REIT Tax Rules To Be Tackled

I read in BusinessWorld Online that the government representatives and the private sector are set to give the long-delayed REIT law another go next week.  The implementation of the REIT or Real Estate Investment Trust (Republic Act 9856) in the Philippines has stalled despite the law being passed in 2009.  The private sector, led by BDO Capital and Investment Corp. President Eduardo V. Francisco, wants more tax exemptions, particularly the VAT of 12%, to be eased, to attract more investors.  Several property big names have already expressed interest in REIT ventures, among them SM Prime Holdings, Inc., Ayala Land, Inc. and Robinsons Land Corp.  However, the Department of Finance does not agree, saying that VAT exemption will lead to billions lost in potential revenue.

REIT has the potential to further make investors excited with investing in real estate.  Let's hope the powers-that-be can finally come to an amicable solution.  

1,000 shares please,
Jon