TAX & BUSINESS-RELATED NEWS [JUNE 28-29] BIR CIRCULARIZES THE NEW LIST OF TOP WITHHOLDING AGENTS & THOSE FOR DELETION FROM THE EXISTING LIST BIR DELEGATES THE SIGNING & APPROVAL OF CERTIFICATE OF TAX EXEMPTION ON SEPARATION PAY FOR LARGE TAXPAYERS SERVICE SEC LEGAL OPINION DIGEST ON AMENDMENT OF LICENSE SUPREME COURT CASE DIGEST NULLIFYING BIR RULES ON BANK'S ALLOCATION OF COSTS & DEDUCTIONS TAX & BUSINESS-RELATED NEWS [JUNE 20-27]
| 1. TAX & BUSINESS-RELATED NEWS [JUNE 16-20] | | Ressa: SEC has issued ruling that ‘effectively confirmed’ Rappler shutdown Antidummy case versus Megawide brass dismissed Party’s over: Airbnb bans events permanently Netflix ‘actively’ working on ad-supported subscription ‘Simply Outrageous:’ EY Hit With $100 Million Fine After Audit Employees Cheat on CPA Ethics Exam Nearly P1 billion worth of items sold in Philippine dark web market UBE Express resumes direct trips to and from NAIA Managers should let employees work from home or risk losing — and not attracting — top money-making talent Metro Pacific scoops up premium ice cream maker Carmen’s Best Maynilad eyes tapping 'used water' as alternative source for potable water 6 PH firms among Institutional Investor's most honored Bill granting additional benefits for solo parents lapses into law P1M allocated for mid-year cash gift to Pasig barangay seniors Solar Philippines looking for buyers of projects’ output Next BSP chief says peso fall to be tempered by remittances, exports, BPOs SEC clears Philex’s P 2.65-B share sale Globe blocks 138-M spam, scam messages from January to June 15 Slowly but surely, Pogos coming back online in PH
| We saw these tax and business-related news on various news sites, and we thought you should see them. DMD is not responsible for the content of these news, and anything written thereon does not necessarily reflect DMD views or opinions. | Ressa: SEC has issued ruling that ‘effectively confirmed’ Rappler shutdown [ABS-CBN News, June 29, 2022] The SEC ruling was dated Tuesday, June 28, according to a Rappler statement that Ressa shared as she spoke at the East-West Center international media conference in Hawaii. Antidummy case versus Megawide brass dismissed [Inquirer Mobile, June 29, 2022] A Cebu court dismissed a criminal compliant filed two years ago against officers and directors of Megawide Construction Corp. for alleged foreign ownership violations in the company’s Mactan-Cebu International Airport (MCIA) project. Party’s over: Airbnb bans events permanently [ABS-CBN News, June 29, 2022] The rental platform has gradually tightened its policies on parties after complaints and some high-profile trouble, including a 2019 shooting that killed five in California. Netflix ‘actively’ working on ad-supported subscription [ABS-CBN News, June 29, 2022] Netflix is "actively" working on building its cheaper, ad-supported deal, the company's French team said on Tuesday, but added there was no clear timeline. ‘Simply Outrageous:’ EY Hit With $100 Million Fine After Audit Employees Cheat on CPA Ethics Exam [Bloomberg, June 28, 2022] Ernst & Young LLP admitted that dozens of its audit personnel cheated on the ethics portion of the Certified Public Accountant exam and that the firm misled US regulators probing the misconduct, according to the Securities and Exchange Commission. Nearly P1 billion worth of items sold in Philippine dark web market [The Philippine Star, June 28, 2022] Philippine driver’s licenses, personal IDs, email, Netflix passwords, credit card data and online accounts are just among the data pieces sold in the dark web market. UBE Express resumes direct trips to and from NAIA [ABS-CBN News, June 28, 2022] In a Facebook post, UBE Express said its point-to-point (P2P) trips from Araneta City in Cubao to NAIA will resume Thursday, June 30, while its trips from Robinsons Place Manila to NAIA will return on Friday, July 1. Managers should let employees work from home or risk losing — and not attracting — top money-making talent [Market Watch, June 28, 2022] Flexibility is second only to compensation when it comes to what drives people’s satisfaction with their employer. Metro Pacific scoops up premium ice cream maker Carmen’s Best [Inquirer Mobile, June 28, 2022] MPIC, which owns toll roads, railways and utilities such as Manila Electric Co. and Maynilad Water Services, will take a 51-percent stake in the venture known as The Laguna Creamery Inc. The Magsaysay-led Carmen’s Best Group will keep the remaining 49 percent. Maynilad eyes tapping 'used water' as alternative source for potable water [ABS-CBN News, June 28, 2022] It said it would use its new Modular Treatment Plants (ModTP) from Israel to convert treated used water into potable supply which will be called "New Water." 6 PH firms among Institutional Investor's most honored [Manila Bulletin, June 28, 2022] Based on the poll results published in the Institutional Investor website, the six local firms in the list are D&L Industries Inc., Century Pacific Foods, PLDT Inc., Bank of the Philippine Islands, Metro Pacific Investments Corporation, and International Container Terminal Services Inc. Bill granting additional benefits for solo parents lapses into law [Inquirer.Net, June 28, 2022] A measure granting additional benefits for Filipino solo parents, including subsidies, discounts and value-added tax (VAT) exemptions for certain baby products is now a law. P1M allocated for mid-year cash gift to Pasig barangay seniors [Manila Bulletin, June 28, 2022] To ensure the safety of BSA’s senior citizens amid the ongoing Covid-19 pandemic, Lising said that BSA’s barangay staff will personally deliver the cash gifts door-to-door to its beneficiaries. He said the barangay eyes to finish distributing the mid-year cash gift to senior citizens this June. Solar Philippines looking for buyers of projects’ output [Inquirer Mobile, June 28, 2022] Listed Solar Philippines has offered to potential buyers the output coming from its 10 gigawatts of renewable energy projects, all of which are slated for completion between 2025 and 2026. Next BSP chief says peso fall to be tempered by remittances, exports, BPOs [ABS CBN News, June 28, 2022] Incoming Bangko Sentral ng Pilipinas Governor Felipe Medalla on Tuesday downplayed the depreciation of the peso saying remittances, exports and income from BPOs will help support the local currency. SEC clears Philex’s P 2.65-B share sale [Inquirer Mobile, June 28, 2022] The Securities and Exchange Commission (SEC) has conditionally approved a P2.65-billion stock rights offering (SRO) planned by Manuel Pangilinan-led Philex Mining Corp. to raise funds for its Silangan copper-gold project in Surigao del Norte. Globe blocks 138-M spam, scam messages from January to June 15 [ABS-CBN News, June 28, 2022] The telco said it has security operations center that is working 24/7 to detect attacks or breaches immediately with over 100 dedicated workforce focused on cybersecurity efforts. Slowly but surely, Pogos coming back online in PH [Inquirer Mobile, June 28, 2022] For the first time in two years, the Philippine offshore gaming operator (Pogo) industry is slowly making a comeback, taking up long-vacated offices and repopulating urban residences. | 2. BIR CIRCULARIZES THE NEW LIST OF TOP WITHHOLDING AGENTS & THOSE FOR DELETION FROM THE EXISTING LIST | Revenue Memorandum Circular (RMC) No. 80-2022, issued on June 6, 2022, circularizes the additional List of Top Withholding Agents (TWAs) required to deduct and remit either the 1% or 2% Creditable Withholding Tax (CWT) from the income payments to their suppliers of goods and services, respectively, pursuant to Revenue Regulations (RR) No. 31-2020, including the List of TWAs for deletion from the existing list. The obligation to deduct and remit to the BIR shall continue, commence, or cease, as the case may be, effective July 1, 2022. Any taxpayer not found in any of the published List of TWAs is deemed excluded and, therefore, not required to deduct and remit the 1% or 2% CWT under the abovementioned RR. | 3. BIR DELEGATES THE SIGNING & APPROVAL OF CERTIFICATE OF TAX EXEMPTION ON SEPARATION PAY FOR LARGE TAXPAYERS SERVICE | Revenue Delegation Authority Order (RDAO) No. 4-2022, issued on June 7, 2022, delegates to the Assistant Commissioner (ACIR) of the Large Taxpayers Service (LTS) or on his/her absence, to the concerned Head Revenue Executive Assistant (HREA), the authority to sign and approve Certificate of Tax Exemption (CTE) from Income Tax and from Withholding Tax for separation benefits received by officials and employees on account of their separation from employment due to death, sickness or other disability processed at the LTS. | 4. SEC LEGAL OPINION DIGEST ON AMENDMENT OF LICENSE TO TRANSACT BUSINESS IN THE PHILIPPINES | PURPOSE CLAUSE MAY BE STRETCHED TO IMPLIEDLY COVER NEW & UNEXPECTED SITUATIONS. BUT IN THOSE CASES IT CANNOT, A PROPER AMENDMENT THEREOF WOULD BE NECESSARY K Machinery is seeking an opinion on whether it may engage in the proposed after-sales support services without the need to amend its License to Transact Business. In rendering the opinion, SEC cited the provisions of Section 148 of the Revised Corporation Code which provides that a foreign corporation authorized to transact business in the Philippines shall obtain an amended license in the event it changes its corporate name, or desires to pursue other or additional purposes in the Philippines. However, in the case of K Machinery, SEC has opined that the proposed after-sales support services are covered by K Machinery’s License as the selling of components and spare parts is part of the services offered to the customers after a sale of a machinery is made. After-sale support services are necessary to and implied from the nature of the activity that K Machinery is engaged in-i.e. wholesale of hydraulic excavator, crane and its attachments, parts. [SEC-OGC OPINION NO. 22-08, MAY 30, 2022] | 5. SC CASE DIGEST NULLIFYING BIR RULES ON BANK'S ALLOCATION OF COSTS & DEDUCTIONS | [CTA, NOT THE RTC, HAS THE JURISDICTION TO RULE ON THE CONSTITUTIONALITY & VALIDITY OF REVENUE ISSUANCES BY THE CIR] [RR 4-11 ON ALLOCATION OF COSTS & EXCLUSIVE DEDUCTION FOR BANKS IS VOID FOR HAVING BEEN ISSUED ULTRAVIRES] [THE ALLOCATION RULES UNDER RR 4-2011 ARE ARBITRARY & INDISCRIMINATE IMPOSITION OF A UNIFORM ACCOUNTING METHOD] Petitioner Department of Finance filed a Petition for Review on Certiorari raising pure questions of law. Petitioner argued that the Regional Trial Court (RTC) erred in ruling that it had jurisdiction over the Petitions assailing the validity of Revenue Regulations (RR) No. 4-2011. On the other hand, the Respondents Asia United Bank et. al. maintained that RR No. 4-2011 is an invalid administrative issuance for being issued without legal basis, for curtailing the deductions granted by the Tax Code, and for modifying the Tax Code. In ruling, the Court held that the Court of Tax Appeals (CTA) has jurisdiction to rule on the constitutionality or validity of a tax law, regulation, or administrative issuance. Nevertheless, despite the procedural infirmities of the Petition and proceedings before the lower court, the Court deemed it prudent to take cognizance of the present Petition as the validity of the actions of the Petitioners that affect numerous banks and other financial institutions is in issue. The Court thus availed itself of its judicial prerogative and ruled that RR 4-2011 is void. In this case, RR 4-2011 provides for an allocation method for different units or income streams within one bank or financial institution. The Commissioner of Internal Revenue (CIR), through RR 4-2011, allocates costs and expenses between operations of a depository bank and other financial institutions. By prescribing a method for allocating and reporting expenses, the CIR effectively derogated the right of taxpayer banks and other financial institutions to adopt its own accounting method. Moreover, RR No. 4-2011 inevitably impairs the taxpayers’ right to claim deductions. In issuing the said RR, which requires the allocation of costs and expenses of banks with respect to its Regular banking Units (RBU) and Foreign Currency Deposit Units (FCDU)/ Expanded Foreign Currency Deposit Unit (EFCDU) or Offshore banking Unit (OBU) operations and as to its “tax paid income” and “tax exempt income” activities, Petitioner effectively imposed an additional requirement for deductibility of expenses which is not provided under the Tax Code. RR 4-2011, therefore, effectively qualified the deduction bestowed by the Tax Code, thereby modifying the law. Consequently, the Petition was DENIED, and RR 4-2011 was declared VOID. [DEPARTMENT OF FINANCE, REPRESENTED BY ITS SECRETARY & THE BUREAU OF INTERNAL REVENUE, REPRESENTED BY ITS COMMISSIONER VS. ASIA UNITED BANK ET.AL. G.R. NOS. 240163 & 240168-69, DECEMBER 1, 2021, UPLOADED MAY 12, 2022] | 6. TAX & BUSINESS-RELATED NEWS [JUNE 20-27] | | Angie Mead King rebrands Victoria Court Malate, Buendia, and Cuneta: 'For the people and the planet' Smuggling still lucrative: BOC foils entry of P124-M agri goods PH firm partners with US corporation to set up weapons assembly in Bataan Only 20% of U.S. workers in office three days or more: IBM CEO Signal check: Villar’s AMBS starts test broadcast Big Four breakup plans push partner pay into the spotlight Quezon City among world cities at risk for extreme flooding, drought: study Outsourcing has eroded workers’ wages and rights Golden Haven marks 6th listing anniversary PLDT triples int’l capacity with Jupiter’s activation Senator pushes WFH scheme Hong Kong floating restaurant sinks in South China Sea DOLE lifts stoppage order against URC Mandaue plant’s department New Cebu expressway to allow small bikes starting July 1, 2022 Tropical Hut announces supply shortage a week after going viral on social media DOTr keeps promise to open PNR Lucena-San Pablo line before Duterte ends term Davao Oriental sees Imelda Marcos’ airport opening after about 5 decades PH specialty coffee debuts in Japan Globe reduces prices of Globe At Home Fiber Plans Kazuo Okada group says ‘no disruption’ as rival group says firm's bank accounts frozen DOJ dismisses complaints filed by Yanson Four vs mom, others Globe approves P32-B stock rights offering to boost network expansion
| We saw these tax and business-related news on various news sites, and we thought you should see them. DMD is not responsible for the content of these news, and anything written thereon does not necessarily reflect DMD views or opinions. | Angie Mead King rebrands Victoria Court Malate, Buendia, and Cuneta: 'For the people and the planet' [GMA News Online, June 27, 2022] Victoria Court properties in Malate, Buendia and Pasay will now fly under the banner of Hotel Ava. Smuggling still lucrative: BOC foils entry of P124-M agri goods [Philippine Daily Inquirer, June 27, 2022] Smuggling of agricultural goods has remained lucrative despite the enactment of Republic Act No. 10845, the Samahang Industriya ng Agrikultura (Sinag) said on Sunday, after the Bureau of Customs (BOC) foiled the entry of some P124 million worth of smuggled agricultural products from China. PH firm partners with US corporation to set up weapons assembly in Bataan [Inquirer.Net, June 27, 2022] Philippine company Asia Defense and Armament Corporation (ADAC) has set up a partnership with US-based Daycraft Systems Corp. to operate a weapons assembly facility inside the Freeport Area of Bataan (FAB). Only 20% of U.S. workers in office three days or more: IBM CEO [CNBC, June 27, 2022] Corporations are learning that without mandates or strong arming, many workers prefer not to come back to the office most of the time. Signal check: Villar’s AMBS starts test broadcast [Bilyonaryo, June 27, 2022] Ultra bilyonaryo Manny Villar’s Advanced Media Broadcasting System (AMBS) has started its test broadcast on Channel 2, the frequency previously assigned to ABS-CBN. Big Four breakup plans push partner pay into the spotlight [Financial News, June 27, 2022] As EY continues to discuss a landmark separation of its audit and consulting businesses, the issue of pay has shot to the top of the agenda again at the Big Four. Quezon City among world cities at risk for extreme flooding, drought: study [Yahoo Philippines, June 27, 2022] In a report by C40 Cities, a network of megacities committed to addressing climate change, 7.4 million people in the world’s largest cities will be affected while people in developing countries are 10 times more likely to be exposed to river and coastal flooding. Leandro Leviste big winner in DOE’s green auction program [Bilyonaryo, June 26, 2022] Techpreneur Leandro Leviste-led Solar Philippines won most of the contracts in the recently concluded Green Energy Auction Program of the Department of Energy. Golden Haven marks 6th listing anniversary [The Philippine Star, June 26, 2022] The company is a subsidiary of publicly listed, Villar-owned Golden MV Holdings Inc., one of the largest real estate companies in the country. Golden Haven set its initial public offering (IPO) in 2016 at P10.50 per share but its stock value has since risen to P675 as of June 17, an astonishing increase of 6,000 percent. PLDT triples int’l capacity with Jupiter’s activation [Bilyonaryo, June 24, 2022] The Jupiter Cable system is a joint project of global providers including Amazon, Facebook, SoftBank, PCCW Global and NTT Communications spanning 14,000 kilometers from the US West Coast, Japan, and in Daet, Camarines Norte in the Philippines. Senator pushes WFH scheme [The Manila Times, June 23, 2022] SEN. Sherwin Gatchalian encouraged more government agencies and those in the private sector to allow flexible work arrangements to save fuel and transportation costs and improve the quality of life of employees. Hong Kong floating restaurant sinks in South China Sea [Manila Bulletin, June 21, 2022] Jumbo floating restaurant, a once famed but financially struggling Hong Kong tourist attraction, sank in the South China Sea after being towed away from the city, its parent company said Monday. DOLE lifts stoppage order against URC Mandaue plant’s department [SunStar Cebu, June 21, 2022] THE Department of Labor and Employment Central Visayas (DOLE 7) has lifted the cease and desist order it issued against the Sugar Pulverizing Department of Universal Robina Corp. (URC) in Mandaue City. New Cebu expressway to allow small bikes starting July 1, 2022 [MotoPinas.com, June 21, 2022] The newly-built 8.9-kilometer Cebu-Cordova Link Expressway (CCLEX), which connects Cebu City to the Municipality of Cordova, will start allowing entry of motorcycles that are at least 125cc beginning July 1, 2022. Tropical Hut announces supply shortage a week after going viral on social media [Manila Bulletin, June 20, 2022] A week ago, Tropical Hut went viral on social media after Twitter user JP Tanyag shared an image of the restaurant’s Escolta branch and his ordered meal with the caption, “Tropical Hut in Escolta, ako lang ang customer nila.” DOTr keeps promise to open PNR Lucena-San Pablo line before Duterte ends term [Bilyonaryo, June 20, 2022] The line is a 44-kilometer inter-provincial commuter railway which is part of the commuter train service to Bicol with stations and flag stops for daily commuters or short travels. Davao Oriental sees Imelda Marcos’ airport opening after about 5 decades [Rappler, June 20, 2022] The Department of Transportation (DOTr) has set aside some P200 million to buy the property from the Rabats and Rocamoras, Almario said. PH specialty coffee debuts in Japan [Manila Bulletin, June 20, 2022] Mathay said they will focus on three Philippine specialty coffee varieties: Barako from Southern Luzon and Benguet Peaberry Coffee from the Cordillera highlands in the North, and Davao del Sur Peaberry from Mount Apo in the South. Globe reduces prices of Globe At Home Fiber Plans [Yugatech, June 20, 2022] To get speeds up to 50mbps and 150mbps, previously the GFiber Unli Plan 1599 and 2099 were the ones to get respectively. But now, Globe has updated its speeds and pricing so that its GFiber Unli Plan 1299 and 1699 will get you the same speeds at a lower price. Kazuo Okada group says ‘no disruption’ as rival group says firm's bank accounts frozen [ABS-CBN News, June 20, 2022] In a statement, Tiger Resort Leisure and Entertainment Inc (TRLEI) legal counsel Estrella Elamparo said three major commercial banks holding Okada Manila’s accounts had frozen these due to the intra-corporate dispute in the company. DOJ dismisses complaints filed by Yanson Four vs mom, others [Inquirer Visayas, June 20, 2022] In a resolution dated April 27, 2022 but was only released to the media recently, the DOJ junked the complaints for alleged perjury, falsification of public documents, and qualified theft in connection with the management of Rural Transit Mindanao Inc., Bachelor Express Inc., and Mindanao Star Bus Transport Inc. Globe approves P32-B stock rights offering to boost network expansion [ABS-CBN News, June 20, 2022] "This marks the first time Globe will do a rights offer in the capital market in over 2 decades and shows the Principal Shareholders' confidence in the company and its plans going forward," Globe Chief Finance Officer Rizza Maniego-Eala said. | DOWNLOAD OUR PAST EDITIONS & FULL TEXT OF REFERENCES https://weeklytaxupdates.getresponsesite.com/ | |
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