HomeTechSafety and Convenience drive 2x growth in Tax payments via GCash in H1
Safety and Convenience drive 2x growth in Tax payments via GCash in H1
July 8, 2020
The volume and value of transactions of tax payments done through the GCash app doubled during the first six months of the year, buoyed by the growing demand for digital transactions amid the new normal.
GCash saw the value of transactions for payments to the Bureau of Internal Revenue (BIR) surging by 117 percent to P574.89 million in the first half of 2020 from P265.19 million the year prior.
This growth is driven by the 90-percent increase in the volume of BIR transactions during the first semester of the year, ending at 225,222 transactions from 118,731 in the same period last year.
“The surge in both volume and value for tax payments is a reflection that GCash is fast becoming a preferred mode of payment for taxes. Taxpayers opt for a safe and convenient way of paying their taxes. We fully support the government in pursuing a more cashless Philippines, as we all adapt to the new normal,” GCash President and CEO Martha Sazon said.
The increase in BIR transactions made through the GCash app reflects preliminary government data, which showed that 77 percent of the BIR’s total tax collection from January 1 to June 15 were made through electronic means. The filing of income tax returns was extended from April 15 to June 15 due to the limitations on mobility because of the national health situation.
Through its partnership with the BIR, GCash enabled its users to pay for their taxes through their mobile phones. They simply have to click on the Bills Pay tile, select Government, and then click on the BIR option. From there they only have to enter the details required such as form series, the return period, their taxpayer identification numbers (TINs), branch code, and the amount before hitting the pay button.
“By partnering with the government, we are bringing government services closer to the masses — especially now that we are facing a threat that forces us to limit human interaction. Through our platform, we are enabling people to pay their taxes safely, conveniently, and securely, while empowering the government to process these payments more efficiently,” Sazon said.
Aside from tax payments, GCash also allows users to pay their government dues for their applications or contributions to the Department of Foreign Affairs (DFA), the Pag-IBIG Fund, the Maritime Industry Authority (Marina), the Metropolitan Manila Development Authority (MMDA), the National Bureau of Investigation (NBI), the National Home Mortgage Finance Corp. (NHMFC), the National Statistics Office, and the Philippine Overseas Employment Administration.
Globe Fintech Innovations Inc. (Mynt), which operates GCash, is part of the portfolio companies of 917Ventures, the largest corporate incubator in the Philippines wholly-owned by Globe Telecom Inc.
GCash is available for download on the App Store and Google Play. For more information, kindly visit https://www.gcash.com/.