BIR issues a Tax Advisory on the Filing of Attachments to the Annual ITR

  1. TAX & BUSINESS-RELATED NEWS [APRIL 25-MAY 1]
  2. BIR ISSUES A TAX ADVISORY ON THE FILING OF ATTACHMENTS TO THE AITR FILED USING eBIRFORMS PACKAGE
  3. SEC EXTENDS THE DEADLINE OF THE AVAILMENT OF AMNESTY UNTIL JUNE 30, 2023
  4. SEC ISSUES RULES & REGULATIONS OF THE FINANCIAL PRODUCTS & SERVICES CONSUMER PROTECTION ACT OF 2022
  5. SUPREME COURT CASE ON THE REHABILITATION PLAN

1. TAX & BUSINESS-RELATED NEWS [APRIL 25-MAY 1]

  1. New EO to speed up resolution of labor cases
  2. Asurion eyes 700 Central Luzon new hires
  3. Neda releases 2023 revised joint venture guidelines
  4. Belmonte reminds QC restaurants: Give 20% discount to registered solo parents
  5. SMC eyes bridge linking Mindoro and Batangas
  6. Marcos orders review of idle tourism zones
  7. SC affirms canceled taxes of Manila Doctors Hospital
  8. CTA junks Pasig assessment of P1-B in taxes vs. Meralco
  9. DOLE order mandates mayor’s permit submission for Private Employment Agencies’ license renewal
  10. BOI grooms Rizal Province as next ‘sought after’ investment hub in Southern Tagalog region
  11. BOI grooms Rizal Province as next ‘sought after’ investment hub in Southern Tagalog region
  12. Negative List on VAT zero rating finalized
  13. Metro Pacific to delist from Philippine Stock Exchange
  14. Martin Romualdez firm acquiring 20% in Yuchengcos’ EEI Corp.
  15. Makati Shangri-La starts hiring for third-quarter reopening
  16. TAPE deducting taxes from Vic Sotto but not paying his salary – Tito Sotto
  17. PEZA lauds proclamation of 2 new economic zones outside NCR
  18. Condo developer to venture into ‘lot only’ biz
  19. SM to spend P15B for 14 new hotels till 2028
  20. NETFLIX LOSES MILLIONS OF SUBSCRIBERS AS ACCOUNT SHARING ENDS
  21. SM sets aside ₱3B per year to double geothermal capacity to 600MW
  22. Ayala makes biggest bet on health care to date
  23. Employer preference for grads of ‘Big 4’ schools outdated — career educator
  24. OFWs in Brunei seen to benefit from double tax avoidance pact: BIR

In a Tax Advisory, issued on April 28, 2023, in relation to the upcoming deadline for the submission of attachments to the electronically filed Annual Income Tax Returns (AITRs) through eBIRForms Package for Taxable Year 2022, which is on May 2, 2023, the public is advised on the following work around procedures:

  1. The Revenue District Office (RDO) shall accept the attachments with “Tax Return Receipt Confirmation” from eBIRForms.
  2. The RDO shall verify from the “Filing Inquiry” in Online eBIRForms to validate that the corresponding AITR was duly filed before accepting the attachments from taxpayers that failed to receive the “Tax Return Receipt Confirmation.” Taxpayers are advised to ensure that the email address used in the submission of AITR is correct and to check inbox including spam and junk folders for email confirmation on the electronically filed AITR
  3. Attachments shall be filed where the taxpayer is registered.

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2. SEC EXTENDS THE DEADLINE OF THE AVAILMENT OF AMNESTY UNTIL JUNE 30, 2023

SEC Memorandum Circular (MC) No. 6, Series of 2023, dated April 28, 2023, extends the deadline of all amnesty applications under the earlier MC No. 2, Series of 2023, until June 30, 2023.

It may be recalled that the original deadline was set until April 30, 2023. However, in consideration of the overlapping deadlines of reportorial requirements by the BIR and SEC, compliance with the Electronic Filing and Submission Tool (eFAST) enrollment, and the paramount objectives of the amnesty, that is to prudently identify active and inactive corporations to enhance better monitoring and enforcement, the SEC deems it necessary to extend the availment application.

Eligible corporations shall comply with the complete and correct set of requirements indicated in Section 3 of MC No. 2 within ninety (90) days from the date of payment. The extension shall automatically be applied without the need for a request from covered corporations. Non-compliance with the set of requirements shall be construed as a waiver to proceed with the amnesty process, and any payment made shall be forfeited in favor of the SEC.

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3. SEC ISSUES RULES & REGULATIONS OF THE FINANCIAL PRODUCTS & SERVICES CONSUMER PROTECTION ACT OF 2022

SEC Memorandum Circular No. 5, Series of 2023, dated April 25, 2023, provides the rules and regulations of the Republic Act No. 11765, otherwise known as The Financial Products and Services Consumer Protection Act of 2022 (FPSCPA).

It may be recalled that the law was passed in May 2022 with the objective of helping establish appropriate mechanisms to protect the interest of consumers of financial products and services under the conditions of transparency, fair and sound market conduct, and fair, reasonable, and effective handling of financial consumer disputes.

Highlights include the powers of the SEC to exercise authority over issuers of securities in all forms, as defined in the Securities Regulation Code, including issuing an order requiring accounting and disgorgement of profits obtained, or losses avoided for violating the law, regulating persons acting as or identifying themselves as financial or investment advisers in the country. Likewise, the IRR will now require such financial service providers to integrate a Consumer Protection Risk Management System (CPRMS) into its risk management processes and risk governance framework. Also, financial service providers will be required to have a cooling-off period of no less than three days for consumers to consider the costs and risks of availing themselves of their product or service.

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4. SUPREME COURT CASE ON THE REHABILITATION PLAN

THE TERMS & CONDITIONS OF AN APPROVED REHABILITATION PLAN ARE BINDING ON CREDITORS

Petitioner China Banking Corporation filed a Petition for Review on Certiorari assailing the earlier Decision of the Court of Appeals which prohibited the Petitioner from charging interest and penalties on outstanding loans beginning May 4, 2000. Petitioner argued that the rehabilitation plan does not compel a secured creditor to waive interest, penalties, and other charges on the loans of the Respondents St. Francis Square Realty Corporation and St. Francis Square Development Corporation. Since it had not consented to the waiver of interests, penalties, and other charges, the Court of Appeals should not have allowed the release of the mortgaged properties on ground of over-collateralization. However, based on the Rehabilitation Plan, secured creditors have two (2) options by which the loans owing them can be settled: (1) through dacion en pago wherein all penalties shall be waived; or (2) if the secured creditors do not consent to dacion en pago, through the disposition or sale of the mortgaged properties at selling prices but without interest, penalties, and other related charges accruing after the date of the initial suspension order, which here was May 4, 2000. Following the Petitioner’s refusal to avail of dacion en pago, the only remaining option to pay off the loans was through the disposition or sale of the mortgaged properties, without accrual of interest, penalties, and other related charges following the issuance of the stay order on May 4, 2000. Since the Court had already long confirmed the validity of the subject Rehabilitation Plan, its terms must be strictly complied with. In ruling, there is nothing unlawful with the directive of the Court of Appeals to release properties from mortgage. It cannot be considered as an infringement of the Petitioner’s alleged right to due process. For the modification of the mortgage contracts in fact is part and parcel of the Rehabilitation Plan itself. Consequently, the Petition was DENIED. [CHINA BANKING CORPORATION VS. ST. FRANCIS SQUARE REALTY CORPORATION, ST. FRANCIS SQUARE DEVELOPMENT CORPORATION & SECURITIES & EXCHANGE COMMISSION, G.R. NO. 232600-04, JULY 27, 2022, UPLOADED FEBRUARY 1, 2023]

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New EO to speed up resolution of labor cases [The Manila Times, May 1, 2023]

PRESIDENT Ferdinand Marcos Jr. has approved Executive Order (EO) 23 which creates an interagency committee to strengthen the coordination and facilitate the resolution of labor cases in the country.

https://www.manilatimes.net/2023/05/01/news/national/new-eo-to-speed-up-resolution-of-labor-cases/1889392

 

Asurion eyes 700 Central Luzon new hires [The Tribune, May 1, 2023]

Global tech care company, Asurion has announced that it will hire an additional 700 employees in Central Luzon, particularly in Clark, Pampanga, its fifth site in the Philippines.

https://tribune.net.ph/2023/04/30/asurion-eyes-700-central-luzon-new-hires/

 

Neda releases 2023 revised joint venture guidelines [The Manila Times, May 1, 2023]

“The amendments have been designed to enhance competition for projects under joint ventures, enhance the performance of private sector participants, and strengthen checks and balances to ensure the technical and financial viability of government projects. These changes aim to address recurring issues that have been observed in past JV projects,” NEDA Secretary Arsenio Balisacan said.

https://www.manilatimes.net/2023/05/01/public-square/national/neda-releases-2023-revised-joint-venture-guidelines/1889441

 

Belmonte reminds QC restaurants: Give 20% discount to registered solo parents [The Manila Times, May 1, 2023]

RESTAURANTS in Quezon City have been reminded to strictly implement an Ordinance providing a 20-percent discount to registered solo parents on the first and last Sunday of every month.

https://www.manilatimes.net/2023/05/01/public-square/belmonte-reminds-qc-restaurants-give-20-discount-to-registered-solo-parents/1889446

 

BIR clarifies list of purchases, services subject to VAT [The Philippine Star, April 30, 2023]

Under BIR Revenue Regulations 3-2023 signed by Finance Secretary Benjamin Diokno and BIR Commissioner Romeo Lumagui Jr., local purchases relating to janitorial services, security services, financial services, consultancy services as well as marketing and promotion are not covered by the zero-VAT rating.

https://www.philstar.com/business/2023/04/30/2262584/bir-clarifies-list-purchases-services-subject-vat

 

SMC eyes bridge linking Mindoro and Batangas [The Philippine Star, April 29, 2023]

The project will cover the 8.5-kilometer stretch from Oriental Mindoro to Verde Island as well as the 6.5-kilometer segment to Batangas. The bridge is expected to become the first floating bridge in Southeast Asia with ship passage below its pontoons.

https://www.philstar.com/business/2023/04/29/2262370/smc-eyes-bridge-linking-mindoro-and-batangas

 

Marcos orders review of idle tourism zones [The Manila Time,s April 29, 2023]

IN an effort to boost the country’s tourism sector, President Ferdinand Marcos Jr. has ordered the Department of Tourism (DoT) to assess nonoperating tourism zones under the Tourism Infrastructure and Enterprise Zone Authority (Tieza).

https://www.manilatimes.net/2023/04/29/news/national/marcos-orders-review-of-idle-tourism-zones/1889052

 

SC affirms canceled taxes of Manila Doctors Hospital [BusinessWorld, April 28, 2023]

The High Court agreed with the CTA’s conclusion that the FDDA, which the CIR claimed to have issued to Manila Doctors Hospital, did not sufficiently explain why it denied its appeal to review the disputed assessment.

https://www.bworldonline.com/corporate/2023/04/28/519736/sc-affirms-canceled-taxes-of-manila-doctors-hospital/

 

CTA junks Pasig assessment of P1-B in taxes vs. Meralco [Philippine News Agency, April 28, 2023]

The tax court said the imposition of local business tax by the local government unit on the power firm in addition to local franchise tax “constitutes obnoxious double taxation.”

https://www.pna.gov.ph/articles/1200366

 

DOLE order mandates mayor’s permit submission for Private Employment Agencies’ license renewal [BusinessMirror, April 28, 2023]

Private Employment Agencies (PEA) will soon be mandated to submit their mayor’s permit for the renewal of their licenses, according to the Department of Labor Employment (DOLE).

https://businessmirror.com.ph/2023/04/28/dole-order-mandates-mayors-permit-submission-for-pea-license-renewal/

 

BOI grooms Rizal Province as next ‘sought after’ investment hub in Southern Tagalog region [BusinessMirror, April 28, 2023]

With Cavite, Laguna and Batangas approaching full capacity, the attached agency of the Department of Trade and Industry (DTI) said it is proactively preparing Rizal Province to accommodate investments and cater to the relocation needs of foreign investors.

https://businessmirror.com.ph/2023/04/28/boi-grooms-rizal-province-as-next-sought-after-investment-hub-in-southern-tagalog-region/

 

Negative List on VAT zero rating finalized [Manila Bulletin, April 27, 2023]

The Department of Finance-Technical Working Group (DOF-TWG) has recommended to exempt from VAT payments local purchases of goods and services by registered business enterprises (RBEs) for their direct and exclusive use, except for six services identified under a planned negative list.

https://mb.com.ph/2023/4/27/negative-list-on-vat-zero-rating-finalized

 

Metro Pacific to delist from Philippine Stock Exchange [The Philippine Star, April 27, 2023]

The conglomerate owned by Indonesian billionaire Anthoni Salim and chaired by Manuel V. Pangilinan did not give a reason for the move. The company’s stock price has been on a downtrend since mid-2016.

https://www.philstar.com/business/2023/04/27/2262048/metro-pacific-delist-philippine-stock-exchange

 

Martin Romualdez firm acquiring 20% in Yuchengcos’ EEI Corp. [Inquirer Mobile, April 27, 2023]

House of Investments, chaired by businesswoman and heiress Helen Dee, said in a stock exchange filing on Wednesday it would sell the shares to Romualdez’s private holding company, RYM Business Management Corp., for P1.25 billion.

https://inqm.news/thnt

 

Makati Shangri-La starts hiring for third-quarter reopening [BusinessWorld, April 27, 2023]

In February 2021, the hotel announced its temporary closure due to financial pressures caused by the pandemic. With no news of a reopening since, many worried that Shangri-La’s accommodation in Makati City would be closed permanently.

https://www.bworldonline.com/corporate/2023/04/27/519444/makati-shangri-la-starts-hiring-for-third-quarter-reopening/

 

TAPE deducting taxes from Vic Sotto but not paying his salary – Tito Sotto [The Philippine Star, April 26, 2023]

The noontime show has been embroiled in controversy since January when reports said there would be a major reshuffling in country’s longest-running TV program, including the alleged ousting of its pillars and founding hosts, Tito, Vic and Joey.

https://www.philstar.com/entertainment/2023/04/26/2261824/tape-deducting-taxes-vic-sotto-not-paying-his-salary-tito-sotto

 

PEZA lauds proclamation of 2 new economic zones outside NCR [GMA News Online, April 26, 2023]

The Philippine Economic Zone Authority (PEZA) on Wednesday lauded the proclamation of two new economic zones in Batangas and Bacolod City by President Ferdinand Marcos Jr. as it is expected to boost economic activity outside Metro Manila.

https://www.gmanetwork.com/news/money/economy/868146/peza-lauds-proclamation-of-2-new-economic-zones-outside-ncr/story/

 

Condo developer to venture into ‘lot only’ biz [Philippine News Agency, April 26, 2023]

With the growing demand from overseas Filipino workers (OFWs) to buy parcel of land to build their own houses, condominium builder SM Development Corporation (SMDC) will be launching a “lot only” product line.

https://www.pna.gov.ph/articles/1200178

 

SM to spend P15B for 14 new hotels till 2028 [Business Mirror, April 26, 2023]

THE SM Group is spending close to P15 billion in the next five years to build 14 new hotels in the country, under its partnership with the international hospitality firm Radisson Hotel Group (RHG).

https://businessmirror.com.ph/2023/04/26/sm-to-spend-p15b-for-14-new-hotels-till-2028/

 

NETFLIX LOSES MILLIONS OF SUBSCRIBERS AS ACCOUNT SHARING ENDS [Gizchina, April 26, 2023]

Netflix’s new pricing strategy has come at a great cost to the company. As it has lost a significant number of subscribers over the past three months. The company implemented various solutions in an attempt to address this issue. Including offering a cheaper subscription with advertisements and targeting users who share their login details with others. Netflix is hoping that some of these users will start paying for their own subscription.

https://www.gizchina.com/2023/04/26/netflix-loses-millions-of-subscribers-as-account-sharing-ends/

 

SM sets aside ₱3B per year to double geothermal capacity to 600MW [CNN Philippines, April 26, 2023]

Listed conglomerate SM Investments is spending ₱3 billion annually in the next five years to double the output of the Tiwi and Mak-ban steam fields to 600 megawatts, company officials said on Wednesday.

http://www.cnnphilippines.com/business/2023/4/26/sm-to-double-geothermal-capacity.html

 

Ayala makes biggest bet on health care to date [Inquirer Mobile, April 26, 2023]

Paolo Borromeo, CEO of Ayala Healthcare Holdings Inc. (AC Health), said on Friday the company is in the midst of ramping up all business segments, including pharmacy chain Generika, clinics and hospitals, and digital services.

https://inqm.news/thcm

 

Employer preference for grads of ‘Big 4’ schools outdated — career educator [The Philippine Star, April 25, 2023]

But school prestige – whether actual or perceived – has long been a topic of debate on whether it still holds some measure of influence over employers’ hiring decisions.

https://www.philstar.com/headlines/2023/04/25/2261531/employer-preference-grads-big-4-schools-outdated-career-educator

 

OFWs in Brunei seen to benefit from double tax avoidance pact: BIR [ABS-CBN News, April 25, 2023]

Consorcio Olivan from the Bureau of Internal Revenue’s (BIR) Rulings and Mutual Agreement Procedures (MAP) Section said Tuesday professors, teachers, and researchers working in Brunei are exempted from paying their income taxes for a period of four years.

https://news.abs-cbn.com/business/04/25/23/brunei-ofws-to-benefit-from-double-tax-avoidance-pact-bir