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Economy President Marcos Signs Capital Markets Efficiency Promotion Act into Law
File photo for reference only President Ferdinand "Bongbong" Marcos Jr. signed the Capital Markets Efficiency Promotion Act on May 29, a significant move aimed at simplifying taxes and reducing costs associated with buying and selling stocks in the Philippines. Advocated by Rep. Joey Salceda and now Republic Act 12214, the law marks a "landmark reform" to make the capital market more inclusive and cost-effective. The act amends the National Internal Revenue Code by reducing the stock transaction tax from 0.6% to 0.1%. It also abolishes the documentary stamp tax on mutual funds and Unit Investment Trust Funds (UITFs), effectively rendering transactions involving these investment products tax-free. Additionally, the law eliminates taxes on the sale or redemption of shares in these funds. Other reforms introduced by the act include a flat 20% withholding tax on interest income and a 15% tax on income from trading shares of foreign companies. Salceda highlighted that these changes aim to lower costs, simplify compliance, and make it easier for Filipinos to invest. Despite the groundbreaking nature of the legislation, some provisions were vetoed by President Marcos. These include retaining the tax exemption for nonresidents' income from Foreign Currency Deposit Units (FCDUs) to sustain investor confidence and rejecting a special tax on lottery players, citing fairness and neutrality. Additionally, the repeal of tax breaks for PHILGUARANTEE beneficiaries under the Home Guaranty Corporation Act of 2000 was also vetoed to ensure affordable housing remains accessible through government-backed loans. Complementing tax reforms, the new law seeks to enhance the Personal Equity and Retirement Account (PERA), a voluntary retirement savings program. It allows employers to claim an additional 50% tax deduction for PERA contributions, provided they match or exceed employees' contributions. This initiative hopes to incentivize employers to contribute more towards employees' retirement savings. The Bangko Sentral ng Pilipinas (BSP) reported only about 6,000 active PERA accounts as of December 2024, with assets totalling P491.4 million. The new legislation is expected to significantly increase the program's reach, projecting PERA assets to reach P140.6 billion with 1.8 million contributors by 2034. While implementing these measures involves foregoing P6.7 billion in tax revenue over the next decade, the government anticipates recouping around P4.8 billion through capital gains, income taxes, and value-added tax (VAT) in the future. Overall, the Capital Markets Efficiency Promotion Act aims to create a more vibrant investment landscape and foster long-term savings among Filipinos, promising substantial economic benefits in the years ahead. Adapted by ASEAN Now from PhilStar 2025-05-30 -
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What is the ‘TACO trade’ on Wall Street?
maybe this is part of his standard comments practice, it started back in his 1st term and he keeps using using now, back in May 9 he said it, May 19 again and last week another one, he has another one also to divert attention when faced with the truth ""FAKE NEWS""..... how can anybody or any country take the joker seriously Trump's timeline? Always "two weeks" https://www.axios.com/2017/12/15/trumps-timeline-always-two-weeks-1513302785 ‘Fake news’: A guide to Trump’s favourite phrase – and the dangers it obscures https://www.independent.co.uk/news/world/americas/us-election/trump-fake-news-counter-history-b732873.html Fact check: It wasn’t ‘in jest.’ Here are 53 times Trump said he’d end Ukraine war within 24 hours or before taking office https://edition.cnn.com/2025/04/25/politics/fact-check-trump-ukraine-war -
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Crime Fathers Shoot Drug-Crazed Sons in Two Separate Incidents
It didn't work previously and it won't work again employing the same tactics - all it did was to change some of the major players to be replaced with new players - as well as having hundreds of innocent people killed. -
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What is the ‘TACO trade’ on Wall Street?
I dono a lot of them are misinformed partisan and strongly believe that they are correct they are realizing just how flawed trump is.most are thinking they are doing the right thing and are decent people just deeply misinformed.they are starting to come around. -
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