Tax exemptions for religious groups may soon end – Alvarez

House Speaker Pantaleon Alvarez has floated the possibility of lifting the Constitution’s tax exemption for religious institutions and church-run schools.

When Congress amends the Charter to pave the way for the shift to a federal system of government, Alvarez said lawmakers could look into amending Article VI, Section 28(3) of the 1987 Constitution, as well.

The provision — which states that “charitable institutions, churches … and all lands, buildings, and improvements, actually, directly, and exclusively used for religious, charitable, or educational purposes” are exempt from taxation — has been cited as a stumbling block to Alvarez’s proposal to tax such schools.

In an interview with radio station dzMM on Sunday, the Speaker said amending the constitutional provision would get rid of any issue that may be raised before the courts. —Vince F. Nonato