THERE is now confusion as to the taxation of educational institutions which are proprietary, stock or for profit. The term "which are not for profit" under Section 27(B) refers to "hospitals" only and not to the "proprietary educational institutions". Proprietary educational institutions, with permits from CHED, DepEd, and TESDA;andb. Legislative history shows that the 10 percent special corporate income tax rate applies to proprietary or stock educational institutions. Thus, the BIR should re-examine its position with respect to the taxation of "proprietary educational institutions."

Source: Manila Times May 20, 2021 08:26 UTC