Why BIR will tax Pinay caregiver's X-Factor winnings

Posted at 01/21/2014 10:16 AM | Updated as of 01/21/2014 10:16 AM

MANILA – Pinay caregiver Rose "Osang" Fostanes is not yet off the hook.

Although she may have ironed out her working visa problem in Israel, the Bureau of Internal Revenue is keen on taxing her.

BIR Commissioner Kim Henares said Fostanes will be taxed based on the cash prize she received from winning the X Factor Israel.

"Ang batas sa Pilipinas ay pareho sa America na kung ikaw ay Pilipino, Filipino citizen…di naman siya nag apply ng permanent residency sa abroad," said Henares.

As caregiver, Fostanes is exempted from paying tax if she is registered OFW at the Overseas Workers Welfare Administration (OWWA).

"You're taxed globally. Lahat ng income nyo tina-tax ho sa Pilipinas. May exception lang ho dito yung overseas Filipino worker kung magkakaroon kayo ng other income, taxable kayo o kaya nanalo kayo sa contest, taxable ho yan," explained Henares.

 

The 47-year old OFW, who has the same tax predicament as Filipino boxing icon Manny Pacquiao, can fix the problem if she pays her taxes in Israel.

"Ideklara din niya kung magkano ibinayad niya sa Israel at bigay niya sa amin yung documentation," she said.

The Fostanes family in the Philippines still thinks the BIR shouldn't tax the caregiver.

"Sana wag nyong kaltasan kasi sa totoo lang Pinoy talent yun. Hindi pa ba kayo natuwa? Kung baga yun na yung representative natin sa Pilipinas, nakilala nga yung Pilipinas. Si Manny Pacquiao kasi marami na siyang income, marami na siyang kita," said Fostanes' sister Gina Camposano.

But the BIR chief explained," Kung lalo kayong sikat, lalo kayong nalalaman ng lahat ng tao kung magkano kinikita niyo. Mas kailangan niyong sumunod at magbayad ng tama".

Fostanes is the first season winner of X Factor Israel. She declined to reveal the prizes she won from winning in the show in previous interviews, but added that it included a record contract. Report from Marie Lozano, ABS-CBN News