Photo Release

February 1, 2023

Aren’t we inflating profits with tax exemptions?: Sen. Win Gatchalian raises this question as senators scrutinize the Maharlika Investment Fund (MIF) bill during the Committee on Banks, Financial Institutions and Currencies hearing Wednesday, February 1, 2023. Gatchalian, chairperson of the Committee on Ways and Means, noted that those investors who would put their money in the sovereign wealth fund seem to enjoy too many tax exemptions compared to those who avail other mutual funds. “With this fund (MIF), number 1, they don’t pay any taxes and then, number 2, aren’t we skewing the returns also? Because a normal fund would pay all these taxes -- income tax, document stamps, and so on. So, we have now the MIF which is highly attractive because it is not paying taxes, it is attracting private funds, and you have another set of funds which perform the same functions but pay a lot of taxes,” Gatchalian pointed out. (Voltaire F. Domingo/Senate PRIB)