up. According to Tolentino, the electricity consumption of employees who work at home should be considered in this new set-up. He said it would be best if the expenses of workers be considered a deductible expense in paying their taxes since the expenses incurred by their employers were reduced.

“Ito pong ginastos ng ating mga nagtatrabaho sa bahay, pwedeng ikarga bilang deductible expense sa pagbabayad ng buwis dahil po nabawasan ang gastos ng kanilang pinapasukan. Whether this is a government agency or a private corporation,” Gatchalian, the energy committee chairman said.

He continued that since these employees work at home, it is expected that their expenses at home will increase.

“Hindi na sila nagtatrabaho doon sa opisina nila, hindi kumo-konsumo ng aircon at kuryente. Dahil nagtatrabaho sila sa bahay, dadagdag po dun sa kanilang gastusin (And because they are working from their homes, their expenses have increased),” he explained.

Image by PNA

Gatchalian gave assurance that he will file a bill on his suggestion and come up with “an appropriate, considerable, reasonable” deduction on the gross income of any taxpayer who has incurred additional electricity costs while working at home.

“Because he was able to produce something for the government office or for a private employer, he is entitled to some tax relief,” Tolentino said.