THE House Committee on Ways and Means, chaired by Albay Rep. Joey Sarte Salceda, on Tuesday approved the tax provisions of two unnumbered substitute bills seeking to exempt from taxes the hazard pay of public prosecutors, as well as judges of the various regional, metropolitan and municipal trial courts in the country.
The first unnumbered substitute bill, consolidated HBs 7775 authored by Speaker Ferdinand Martin Romualdez, Majority Leader Manuel Jose “Mannix” Dalipe, Senior Deputy Majority Leader and Ilocos Norte Rep. Ferdinand Alexander Marcos, and Tingog Party-list Reps. Yedda Marie Romualdez and Jude Acidre; HB 1835 by Davao de Oro Rep. Ruwel Peter Gonzaga; and HB 8364 by Cagayan de Oro City Rep. Rufus Rodriguez. These bills sought to grant prosecutors with tax-free hazard pay.
The tax provision contained in Section 5 of the unnumbered substitute bill provides that “the hazard pay is not subject to tax and nothing in the measure shall be construed to diminish, in any manner, any benefit granted to duly appointed public prosecutors under existing laws, rules and regulations, local ordinances and other issuances.”
In the explanatory note of HB 7775, Romualdez explained that public prosecutors play a vital role in the administration of criminal justice. He said prosecutors are primary responsible for the preliminary investigation and prosecution of all criminal cases.
“They safeguard the fundamental rights of the persons involved in criminal proceedings and ensure public security. In the performance of their functions, they are assigned to investigate and prosecute cases involving national security, dangerous drugs, terrorism, and notorious criminals. As a consequence of their duties and exposure to hazardous situations, many prosecutors have received death threats, and a number of them have been killed in the line of duty,” the Speaker said.
According to the Speaker, the precarious nature of the work of prosecutors, e.g., conducting inquest proceedings, preliminary investigation and prosecuting complex and high-profile crimes, expose them to risks and perils which should entitle them to a hazard pay.
Salceda considered paying premium hazard pay for risk as akin to paying income for effort.
“Some have risks. Others have more risks than others. There should be a differentiation based on risk. It’s so simple. As the chair of this committee, I always subscribe that there must be some more existential philosophy that should guide the way we do our taxation,” Salceda said.
The Chief Prosecutors Association maintained that the hazard pay is not an income, but an expense for the protection of prosecutors. Hence, hazard pay should be tax-exempt.
Relatedly, the committee approved the tax provision of the substitute bill to HB 1836, granting hazard pay to judges of the Regional Trial Courts, Metropolitan Trial Courts, Municipal Trial Courts in Cities, Municipal Circuit Trial Courts and Municipal Trial Courts, and appropriating funds therefor. It is authored by Gonzaga.
Section 3 of the substitute bill provides that the hazard pay granted under the proposed Act shall not be subject to tax, and nothing in the measure shall be construed to diminish in any manner other benefits granted under existing laws, rules, regulations, orders, circulars, local ordinances, and other issuances to duly appointed judges and judges-at-large of the Regional Trial Courts, Metropolitan Trial Courts, Municipal Trial Courts in Cities, Municipal Circuit Trial Courts and Municipal Trial Courts.
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