SBWS requirements include TIN, employer tax compliance

Employees of small businesses must have a Tax Identification Number (TIN) and their employers must demonstrate a higher degree of tax compliance over the last three years to be eligible for the Small Business Wage Subsidy (SBWS) program.

The SBWS program prioritizes employees whose employers are tax-compliant, though workers from less compliant companies may receive aid later depending on fund availability.

The Department of Finance initiated the SBWS program as a recognition of employers' efforts in remitting withholding taxes.

An estimated 3.5 million workers nationwide will receive between P10,000 to P16,000 each from the P51 billion SBWS package as financial assistance for not being paid in March and April due to business closures caused by COVID-19.

The first tranche of P5,000 to P8,000 will be released on May 15, with the balance to be disbursed two weeks later.

Individuals who have already received financial aid from other government agencies, such as the Department of Social Welfare and Development, are ineligible for the SBWS.

Workers can apply for the wage subsidy through the BIR website, submitting the necessary certification to the SSS for processing and fund release to their bank accounts or via email notification.