SEC suspends monthly fines for non-filing of AFS, GIS until yearend
Other Relevant Tax Updates:
- TAX & BUSINESS-RELATED NEWS [MAY 11-18]
- SEC FURTHER REDUCES FEES & CHARGES FOR IT-RELATED SERVICES
- SEC SUSPENDS PER MONTH OF DELAY PENALTY FOR LATE & NON-FILING OF REPORTORIAL REQUIREMENTS
- SEC EXTENDS THE TEMPORARY USE OF 2020 GIS FORM ON EFAST UNTIL JUNE 30, 2026
- BIR CIRCULARIZES DOF IRR FOR ACCREDITATION OF VAT REFUND SYSTEM OPERATORS
- BIR LOWERS THE THRESHOLD OF LIMIT OF DELINQUENT ACCOUNTS FOR WRITE-OFF
I. TAX & BUSINESS-RELATED NEWS [DECEMBER 20-26]
1. China Evergrande liquidators seek $8.4B from accounting firm PwC in Hong Kong lawsuit
2. Millions of professionals to benefit from 5-year validity of PRC IDs
3. Cebuano CEO pleads guilty to multi-million dollar fraud in US
4. Jollibee Group outlines P2.8 billion cost containment plan
5. BOC sets 3-year validity of broker registration for accountability
China Evergrande liquidators seek $8.4B from accounting firm PwC in Hong Kong lawsuit [Yahoo Finance, May 18, 2026]
Liquidators of the failed Chinese property developer China Evergrande are seeking 57 billion yuan ($8.4 billion) from accounting firm PwC over its auditing work, a Hong Kong court heard on Monday.
https://finance.yahoo.com/markets/stocks/articles/china-evergrande-liquidators-seek-8-112500973.html
Millions of professionals to benefit from 5-year validity of PRC IDs [Philippine News Agency, May 18, 2026]
In a Bagong Pilipinas Ngayon interview on Monday, PRC Assistant Commissioner Lord Louis Valera said the PRC initiated House Bill (HB) 8876, which has already hurdled second reading at the House of Representatives.
https://www.pna.gov.ph/articles/1275286
Cebuano CEO pleads guilty to multi-million dollar fraud in US [The Manila Times, May 18, 2026]
A Cebuano business process outsourcing executive admitted before a United States federal court that he participated in a multi-million dollar publishing and film adaptation fraud scheme that victimized more than 800 aspiring authors across the US.
Jollibee Group outlines P2.8 billion cost containment plan [The Philippine Star, May 18, 2026]
Asian food conglomerate Jollibee Foods Corp. (JFC) is undertaking a P2.8-billion cost containment plan as part of efforts to restore margins and reinforce long-term value creation amid challenges brought about by recent geopolitical developments.
BOC sets 3-year validity of broker registration for accountability [Philippine News Agency, May 16, 2026]
In a news release Saturday, the bureau reported that under a memorandum issued on May 13, signed by Commissioner Ariel Nepomuceno, the Certificate of Registration for Individual Customs Brokers and General Professional Partnerships will be valid for three years from the date of issuance, unless sooner suspended or revoked for cause.
II. SEC FURTHER REDUCES FEES & CHARGES FOR IT-RELATED SERVICES
SEC Memorandum Circular (MC) No. 18, Series of 2026, issued on May 22, 2026, further reduces selected IT-related fees and charges by an additional twenty-five percent (25%) based on the already reduced rates under SEC MC No. 06, Series of 2025. The reduced rates apply to selected services such as physical and digital copies of SEC documents, while the rates for SEC API Services under SEC MC No. 10, Series of 2023 (as retained under MC No. 06, Series of 2025) remain unchanged. The prescribed rates shall take effect on 01 June 2026.
If you wish to get a copy of complete text of CTA cases, please e-mail us at taxseminars@dmdcpa.com.ph.
III. SEC SUSPENDS PER MONTH OF DELAY PENALTY FOR LATE & NON-FILING OF REPORTORIAL REQUIREMENTS
SEC Memorandum Circular (MC) No. 16, dated 13 May 2026, suspends the imposition of the per month of delay penalty under SEC MC No. 06, Series of 2024, for the late and non-filing of Annual Financial Statements (AFS) and General Information Sheets (GIS) of corporations under the Commission’s jurisdiction. The suspension applies prospectively from the effectivity of the Circular until 31 December 2026. Notwithstanding the suspension, the base fines for late and non-filing and the obligation to timely file AFS and GIS remain enforceable. Beginning 01 January 2027, the per month of delay penalty shall automatically resume unless otherwise extended or modified by the SEC.
The application of the suspension is summarized below:
IV. SEC EXTENDS THE TEMPORARY USE OF 2020 GIS FORM ON EFAST UNTIL JUNE 30, 2026
In an SEC Notice, issued on May 12, 2026, the SEC extends the temporary use of the 2020 General Information Sheet (GIS) Form for filing through the Electronic Filing and Submission Tool (eFAST) until 30 June 2026. The extension allows corporations sufficient time to complete access arrangements for the Hierarchical and Applicable Relations and Beneficial Ownership Registry (HARBOR), the SEC’s online system for beneficial ownership submissions.
V. BIR CIRCULARIZES DOF IRR FOR ACCREDITATION OF VAT REFUND SYSTEM OPERATORS
SITUS OF TAXATION FOR TECHNICAL SERVICES IS NOT THE PLACE WHERE THE SERVICES ARE PERFORMED, BUT RATHER THE PLACE OF THE USER OR CONSUMER OF SUCH SERVICES
Revenue Memorandum Circular (RMC) No. 44-2026, issued on May 13, 2026, circularizes Department of Finance (DOF) Department Order No. 018-2025, which prescribes the guidelines for the accreditation of Value-Added Tax (VAT) Refund System Operators. It implements the VAT refund mechanism for non-resident tourists by providing rules and procedures for the accreditation of entities that will process and administer VAT refunds on eligible purchases.
Revenue Memorandum Order (RMO) No. 11-2026, issued on May 12, 2026, revises the Cost to Collect Threshold for final, executory and demandable Accounts Receivable/Delinquent Accounts (AR/DA) from Php 20,000 to Php 80,000. The Order aims to rationalize collection enforcement efforts by allowing the write-off of tax cases where further collection is no longer economically feasible, subject to existing laws, rules, and procedures.
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