TAX & BUSINESS-RELATED NEWS [MARCH 20-22] BIR CLARIFIES THE TAXABILITY OF eSABONG TAX & BUSINESS-RELATED NEWS [MARCH 17-19]
| 1. TAX & BUSINESS-RELATED NEWS [MARCH 20-22] | | Back-to-office order wins business groups’ support Additional 13 PH ports readied for global trade recovery Moncupa named new BAP chief as banks deal with new threats PCC tells Grab: You still owe your passengers P19.3 million For revenge travel: Cebu Pacific revives P99 one-way base fare travel pass DOLE backs 4-day workweek Students seek gov't-funded health insurance for in-person classes Duterte signs amendments to Public Service Act Lung Center workers demand their overdue benefits in lunchtime rally Jollibee opens 150th store in Vietnam, achieves 100 percent local customer base Labor group asks for P430 per day wage increase in Central Visayas CebGo transfers to NAIA Terminal 4 beginning March 28: Cebu Pacific IKEA PH delivery partner Mober shifts to electric vehicles as fuel prices rise Buses, Class 2 vehicles to be allowed on Skyway again starting April: San Miguel Bitcoin to the rescue: cryptocurrencies' role in Ukraine SEC creates office to monitor lending firms
| 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. | DOF to next president: Keep infra a priority [Inquirer Mobile, March 22, 2022] President Duterte’s economic team led by the DOF will turn over to the next administration a fiscal consolidation plan, which may include new or higher taxes, spending cuts on nonpriority sectors, and economic growth drivers to revert the budget deficit to prepandemic levels of about 3 percent of GDP while repaying debts. Back-to-office order wins business groups’ support [Inquirer Mobile, March 22, 2022] Some of the country’s biggest business groups, including top property developers, have backed the government’s criticized directive to end work-from-home (WFH) arrangements, citing the need to rekindle economic activity as a “a key milestone toward the country’s journey to post-pandemic normalcy.” Additional 13 PH ports readied for global trade recovery [Inquirer Mobile, March 22, 2022] “The projects that were completed [prepares] the country to take in the shipping and logistical demands both from local and international players in the short- to mid-term as the world transitions to the normal,” Philippine Ports Authority (PPA) General Manager Jay Daniel R. Santiago said in a statement on Monday. Moncupa named new BAP chief as banks deal with new threats [Inquirer Mobile, March 22, 2022] EastWest Banking Corp. president and CEO Antonio “Tony” C. Moncupa Jr. is taking over as head of the Bankers Association of the Philippines (BAP) amid emerging challenges in the postpandemic period. PCC tells Grab: You still owe your passengers P19.3 million [Inquirer Mobile, March 22, 2022] The Philippine Competition Commission (PCC) on Monday ordered the ride-hailing firm to refund eligible passengers the remaining P19.3 million by April 22. Only P6.15 million, or 24.1 percent of the total refund, had been paid back as of June last year. For revenge travel: Cebu Pacific revives P99 one-way base fare travel pass [ABS-CBN News, March 21, 2022] The CEB Super Pass feature allows travelers to purchase travel vouchers without a specific date or destination just yet, the airline said in a statement. DOLE backs 4-day workweek [The Manila Times, March 21, 2022] Labor Undersecretary Benjo Benavidez said that the scheme will greatly help workers cope with rising prices of fuel and other basic commodities. Students seek gov't-funded health insurance for in-person classes [ABS-CBN News, March 21, 2022] A student group on Monday urged the government to allot funds for the health insurance of learners and teachers, particularly those who will attend in-person classes, as schools gradually reopen amid the continued COVID-19 pandemic. Duterte signs amendments to Public Service Act [Manila Bulletin, March 21, 2022] The amendments aim to encourage investment in sectors essential to public welfare, effectively opening up to 100 percent the foreign equity across economic sectors. Lung Center workers demand their overdue benefits in lunchtime rally [ABS-CBN News, March 21, 2022] According to the LCP’s employees’ association, they have yet to receive their Active Hazard Duty Pay from March to June 2021 under the Bayanihan 2 law. Jollibee opens 150th store in Vietnam, achieves 100 percent local customer base [ABS-CBN News, March 21, 2022] The newest branch is located at 254 Dong Da Street Thuan Phuoc Ward, Hai Chau District in the tourism hub in Da Nang City, JFC said in a statement. Labor group asks for P430 per day wage increase in Central Visayas [ABS-CBN News, March 21, 2022] The current minimum wage in Central Visayas is P404. Should the proposal be granted, this will put the new minimum wage in the region at P834. CebGo transfers to NAIA Terminal 4 beginning March 28: Cebu Pacific [ABS-CBN News, March 21, 2022] Due to the anticipated influx of travelers, passengers are advised to be at the terminal at least 3 hours before their departure, Cebu Pacific said in a statement. IKEA PH delivery partner Mober shifts to electric vehicles as fuel prices rise [ABS-CBN News, March 21, 2022] Tech-logistics company Mober is investing in electric vehicles to save on fuel as prices of petroleum products spiked in the past weeks, its CEO Dennis Ng said Monday. Buses, Class 2 vehicles to be allowed on Skyway again starting April: San Miguel [ABS-CBN News, March 21, 2022] "Starting April 1, public utility buses and closed van delivery trucks will again be able to use the elevated Skyway system--paving the way for faster, more efficient commutes and transport of goods between northern and southern Metro Manila," San Miguel said. Bitcoin to the rescue: cryptocurrencies' role in Ukraine [ABS-CBN News, March 20, 2022] Since then, more than $100 million worth of crypto has been raised, with the "Crypto Fund for Ukraine" run by Michael Chobanian -– the founder of the Ukrainian crypto exchange Kuna -– accounting for 60 percent of all donations. SEC creates office to monitor lending firms [ABS-CBN News, March 20, 2022] The Securities and Exchange Commission (SEC) is creating an office that would monitor lending companies as part of its crackdown against illegal and abusive lenders, the Department of Finance said in a statement Sunday. | 2. BIR CLARIFIES THE TAXABILITY OF eSABONG | Revenue Memorandum Circular (RMC) No. 25-2022, issued on March 11, 2022, clarifies the taxability of electronic sabong (e-Sabong) operations as regulated by the Philippine Amusement and Gaming Corporation (PAGCOR). Highlights of the circular are as follows: 1. The Gaming Income from e-Sabong Operation by an e-Sabong Operator(eSO), shall be subject to a 5% franchise tax (separate and distinct from the 5% franchise tax due to PAGCOR), in lieu of all internal revenue taxes except value-added tax (VAT) or percentage tax. 2. The following shall be subject to regular income tax, VAT or percentage tax depending on the threshold, withholding tax and other taxes, as may be deemed appropriate. a. Service income and other income b. Commission income-eSO shall withhold and remit the corresponding creditable withholding taxes (CWT) (5%/10% for individual payees and 10%/15% for non-individual payees) due for the account of the Master Agent/Agent or Promoter/Coordinator. c. lncome received by the cockpit owner/operator-eSO shall withhold and remit the corresponding 5% CWT due for the account of the cockpit owner/operator. d. Income received by a Third Party Offsite-Cockpit Betting Station (OCBS) Host from the OCBS-eSO shall withhold and remit the corresponding 2% CWT due for the account of the Third Party OCBS Host. e. Income received by a Third-Party Game Cock Owner-eSO shall withhold and remit the corresponding 2% CWT due for the account of the Third-Party Game Cock Owner. f. Other income derived or received by any person or entity in relation to the operation of e-sabong not included in the above-mentioned enumeration shall be subject to appropriate taxes, including but not limited to final withholding taxes and the like, under the 1997 Tax Code, as amended. | 3. TAX & BUSINESS-RELATED NEWS [MARCH 17-19] | | DOE approves Cinco-1 drilling off Palawan World Bank to lend $245M for Mindanao road repairs Rising demand for seaside homes drives up interest in Hamilo Coast AirAsia adds more domestic flights as demand surges PH braces for spillover impact of Russia sanctions Ayala Corp says selling stake in MCX Expressway project to Villar Group Bank stocks forecast to outperform peers DOF pushing BIR to collect Marcos heirs' estate taxes to generate more government revenue Bigger LGU share bloated budget deficit in January GCash-BPI partnership enhances accessibility to retail investments, financial services GSIS seeks reinsurer for Cerberus-operated Subic shipyard anew PHL 5G users see greatest speed uplift among peers — Opensignal AIC allots P1.4B for Cebu expansion House probe sought on COA-flagged unutilized Bayanihan 2 funds IC: New foreign life insurer coming to 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. | DOE approves Cinco-1 drilling off Palawan [Inquirer Mobile, March 19, 2022] The Department of Energy (DOE) has approved the plan of the consortium holding Service Contract 55 to drill an appraisal well off resource-rich Palawan to be called Cinco-1. World Bank to lend $245M for Mindanao road repairs [Inquirer Mobile, March 19, 2022] “The project aims to improve transport services in the Cagayan de Oro-Davao-General Santos corridor and its catchment area. The proposed project scope includes upgrading of select local roads [in the main corridor], and climate resilient transport asset management and road safety enhancements,” the World Bank said. Rising demand for seaside homes drives up interest in Hamilo Coast [The Philippine Star, March 19, 2022] As demand for seaside residential properties remains on an upward trajectory since the second quarter of 2021, Hamilo Coast, a premier community in Nasugbu, Batangas, continues to experience a huge wave of interest from prospective buyers. AirAsia adds more domestic flights as demand surges [Inquirer Mobile, March 19, 2022] Beginning April 1, AirAsia Philippines is adding more weekly flights to the country’s top tourist destinations, including Boracay, Puerto Princesa and Cebu, after seeing a recent surge in bookings. PH braces for spillover impact of Russia sanctions [Inquirer Mobile, March 18, 2022] Dominguez said domestic inflation would likely be “a bit higher” due to high global commodity and food prices “but we are ready to tackle it” by giving away cash subsidies to vulnerable sectors as well as lowering tariffs on some food imports while thumbing down proposals to suspend oil excise taxes. Ayala Corp says selling stake in MCX Expressway project to Villar Group [ABS-CBN News, March 18, 2022] MXCPCI is the special purpose corporation that will hold the concession assets, rights and obligations for the Muntinlupa-Cavite Expressway Project, Ayala Corp said in a disclosure to the stock exchange. Bank stocks forecast to outperform peers [Inquirer Mobile, March 18, 2022] The local banking sector is poised to outperform the market in 2022 as earnings accelerate with the continued reopening of the Philippine economy despite prevailing geopolitical risks and rising inflationary pressures around the world, according to BDO Securities. DOF pushing BIR to collect Marcos heirs' estate taxes to generate more government revenue [CNN, March 18, 2022] The Department of Finance is pushing the Bureau of Internal Revenue to collect the unpaid ₱203 billion-estate taxes of the Marcos heirs to generate more revenue for the government that will help institutionalize programs to ease the lives of Filipinos amid the oil crisis. Bigger LGU share bloated budget deficit in January [Inquirer Mobile, March 18, 2022] With the implementation of the Supreme Court’s Mandanas-Garcia ruling in full swing, the bigger budgets granted to local government units (LGUs) at the start of this year bloated the national government’s budget deficit by two-thirds to P23.4 billion. GCash-BPI partnership enhances accessibility to retail investments, financial services [Inquirer.Net, March 18, 2022] Through its partnership with BPI, GCash now gives its customers the opportunity to invest in BPI Investment Management Inc.’s (BIMI) ALFM Global Multi-Asset Income Fund (GMAIF) and the Philippine Stock Index Fund under GInvest. Customers can therefore start investing for as low as P1,000 in ALFM GMAIF, a US dollar-denominated feeder fund that provides a stable stream of dividends and generates long-term capital growth. GSIS seeks reinsurer for Cerberus-operated Subic shipyard anew [Inquirer Mobile, March 18, 2022] With Cerberus taking over the former Hanjin shipyard at the Subic Bay free port, the state-run Government Service Insurance System (GSIS) is again seeking a reinsurer of the facility’s industrial risks, projected to hit a gross amount of $904.57 million. PHL 5G users see greatest speed uplift among peers — Opensignal [BusinessWorld, March 18, 2022] FIFTH-GENERATION (5G) network users in the Philippines experienced the greatest uplift in terms of average download speeds versus 4G across 10 Asia-Pacific (APAC) markets, including Thailand, Taiwan, South Korea, and New Zealand, the UK mobile analytics company Opensignal Ltd. said in its latest analysis. AIC allots P1.4B for Cebu expansion [The Manila Times, March 18, 2022] ABOITIZ InfraCapital (AIC) is allocating P1.4 billion for the expansion of its West Cebu Estate (WCE) as a bid to increase its industrial locators in Cebu. House probe sought on COA-flagged unutilized Bayanihan 2 funds [CNN Philippines, March 17, 2022] Bayan Muna Representatives Eufemia Cullamat, Carlos Zarate and Ferdinand Gaite filed House Resolution No. 2519 after COA said ₱4.99 billion, or more than half of the allocated budget for zero-interest and collateral-free loans to micro, small, and medium enterprises under the Bayanihan 2 law, were unutilized as of June last year. IC: New foreign life insurer coming to PH [Inquirer Mobile, March 17, 2022] At the launch of the maiden Philippine life insurance advisors awards, Funa disclosed that the new player will be formally announced by the end of this month or next month. “It’s an investor from a foreign entity,” Funa said, but he declined to identify it. | Thank you and best regards, WILLIE B. SANTIAGO Lawyer & Certified Public Accountant Tax & Corporate Services Division TL : (+632) 8 894-5892 Loc. 703 Website: www.dmdcpa.com.ph Don Jacinto Building De la Rosa corner Salcedo Streets Legaspi Village, Makati City 1229 Philippines | | |
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