STATE-OWNED National Home Mortgage Finance Corp. (NHMFC) has remitted P264 million to the national government, marking its highest ever dividends comprising those for calendar year 2019 net earnings and back dividends for past years.
In a statement, the secondary mortgage firm said the amount is 49% higher compared with P177 million for in 2018.
It said from 2012 to the present, NHMFC has remitted a total of P937 million dividend contributions. It expects the remaining dividends for the past years to be paid out next year.
Under Republic Act No. 7656 known as the “GOCC’s Dividend Law,” government-owned and controlled corporations are required to declare and remit at least 50% of their annual net earnings as cash, stock, or property dividends to the national government on or before May 15th of each year.
However, with the challenges from the coronavirus disease 2019 (COVID-19) outbreak, GOCC’s are requested by the Department of Finance (DoF) to remit their dividends a month earlier in support to the Bayanihan to Heal as One Act.
“Given the current health emergency, our early dividends remittance will help our government in its effort to lighten the economic situations faced by our people most affected by the COVID-19 crisis,” said Department of Human Settlements and Urban Development (DHSUD) Secretary Eduardo D. Del Rosario, who also chairs the NHMFC board of directors.
NHMFC is one of the government’s key shelter agencies under DHSUD.
“We assure you that we at the housing sector are also committed to working with our government in sourcing more funds to battle this pandemic,” he added.
This year, NHMFC’s dividends are paid through the transfer of government securities carried at fair value, in which any under- or over-remittance of dividends due to market fluctuations is to be reflected as an adjustment to dividends in arrears. This scheme has been approved by DoF.
NHMFC said it had continuously proven its strong financial performance as it is also set to pay its highest corporate income tax for calendar year 2019 amounting to P83.43 million on June 12, 2020. It said the amount exceeds the previous year’s remittance by 119% or P45.38 million.
The corporation also said it had paid its percentage tax levied from its gross sales/receipts amounting to P34.34 million, or 160% or P21.13 million higher that the 2018 remittance.
Mr. Del Rosario said that NHMFC is among the GOCCs that steadily contributes to the national treasury through its yearly increasing annual payment of dividends and corporate taxes.
