MANILA, Philippines - Effective
January this year, the Bureau of Internal Revenue, with the endorsement of
HUDCC, has effected a higher threshold for value added tax or VAT on real
estate products such as lots, house and lots, and other residential dwellings
such as condominium units.
Previously, properties priced at P2.5
million below enjoyed VAT-free transactions. Now, the VAT-free ceiling has been
increased to properties priced up to P3,199,200.
Developer DMCI Homes lauds the move,
saying: “We commend the government in its firm commitment to provide Filipinos
easier and greater access to better housing options.”
Alfred Austria, president of DMCI
Homes, the property development affiliate of triple-A and renowned contractor
D.M. Consunji Inc., said DMCI Homes is particularly elated with the new real
estate VAT ruling, with the belief that it will strengthen and grow stronger
purchasing opportunities for its core target market of middle-income Filipinos
and starting families.
“From the inception of DMCI Homes, our
focus has always been on providing hardworking middle class Filipinos with
homes that exceed their expectations and provide exceptional value for their
money,” adds Austria. “Now, our condo home buyers will benefit from greater
purchasing power and ownership that is much easier on their pockets.”
DMCI Homes sets itself apart in the
tough real estate market by consistently offering real estate projects that
buck popular trends, such as those toward maximizing profit by offering
increasingly smaller units and dwellings.
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