GT Capital shares up on tax reform optimism
Shares of taipan George S.K. Ty’s listed investment arm GT Capital Holdings rose nearly five percent Thursday as investors cheered the ratification of the first phase of the tax reform measure.
GT Capital, which controls the country’s leading automotive maker Toyota, closed P60 higher at P1,270 each share.
The Senate and House of Representatives approved the tax reform bill which is expected to raise taxes on cars beginning January next year.
Analysts said the increase in car tariffs were lower than market expectations.
Congress approved a four-tier automotive excise tax scheme. Vehicles priced up to P600,000 will slapped with a four percent excise tax per unit, 10% for over P600,000 to P1 million, 20% for over P1 million up to P4 million, and 50% for over P4 million.
All pick-up trucks and electric vehicles would be exempted from additional taxes.