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Manila Bulletin devider Philippines devider National devider DHSUD eyes exemption of economic housing from corporate income tax

DHSUD eyes exemption of economic housing from corporate income tax

Published Dec 28, 2025 01:42 pm
Department of Human Settlements and Urban Development (DHSUD) Secretary Jose Ramon Aliling (Photo: DHSUD)
Department of Human Settlements and Urban Development (DHSUD) Secretary Jose Ramon Aliling (Photo: DHSUD)
The Department of Human Settlements and Urban Development (DHSUD) is now conducting a thorough review and study to craft a law that would exempt economic housing as exempted from corporate income tax (CIT).
DHSUD Secretary Jose Ramon Aliling said they are in constant coordination with the Department of Trade and Industry-Bureau of Investments (DTI-BOI) as part of the efforts to maximize the support system for the mass housing projects compliant with Batas Pambansa Bilang 220.
“The proposed study seeks to place economic housing projects under a clearer, rules-based, and more predictable tax incentive framework comparable to socialized housing,” said Aliling.
“This initiative also supports the government’s overarching goal of expanding access to affordable housing while easing regulatory processes that affect priority sectors, particularly the working class,” he added.
Earlier, the Department of Finance, through the Bureau of Internal Revenue, issued Revenue Memorandum Order No. 048-2025, which introduced a more uniform process for tax exemption for socialized and economic housing projects and streamlined and simplified processes in the housing and real estate industry.
The DHSUD wants to take advantage of the order in support of mass housing, the recent move was to coordinate with the Department of Economy, Planning, and Development to issue Joint Memorandum Circular 2025-001 that adjusted the price ceiling for socialized housing projects.
Aliling recommended the formation of a Technical Working Group (TWG) that will be tasked with conducting technical evaluations and crafting policy recommendations for further consideration by the concerned agencies.
“We are confident that this initiative will contribute to faster housing development, improved coordination across government agencies, and a more transparent and predictable incentive framework for housing projects,” said Aliling.
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