A House committee on Wednesday approved a measure that seeks to reduce some taxes imposed on lotto tickets and prizes.

The House Ways and Means Committee approved the Passive Income and Financial Intermediary Taxation Act (PIFITA) which reduces taxes imposed on lotto prizes worth over P10,000 from 45 percent to 10 percent while prizes amounting to P10,000 below are not taxed.

The proposed measure also aims to reduce the 20 percent documentary stamp tax rate imposed on lotto tickets to 10 percent, which is higher than the Philippine Charity Sweepstakes Office (PCSO)’s suggested rate of five percent.

Albay Rep. Joey Salceda, who chairs the committee, led the hearing that approved the motion to consolidate House Bill Nos. 375, 2111, and 3744. Jaspearl Tan/DMS