in , , ,

Government to lose large amount of taxes if ABS-CBN continues to shut down

ABS-CBN’s shutdown will affect government tax collection.

ABS-CBN’s business may be greatly affected by its continued shutdown but it’s not only then network that will lose while it’s off the air.

According to Froilan Calilung, a political analyst from the University of Sto. Tomas, the government will also lose a large amount of taxes should ABS-CBN not be able to resume its operations.

“Malaki rin po ang mawawala na tax sa government,” said Calilung.

“I think that’s substantial to have also the government in their cost,” he added.

According to Calilung, ABS-CBN has paid the government P14.3 billion in taxes from 2016 to 2019.

ABS-CBN, in an earlier statement, meanwhile disclosed that it was able to pay P70.5 billion in taxes for the past 19 years.

Aside from taxes, ABS-CBN’s shutdown also gave a bad impression on foreign investors.

Calilung said the network’s shutdown facilitated by a government agency leaves an unfavorable image to potential foreign investors.

“It may dissuade investors from further coming to the country,” Calilung said.

On May 4, NTC issued a cease and desist order against the Kapamilya network. ABS-CBN had no choice but to comply with the order shutting down its broadcast after TV Patrol.

Meanwhile, aside from the business side of things, ABS-CBN’s shutdown also affected a number of rural areas that only ABS-CBN’s signal could reach.

In a recent social media post by ABS-CBN journalist Jeff Canoy, he relayed how some provinces were affected by the ABS-CBN shutdown especially during crucial times.


‘Wholesome Meals Better Life’ Season 8 to air this May on CNN Philippines

How to use your smartphone to create, and enjoy music with friends online