LIST: Richest Philippine cities, municipalities, provinces in 2022

Other Relevant Tax Updates:

  1. TAX & BUSINESS-RELATED NEWS [OCTOBER 5-12]
  2. BIR CLARIFIES THE APPLICABLE TAXES DUE ON SALE OF REAL PROPERTY CONSIDERED ORDINARY ASSET
  3. BIR ISSUES IRR ON THE ISSUANCE OF RECEIPTS OR SALES OR COMMERCIAL INVOICES BY AGRICULTURAL PRODUCERS
  4. COURT OF TAX APPEALS CASES
 

 

  1. TAX & BUSINESS-RELATED NEWS [OCTOBER 5-12]

 

  1. Central Azucarera OK’s land sale to Aboitiz unit
  2. Dennis Uy steps down as Dito Tel CEO
  3. Globalizing Hotel101 opens hub in Singapore
  4. Supreme Court finds BDO negligent for allowing unauthorized withdrawals of over P8 million
  5. Primelectric to invest P2 billion in CENECO
  6. Japan starts shift away from truck transport
  7. MMDA: EO 41 impact to be felt during holidays
  8. BCDA eyes new tech to lower power use in clark
  9. Business groups buck proposed hike in SEC fees
  10. Singaporean fund exits Shakey’s PH
  11. Gov’t lawyers urge SC to reverse Malabon court decision to save fishing trade
  12. LIST: Richest Philippine cities, municipalities, provinces in 2022
  13. 4 cities in Ilocos Region serve as models for ‘smart community’
  14. DOE, BIR should seek arbiter over P18-billion tax dispute- state auditors
  15. 2 DTI lawyers face disbarment suit
  16. NEA assessing NEPC, CENECO joint venture for Central Negros’ power industry
  17. Escudero pushes for automatic promotion of gov’t employees upon retirement
  18. BIR says small farmers exempted from issuing receipts
  19. GoTyme Bank eyeing Vietnam expansion
  20. Payment mulled for shareholders of delisting firms
  21. PCCI lists top PH sectors to invest in
  22. Gatchalian urges BIR to intensify drive vs fake receipts
  23. DOJ says PCSO not exempt from remitting dividends to treasury
  24. DoTr speeds up Greenways project
  25. Cibo scales up, prepares to go global
  26. Land Bank opens scholarship program
  27. Ala Eh, Greenergy joint venture in Batangas ditched
  28. Middle East investors keen on BARMM oil, natgas deals
  29. Pangasinan eyes 1.5 gigawatt solar power production by 2025
  30. Devil in the details: NGCP spent P8.7 billion for janitor and security services but that’s just P87,000 per month for each facility

 

  1. BIR CLARIFIES THE APPLICABLE TAXES DUE ON SALE OF REAL PROPERTY CONSIDERED ORDINARY ASSET

Revenue Memorandum Circular (RMC) No. 99-2023, issued on October 03, 2023, clarifies the applicable taxes due on the sale of real property considered ordinary assets to have a uniform application of tax laws and regulations pertaining to transfers/sales of real properties classified as “ordinary assets” across all offices processing Electronic Certificate Authorizing Registration (eCAR). The circular provides detailed explanations covering areas of concern such as the proper classification of assets if ordinary or capital, invoicing compliance, documentary requirements, and other related tax consequences.

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  1. BIR ISSUES IRR ON THE ISSUANCE OF RECEIPTS OR SALES OR COMMERCIAL INVOICES BY AGRICULTURAL PRODUCERS

Revenue Regulations (RR) No. 12-2023, issued on October 2, 2023, implements Section 237 of the 1997 Tax Code, as amended, relative to the issuance of receipts or sales or commercial invoices by Agricultural Producers. Highlights include the exemption of Agricultural Producers from the issuance of receipts/invoices on their sale of agricultural products for yearly sales not exceeding Php 1 Million, registration, bookkeeping, and other administrative requirements.

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  1. COURT OF TAX APPEALS CASES\

[60-DAY REGLEMENTARY PERIOD FOR FILING PETITION FOR PROHIBITION] [PROCEDURAL RULES ARE NOT TO BE DISDAINED AS MERE TECHNICALITIES THAT MAY BE IGNORED AT WILL TO SUIT THE CONVENIENCE OF A PARTY]

Petitioner National Food Authority (NFA) filed a Petition for Review seeking reversal of the earlier RTC’s Orders. The Petitioner argued that its Petition for Prohibition was filed on time. Specifically, the 60-day period to file the said Petition should not be counted from its receipt of the Notice on 05 March 2019 (through a member of its staff from the alleged receipt of the NFA’s Administrator on 11 April 2019). Moreover, it maintained that it is a government instrumentality and, thus, exempt from the payment of Real Property Tax (RPT). In ruling, the Court held that the Special Civil Action of Prohibition may be availed of by the Petitioner. However, the same was filed out of time. Here, it is undisputed that the Petitioner, through its Batanes Provincial Office, received the Notice on 05 March 2019. Petitioner should have then filed its Petition for Prohibition not later than 04 May 2019, i.e., within 60 days from 05 March 2019. However, the Petitioner filed the Petition for Prohibition only on 03 June 2019, way beyond the mandated 60-day reglementary period to do so. The Petitioner did not provide any justifiable reason for its failure to comply with the 60-day reglementary period. It merely contended that the receipt of the NFA-Legal Affairs Department should be its reckoning point. Consequently, the Court was unable to countenance such a nonchalant stance. Thus, the Petition for Prohibition having been clearly filed out of time, the Court sees no need to delve into the case’s merits. Consequently, the Petition was DENIED[NATIONAL FOOD AUTHORITY, REPRESENTED BY CARLITO G. CO, REGIONAL DIRECTOR OF NFA-NATIONAL CAPITAL REGION (NFA-NCR) VS. PROVINCIAL GOVERNMENT OF BATANES, PROVINCIAL ASSESSOR & PROVINCIAL TREASURER, BASCO BATANES, CTA AC NO. 244, AUGUST 2, 2023]

 

[THE RIGHT OF THE TAXPAYER TO ANSWER THE PAN CARRIES WITH IT THE CORRELATIVE DUTY ON THE PART OF THE CIR TO CONSIDER THE RESPONSE THERETO] [THE ISSUANCE OF FAN WITHOUT EVEN HEARING THE SIDE OF THE TAXPAYER IS ANATHEMA TO THE CARDINAL PRINCIPLES OF DUE PROCESS]

Dizon Farms Produce, Inc. (DFPI) and Commissioner of Internal Revenue (CIR) both filed their Petitions for Review assailing the CTA 3rd Division’s earlier Decision and Resolution. DFPI argued that the Court in Division erred in holding that DFPI is precluded from further questioning the validity of the Final Assessment Notice (FAN). DFPI asserted that it would not have agreed to pay the Documentary Stamp Tax (DST) assessment if it knew that the said assessment was void ab initio. The CIR maintained that the Court in Division gravely erred in partially granting DFPI’s Petition thereby ordering the cancellation of the FAN and Assessment Notices. It argued that an action against a taxpayer’s Protest to Preliminary Assessment Notice (PAN) is not required by the BIR Rules and Regulations. In ruling, the Court held that the Avon case is applicable to the case at bar. Hence, the subject FAN and Assessment Notices, except that pertaining to DST, are void for failure to adhere to the requirements of due process. In Avon, the Supreme Court categorically pronounced that the CIR’s inaction and omission to give due consideration to the arguments and evidence submitted by a taxpayer are deplorable transgressions of the latter’s right to due process. Thus, issuance of a FAN, without consideration and evaluation of the defenses contained in a taxpayer’s Protest to a PAN, constitutes a violation of the taxpayer’s right to due process which renders the assessment void. The records of the case are clear that in issuing the FAN and Assessment Notices, the BIR neither addressed nor delved into the arguments raised by DFPI in its Protest Letter. As a consequence of such violation, the said deficiency tax assessments are rendered void and cannot be enforced against DFPI, except for the assessed basic DST. DFPI is estopped from questioning the validity of the DST assessment since it already indicated its concurrence to the assessed basic DST. [DIZON FARMS PRODUCE, INC. VS. COMMISSIONER OF INTERNAL REVENUE & COMMISSIONER OF INTERNAL REVENUE VS. DIZON FARMS PRODUCE, INC., CTA EN BANC CASE NO. 2516 & 2521, AUGUST 1, 2023]

Central Azucarera OK’s land sale to Aboitiz unit [The Manila Times, October 12, 2023]

In a disclosure, Central Azucarera said that wholly owned unit Luisita Land Corp. was selling the property, located in Tarlac City, but clarified that the transaction was still subject to closing conditions.

https://www.manilatimes.net/2023/10/12/business/corporate-news/central-azucarera-oks-land-sale-to-aboitiz-unit/1914351

Dennis Uy steps down as Dito Tel CEO [Rappler, October 11, 2023]

Uy will be replaced by Eric Alberto, president of Dito CME, the tech holding firm of the Udenna group and parent of Dito Tel.

https://www.rappler.com/business/dennis-uy-steps-down-dito-telecommunity-ceo-october-2023/

Globalizing Hotel101 opens hub in Singapore [Inquirer Mobile, October 11, 2023]

Located in the PLUS Building in Raffles Place, Hotel101 Global office will serve as the group’s main hub for its ambitious plan to build hotels in over 100 countries by 2040.

https://inqm.news/cwio

Supreme Court finds BDO negligent for allowing unauthorized withdrawals of over P8 million [The Philippine Star, October 10, 2023]

In a release posted on the SC’s official website, BDO was found liable for damages to depositor Liza Seastres after the latter discovered that the bank allowed unauthorized transactions amounting to P8,121,939.59 made by Anabelle Benaje, the Chief Operating Officer of Seastres’ business.

https://philstarlife.com/news-and-views/601148-supreme-court-finds-bdo-negligent-for-unauthorized-withdrawals

Primelectric to invest P2 billion in CENECO [The Philippine Star, October 10, 2023]

Primelectric, a sister company of Enrique Razon-led MORE Power, is readying its investments to beef up services and achieve full electrification in the franchise area of Central Negros Electric Cooperative Inc. (CENECO) under their planned joint venture.

https://www.philstar.com/business/2023/10/10/2302467/primelectric-invest-p2-billion-ceneco

Japan starts shift away from truck transport [NHK-World Japan, October 10, 2023]

The Japanese government is pushing for a shift to sea and rail freight as part of its strategy to address a truck driver shortage. One firm in central Japan has started loading its cargo on a specially designed type of ship as part of this transition.

https://www3.nhk.or.jp/nhkworld/en/news/20231010_21/

MMDA: EO 41 impact to be felt during holidays [The Philippine Star, October 10, 2023]

The impact of Executive Order 41 suspending the collection of local government units (LGUs)’ pass-through fees may be felt during the holiday season, according to the Metropolitan Manila Development Authority (MMDA).

https://www.philstar.com/headlines/2023/10/10/2302524/mmda-eo-41-impact-be-felt-during-holidays

BCDA eyes new tech to lower power use in clark [Inquirer Mobile, October 10, 2023]

The Bases Conversion and Development Authority (BCDA) has partnered with Qatar-based firm United District Energy International L.L.C. (UDEI) and Marubeni Corp. (Marubeni) of Japan to use low-carbon district cooling technologies at the New Clark City in the province of Tarlac.

https://inqm.news/cwii

Business groups buck proposed hike in SEC fees [The Philippine Star, October 10, 2023]

Business groups are raising concern over some provisions of the revised schedule of fees and charges being proposed by the Securities and Exchange Commission (SEC), calling them unreasonable.

https://www.philstar.com/business/2023/10/10/2302473/business-groups-buck-proposed-hike-sec-fees

Singaporean fund exits Shakey’s PH [Inquirer Mobile, October 10, 2023]

The Po family solidified its control over Shakey’s Pizza Asia Ventures, one of the country’s biggest restaurant operators, with the Gokongwei family emerging as the company’s second-biggest stockholder after their P2.7-billion buyout of Singapore’s sovereign wealth fund GIC Private Ltd. Po’s Century Pacific Group and Gokongwei-led JE Holdings Inc. acquired 283 million shares, or 16.8 percent of Shakey’s Pizza, at 9.50 each from GIC affiliate Arran Investment Pte. Ltd.

https://inqm.news/cwia

Gov’t lawyers urge SC to reverse Malabon court decision to save fishing trade [Inquirer.Net, October 10, 2023]

Government lawyers urged the Supreme Court to reverse the decision of the Malabon Regional Trial Court, nullifying the Fisheries Administrative Order (FAO) 266 as the country could lose billions worth of fishing exports.

https://newsinfo.inquirer.net/1843874/govt-lawyers-urge-sc-to-reverse-malabon-court-decision-to-save-fishing-trade

LIST: Richest Philippine cities, municipalities, provinces in 2022 [Rappler, October 10, 2023]

For the third straight year, Quezon City emerged as the wealthiest city in the country,  according to the 2022 Commission on Audit (COA) Annual Financial Report.

https://www.rappler.com/nation/list-richest-cities-municipalities-provinces-commission-audit-annual-financial-report-2022/

4 cities in Ilocos Region serve as models for ‘smart community’ [Philippine News Agency, October 10, 2023]

These cities are Batac in Ilocos Norte, Candon in Ilocos Sur, San Fernando in La Union, and Alaminos in Pangasinan, which were chosen because of their respective local government’s intention and commitment to develop technologically innovative communities.

https://www.pna.gov.ph/articles/1211516

DOE, BIR should seek arbiter over P18-billion tax dispute- state auditors [Rappler, October 9, 2023]

State auditors ruled that the Department of Energy (DOE) and Bureau of Internal Revenue (BIR) should seek adjudication over the P18.4-billion excise tax assessment on the removal and export of condensates generated by the Malampaya project operations from 2005 to 2018.

https://www.rappler.com/nation/coa-says-doe-bir-arbiter-billion-pesos-excise-tax-dispute/

2 DTI lawyers face disbarment suit [The Manila Times, October 9, 2023]

Dated Sept. 27, 2023, the complaint was filed at the Office of the Bar Confidant by Davao-based importer Davao TYT Lucky Steel Corp. against Trade Undersecretary Ruth Castelo and Fair Trade Enforcement Bureau (FTEB) Director Fhillp Sawali.

https://www.manilatimes.net/2023/10/09/news/national/2-dti-lawyers-face-disbarment-suit/1913888

NEA assessing NEPC, CENECO joint venture for Central Negros’ power industry [GMA News Online, October 9, 2023]

The National Electrification Administration (NEA) has convened to assess the joint venture agreement of the Primelectric or the Negros Electric and Power Corporation (NEPC) and the Central Negros Electric Cooperative, Inc. (CENECO) to ensure quality service to consumers.

https://www.gmanetwork.com/news/money/companies/884630/nea-assessing-nepc-ceneco-joint-venture-for-central-negros-power-industry/story/

Escudero pushes for automatic promotion of gov’t employees upon retirement [Manila Bulletin, October 9, 2023]

In filing Senate Bill No. 297, Escudero proposes to grant a promotion of one salary grade level higher than the employee’s position at the time of retirement.

https://mb.com.ph/2023/10/9/escudero-pushes-for-automatic-promotion-of-gov-t-employees-upon-retirement

BIR says small farmers exempted from issuing receipts [GMA News Online, October 9, 2023]

In a statement, BIR Commissioner Romeo Lumagui Jr. said covered by the exemption are farmers whose annual gross sales do not exceed P1 million, pursuant to Revenue Regulation No. 12-2023.

https://www.gmanetwork.com/news/money/personalfinance/884623/bir-says-small-farmers-exempted-from-issuing-receipts/story/

GoTyme Bank eyeing Vietnam expansion [Inquirer Mobile, October 9, 2023]

“Vietnam actually has very similar demographics here, over a hundred million underserved. We feel like there’s a gap in the market when it comes to customer experience and service,” GoTyme CEO Nathaniel Clarke told reporters last week.

https://inqm.news/cycb

Payment mulled for shareholders of delisting firms [BusinessWorld, October 9, 2023]

THE Philippine Stock Exchange, Inc. (PSE) is considering an amendment to market rules that will require companies that breached their public float to pay shareholders who have already tendered their shares before a tender offer extension.

https://www.bworldonline.com/corporate/2023/10/09/550414/payment-mulled-for-shareholders-of-delisting-firms/

PCCI lists top PH sectors to invest in [Inquirer Mobile, October 9, 2023]

Mining, tourism, agribusiness, information technology-business process outsourcing, manufacturing and creative industries are the top local sectors to invest in because of their huge income and growth potential.

https://inqm.news/cycz

Gatchalian urges BIR to intensify drive vs fake receipts [Philippine Daily Inquirer, October 8, 2023]

Sen. Sherwin Gatchalian on Saturday called on the Bureau of Internal Revenue (BIR) to intensify its efforts to eliminate the proliferation of “ghost” and “fake” sales receipts explaining how they negatively affect government revenues and microenterprises.

https://newsinfo.inquirer.net/1842573/intensify-drive-vs-fake-receipts-bir-urged

DOJ says PCSO not exempt from remitting dividends to treasury [Rappler, October 8, 2023]

Justice Secretary Jesus Crispin “Boying” Remulla said Republic Act 7656 – or the Government-Owned or Controlled Corporation Dividends Law – applies to all GOCCs, except those which are created to administer real or personal properties or hold funds for the use of its members.

https://www.rappler.com/nation/department-justice-pcso-not-exempt-remitting-dividends-national-treasury/

DoTr speeds up Greenways project [The Manila Times, October 8, 2023]

The goal of the EDSA Greenways Project is to revolutionize the pedestrian experience by constructing elevated pedestrian walkways in key areas in Metro Manila — notably Balintawak and Cubao in Quezon City, Guadalupe in Makati City, and Taft Ave. in Pasay City.

https://www.manilatimes.net/2023/10/08/news/national/dotr-speeds-up-greenways-project/1913717

Cibo scales up, prepares to go global [Inquirer Mobile, October 8, 2023]

Cibo, the Italian restaurant chain founded in 1997 by acclaimed chef and restaurateur Margarita Fores, marked the happy occasion with a renewed commitment to become an even more formidable player in the premium segment of the casual dining sector.

https://inqm.news/cycf

Land Bank opens scholarship program [The Manila Times, October 8, 2023]

THE Land Bank of the Philippines (LBP) has announced the opening of the Iskolar ng Landbank scholarship program for 60 scholars annually.

https://www.manilatimes.net/2023/10/08/campus-press/land-bank-opens-scholarship-program/1913873

Ala Eh, Greenergy joint venture in Batangas ditched [Inquirer Mobile, October 7, 2023]

Ala Eh Knit Inc., a subsidiary of listed holding company AbaCore Capital Holdings Inc. and another listed firm, Greenergy Holdings Inc., have abandoned plans to construct a logistics center and food terminal in Batangas City.

https://inqm.news/cyma

Middle East investors keen on BARMM oil, natgas deals [Inquirer Mobile, October 6, 2023]

Middle Eastern countries are keen on investing in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) particularly for oil and natural gas exploration following the regional government’s recent agreement with the national authorities that outlined the standards for petroleum and coal operations, the Department of Energy (DOE) said.

https://inqm.news/cymw

Pangasinan eyes 1.5 gigawatt solar power production by 2025 [Philippine News Agency, October 5, 2023]

The provincial government of Pangasinan is eyeing to produce 1.5 gigawatts of solar power capacity by 2025 from the five renewable energy companies that are set to construct solar farms in the next few years.

https://www.pna.gov.ph/articles/1211225

Devil in the details: NGCP spent P8.7 billion for janitor and security services but that’s just P87,000 per month for each facility [Bilyonaryo, October 5, 2023]

Hontiveros raised eyebrows over NGCP’s seemingly enormous budget for janitorial and security services, questioning, “Does the NGCP really have to clean that much garbage that they needed to spend [billions of pesos] for janitorial services?” in a media briefing.

https://bilyonaryo.com/2023/10/05/devil-in-the-details-ngcp-spent-p8-7-billion-for-janitor-and-security-services-but-thats-just-p87000-per-month-for-each-facility/power/