Congress News: TAX EXEMPTIONS FOR GOLD SOLD TO BSP PROPOSED Lawmakers are seeking to remove the excise and income taxes on gold sold to the Bangko Sentral ng Pilipinas (BSP) to curb smuggling of gold out of the country and enhance the BSP’s gold resources. The removal of such taxes would encourage small-scale miners and traders to sell their gold to the BSP rather than on the black market according to Reps. Nicasio M. Aliping, Jr. (Lone District, Baguio City) and Ronald M. Cosalan (Lone District, Benguet). Cosalan, chairman of the Committee on Public Works and Highways, said by removing excise and income taxes on gold sold to the BSP, small-scale miners and traders would be encouraged to sell their gold to the BSP rather than on the black market. “The smuggling of gold out of the country would thus be curbed and the accumulation by the BSP of gold resources would be greatly enhanced. The BSP would thus be able to maintain adequate international reserves to meet foreseeable net demands for foreign currencies,” said Cosalan. Cosalan further said any depletion in the BSP’s gold inventory would affect monetary stability and the convertibility of the Philippine peso. “The banking and credit system will consequently suffer to the detriment of the economy,” he said. (PRIB/rbb)
Posted on: Tue, 23 Sep 2014 13:47:27 +0000
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