Congress urged to cut 20% stamp tax

The Philippine Charity Sweepstakes Office (PCSO) has urged Congress to pass a measure that will cut the 20% documentary stamp tax to 10% to ensure efficient use of charity funds.

About 62% of its charity fund this year has so far been used to pay for documentary stamp taxes, PCSO Legislative Liaison Officer Gay Nadine P. Alvor told lawmakers at a House of Representatives hearing on Friday.

The House ways and means committee said it would endorse a tax cut on lotto tickets in a bicameral committee once the Senate approves the Passive Income and Financial Intermediary Taxation Act.

The bill, which the House approved on third and final reading on Sept. 9, 2019 is still pending at a Senate committee.

The bill only recommends the removal of documentary stamp tax imposed on nonmonetary transactions. —

Russell Louis C. Ku