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Government employer does not remit taxes collected to contractual employees. posts no employer-employee relationship

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Arresto Menor
Hi! Good day! I would like to seek for some advise regarding a National Government Agency (NGA) here in the Philippines that collects 13% tax to their contractual employees. This NGA hires employees under contract of service (COS) under no employer-employee relationship where the employees are not entitled of any benefits from the employer including the performance enhancement incentive provided by the Government of the Philippines (GoP). The reason provided by the NGA is the rationalization is still ongoing. These COS employees, for years, render services on both administrative and technical and are indeed accomplishing significantly compared to permanent employees. Yet, their monthly compensation are below or a little above the minimum wage taxable by 13%. With the low salary being imposed, I transfered to a GFI. One thing I discovered recently while I was trying to update my tax information in our Revenue District Office(RDO) to be able to transfer my credentials to the RDO nearest to our office, I was informed that the tax that I was paying on the NGA is not being credited to my TIN, and that I am to pay the tax AGAIN with additional penalties. As I tried to contact the accounting office of my previous employer with the help of my former officemate, I was informed that indeed, the taxes collected are not being remitted to the RDO and that it is my fault for informing the RDO that I have been employed for the past year on an NGA. In other words, I was not supposed to claim that I wasn't employed to the NGA to avoid being taxed. I was also informed that the contractual employees, when given items after the rationalization, will be considered as unemployed for the past years the avoid being taxed. What legal action should take place? please inform me what to do. Thank you.

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