Solon proposes use of credit cards for payment of taxes

No cash to pay your taxes? Then use your credit card.

This is the proposal of Rep. Eric L. Olivarez (1st District !ara"a#ue $ity% under
&ouse 'ill ()*( +hich see,s to allo+ the use of credit cards or de-it cards for the
pay.ent of taxes in the country.
/The use of credit cards or de-it cards +ill -eco.e an accepta-le +ay and a
convenient +ay to pay taxes0 Olivarez said.
Olivarez said allo+in1 the use of credit cards or de-it cards for the pay.ent of taxes
+ill encoura1e .ore individuals to pay their tax o-li1ations properly.
/Tax evasion +ill -e lessened if people +ill have an alternative that is delayed
pay.ent secured -y the credit card syste.0 Olivarez said.
&e said the 1overn.ent +ill have no pro-le. collectin1 fro. every taxa-le
individual +hat is due of the. as it can directly collect fro. his 2her issuin1 -an, or
financial institution.
/The -an, on the other hand +ill have no trou-le collectin1 the accu.ulated credit
card de-t fro. its individual cardholders -ecause it has -een expertly doin1 this practice
for decades no+0 Olivarez said.
3nder the -ill the taxpayer .ay not use or utilize the credit cards or de-it cards
issued under the na.e of a person other than hi.self for the pay.ent of his o+n taxes
due.
The -ill .andates the 'ureau of Revenue ('4R% to select co.panies to process
credit and de-it cards on its -ehalf and these co.panies .ay char1e taxpayers a
reasona-ly and re1ulated a.ount 1o processin1 fee.
The .easure also disallo+s any person to use or disclose any infor.ation relatin1
to credit or de-it card transactions o-tained pursuant to this 5ct other than for purposes
directly related to the processin1 of such transactions or the -illin1 or collection of
a.ounts char1ed or de-ited pursuant thereto.
Exception to this confidentiality rule is +hen de-it or credit card issuers or others
actin1 on -ehalf of such issuers use or disclose such infor.ation for purposes directly
related to servicin1 an issuer6s accounts.
NR # 3636B
OCT. 31, 2014
/Li,e+ise they .ay disclose such infor.ation for purposes directly related to
statistical ris, and profita-ility7 transferrin1 receiva-les accounts or interests therein7
auditin1 the account infor.ation and co.plyin1 +ith the la+s of the !hilippines or any
valid court order pursuant to a cri.inal investi1ation0 Olivarez said.
'ut +hen for any reason the use of credit cards or de-it cards in the pay.ent of
taxes proved to have -een done fraudulently or in contravention or circu.vention of any
la+ especially to evade tax o-li1ations the taxpayer shall -e lia-le +ith the -an, +hich
issued the credit card for the actual and co.plete pay.ent of taxes due.
/This is +ithout pre8udice to the filin1 -y the 'ureau of 4nternal Revenue of civil
cri.inal and ad.inistrative char1es a1ainst any person or persons connivin1 for the
purpose of evadin1 taxes due0 Olivarez said. (9)% mvip