SEC NOTICE ON PENALIZING MISLEADING, INACCURATE & INCOMPLETE INFORMATION IN THE COMPANY’S SUBMITTED REPORTS
Other Relevant Tax Updates:
- TAX & BUSINESS-RELATED NEWS [OCTOBER 25-NOVEMBER 2]
- SEC NOTICE ON PENALIZING MISLEADING, INACCURATE & INCOMPLETE INFORMATION IN THE COMPANY’S SUBMITTED REPORTS
- BIR RULINGS ON THE EXTENT OF TAX EXEMPTION OF SOCIALIZED HOUSING PROJECTS, REASONABLE PRIVATE BENEFIT PLAN & DONATIONS TO THE GOVERNMENT
1. TAX & BUSINESS-RELATED NEWS [OCTOBER 25-NOVEMBER 2]
- Musk announces $8 monthly charge for verified Twitter accounts
- ‘Magastos mamatay’: Solon files bill seeking to provide free, discounted funeral services
- Diokno second-guesses BIR decision on Dasmarinas Village Association
- Villar firm to supply power to Camotes, Siquijor
- PAVI powers off-grid areas
- Kathryn Bernardo, Piolo Pascual officially open El Nido boutique resort
- NEDA guidelines for joint ventures out by year-end
- Tieza okays Tacloban’s bid to take over hotel built by Imelda
- Who got richer? RSA, Sy-blings, Villar, EKR roar back in October
- SMC moves forward with Eagle takeover after PCC clearance
- Basic Energy creates RE unit
- Puerto Princesa sets goal: P 300B in new investments
- SM opens 4th mall in Sorsogon
- BPO firms given until end-’22 to move to BOI and keep perks
- YouTube to certify health care providers’ accounts
- About 50,000 Philippine Seafarers Might Lose Their Jobs On EU Vessels
- Razon firm to supply Meralco with clean energy for 20 years
- BEST ONLINE GAMBLING SITES IN THE PHILIPPINES
- New Phinma leaders vow to keep core business strategy
- Manny Villar opens another mall in Iloilo
- Henry Sy Jr., Elon Musk team up for PH satellite internet
- Meralco unit in hot water over alleged contract breach: Mandaluyong condo residents seek reimbursement of P4M worth of FCRA payments
- SC may reopen Marcos estate tax case
- Henry Sy, Sr. learned financial literacy the hard way
- Major business groups back Pogo phaseout
- BSP reviews P20-coin limit as legal tender
- BIR joins AMLC in fight against dirty funds
- Live in Muntinlupa? Groceries are delivered for free here
- 20 firms flagged for selling uncertified home appliances
- PEZA counting on more South Korean firms to set up shop in PH
Musk announces $8 monthly charge for verified Twitter accounts [ABS-CBN News, November 2, 2022]
New Twitter head Elon Musk said Tuesday the site will charge $8 per month to verify users’ accounts, arguing the plan would upend the platform’s “current lords & peasants system” and create a new revenue stream for the company.
https://news.abs-cbn.com/business/11/02/22/twitter-to-charge-8month-for-verified-accounts-musk
‘Magastos mamatay’: Solon files bill seeking to provide free, discounted funeral services [Manila Bulletin, October 31, 2022]
The Makabayan bloc led by House Deputy Minority Leader and ACT Teachers party-list Rep. France Castro has refiled House Bill No. 5753 or the proposed Free and Discounted Funeral Services bill.
Diokno second-guesses BIR decision on Dasmarinas Village Association [Bilyonaryo, October 31, 2022]
Finance Secretary Benjamin Diokno has granted the request of the Dasmarinas Village Association Inc. (DVAI) to review the ruling of the Bureau of Internal Revenue that denied its request for tax exemption in June 2021.
Villar firm to supply power to Camotes, Siquijor [Manila Bulletin, October 31, 2022]
Villar-led Prime Asset Ventures Inc. (PAVI) will be supplying aggregate 21.27 megawatts of power to satiate the electricity needs of roughly 60,000 households in Camotes and Siquijor islands in the Visayas region.
https://mb.com.ph/2022/10/31/villar-firm-to-supply-power-to-camotes-siquijor/
PAVI powers off-grid areas [The Philippine Star, October 30, 2022]
Prime Asset Ventures Inc. (PAVI), through its constituent power companies S.I. Power Corp. (Sipcor) and Camotes Island Power Generation Corp. (Campcor), is set to produce a total of 21.27 megawatts (MW) of power to energize off-grid communities.
https://www.philstar.com/business/2022/10/30/2220181/pavi-powers-grid-areas
Kathryn Bernardo, Piolo Pascual officially open El Nido boutique resort [ABS-CBN News, October 30, 2022]
Called Isla Amara, the boutique resort sits within the Lio Tourism Estate, which is just a minute walk from the Lio Beach.
NEDA guidelines for joint ventures out by year-end [The Philippine Star, October 30, 2022]
The National Economic and Development Authority (NEDA) is looking to issue the amended guidelines for joint venture agreements between the government and private entities within the fourth quarter as part of efforts to provide an enabling investment climate for businesses.
https://www.philstar.com/business/2022/10/30/2220197/neda-guidelines-joint-ventures-out-year-end
Tieza okays Tacloban’s bid to take over hotel built by Imelda [Inquirer Mobile, October 29, 2022]
Mark Lapid, chief operating officer of the Tieza, said they have no objections to the move of the city government to take over the Leyte Park Resort Hotel.
Who got richer? RSA, Sy-blings, Villar, EKR roar back in October [Bilyonaryo, October 29, 2022]
Here’s the rundown on the ultra bilyonaryo performance in October 2022:
SMC moves forward with Eagle takeover after PCC clearance [Inquirer Mobile, October 29, 2022]
Approval of the powerful Philippine Competition Commission (PCC) was a critical obstacle to the buyout of 88.5 percent of Eagle Cement, a listed firm controlled by Ang.
Basic Energy creates RE unit [The Philippine Star, October 29, 2022]
Basic Energy, in a stock exchange filing, said its board approved the incorporation of Basic Renewables Energy Corp.
https://www.philstar.com/business/2022/10/29/2219979/basic-energy-creates-re-unit
Puerto Princesa sets goal: P 300B in new investments [Inquirer Mobile, October 29, 2022]
“The P200 billion investment, we see that coming from the environmental estate alone,” Bayron said, referring to the more than 1,000-hectare Sta. Lucia Environmental Estate which is being positioned to become an ecotourism park and a major environmental hub.
SM opens 4th mall in Sorsogon [Philippine Star, October 29, 2022]
SM City Sorsogon, the Bicol region’s newest destination mall, opened yesterday, becoming SM Prime’s 81st supermall and the fourth in Bicolandia after SM City Naga in Camarines Sur, SM City Legazpi in Albay and SM City Daet in Camarines Norte.
https://www.philstar.com/headlines/2022/10/29/2220037/sm-opens-4th-mall-sorsogon
BPO firms given until end-’22 to move to BOI and keep perks [Philippine Daily Inquirer, October 28, 2022]
The Philippine Economic Zone Authority (Peza) has released supplementary guidelines for the transfer of registered business process outsourcing (BPO) firms to the Board of Investments (BOI), giving them until the end of the year to make the transition so they can keep their tax perks while under a work-from-home setup.
https://business.inquirer.net/370018/bpo-firms-given-until-end-22-to-move-to-boi-and-keep-perks
YouTube to certify health care providers’ accounts [ABS-CBN News, October 28, 2022]
Doctors, nurses, and other health care professionals can apply to have their YouTube channels certified, the video sharing platform said Thursday, in a push to limit misinformation on the site.
https://news.abs-cbn.com/business/10/28/22/youtube-to-certify-health-care-providers-accounts
About 50,000 Philippine Seafarers Might Lose Their Jobs On EU Vessels [Marine Insight, October 28, 2022]
The deployment of a host of new Filipino seafarers to the EU vessels and jobs of 50,000 others employed on EU-flagged vessels are at risk should the Philippines fail to comply with the International Convention on Standards of Training, Certification, and Watchkeeping for the Seafarers (STCW Convention), the House committee on overseas workers affairs got to know during a hearing that took place on Thursday.
Razon firm to supply Meralco with clean energy for 20 years [Inquirer Mobile, October 28, 2022]
Terra Solar Philippines Inc. of Prime Infra-led Terra Renewables Holdings Inc. signed a power supply agreement with Meralco for the delivery of 850 megawatts of mid-merit supply, or power that will be injected into the system when the baseload or main facilities fluctuate.
BEST ONLINE GAMBLING SITES IN THE PHILIPPINES [Analytics Insight, October 28, 2022]
There are a large number of secure and trustworthy online gambling sites available to Filipino gamers, albeit it may be time-consuming to navigate through them. To simplify the process, we’ve compiled a list of the finest online gambling sites in the Philippines that have been tested and shown to provide excellent experiences.
https://www.analyticsinsight.net/best-online-gambling-sites-in-the-philippines/
New Phinma leaders vow to keep core business strategy [Inquirer Mobile, October 28, 2022]
Phinma, whose businesses span education, property development, construction materials and hospitality, saw a major management revamp after Oscar Hilado stepped down as chair—a role he had held since 2003—and assumed the title of chair emeritus.
Manny Villar opens another mall in Iloilo [Bilyonaryo, October 28, 2022]
The Vista Mall is now open in Iloilo.
https://bilyonaryo.com/2022/10/28/manny-villar-opens-another-mall-in-iloilo/social/
Henry Sy Jr., Elon Musk team up for PH satellite internet [Inquirer Mobile, October 27, 2022]
Data Lake Inc., led by Sy and company chair Anthony Almeda, recently sealed an agreement with Musk’s Space Exploration Technologies Corp. (SpaceX), owner of Starlink broadband satellite.
Meralco unit in hot water over alleged contract breach: Mandaluyong condo residents seek reimbursement of P4M worth of FCRA payments [Bilyonaryo, October 27, 2022]
The California Garden Square Condominium Association (CSGSCAI) has filed a complaint against Meralco’s retail electricity supplier MPower with the Energy Regulatory Commission (ERC) for alleged breach of contract.
SC may reopen Marcos estate tax case [Philippine Daily Inquirer, October 27, 2022]
Chief Justice Alexander Gesmundo told reporters on Wednesday that “no decision is set in stone” when asked whether cases that had been decided with finality, such as the P203-billion estate tax liability of President Ferdinand Marcos Jr.’s family, could still be reopened.
https://newsinfo.inquirer.net/1685419/sc-may-reopen-marcos-tax-case
Henry Sy, Sr. learned financial literacy the hard way [Manila Bulletin, October 26, 2022]
At 12 years-old, he arrived in Manila with only 10 centavos in his pocket (worth about P120 in today’s money). While the amount was not much for a young boy in a big city, for Tatang, it was enough for the start he needed—not to start a business, but to start dreaming of a better future.
https://mb.com.ph/2022/10/26/henry-sy-sr-learned-financial-literacy-the-hard-way/
Major business groups back Pogo phaseout [Inquirer Mobile, October 26, 2022]
“The social and reputational costs of the government sponsorship of operations that are globally frowned upon far outweigh any economic benefits,” read the joint statement of public advocacy group Foundation for Economic Freedom (FEF), as well as the Makati Business Club (MBC) and the Management Association of the Philippines (MAP), adding that regulator oversight has been a problem for the past years.
BSP reviews P20-coin limit as legal tender [Manila Bulletin, October 26, 2022]
Under BSP Circular No. 537 which was adopted in 2006, the use of coins as payment have limits. For example, the P1, P5 and P10 coins will be considered as legal tender in amounts not exceeding P1,000. This means the public can pay up to P1,000 in coins using these three coin denominations.
https://mb.com.ph/2022/10/26/bsp-reviews-p20-coin-limit-as-legal-tender/
BIR joins AMLC in fight against dirty funds [Inquirer Mobile, October 25, 2022]
The Bureau of Internal Revenue (BIR) is working with the Anti-Money Laundering Council (AMLC) in the fight against dirty funds as the Philippines remains on the “grey list” of countries that are “under increased” monitoring by the France-based Financial Action Task Force (FATF).
Live in Muntinlupa? Groceries are delivered for free here [Manila Bulletin, October 25, 2022]
Celebrating its 30th anniversary, WalterMart Supermarket is offering free delivery for groceries purchased from waltermart.com for those who live in Muntinlupa.
https://mb.com.ph/2022/10/25/live-in-muntinlupa-groceries-are-delivered-for-free-here/
20 firms flagged for selling uncertified home appliances [Inquirer Mobile, October 25, 2022]
The DTI, through its fair-trade enforcement bureau, issued the notices during the seven-day enforcement operation that covered 50 firms in San Antonio, Don Galo, San Dionisio, Baclaran, Santo Niño, Don Bosco, San Martin de Porres, B. F. Homes, San Isidro, Sucat, and Multinational Village.
PEZA counting on more South Korean firms to set up shop in PH [Inquirer Mobile, October 25, 2022]
The Philippine Economic Zone Authority (Peza) is targeting more South Korean firms to set up shop in the country’s ecozones, with more investments in the manufacturing and electric vehicle industry expected following the signing of a bilateral trade deal in November.
2. SEC NOTICE ON PENALIZING MISLEADING, INACCURATE & INCOMPLETE INFORMATION IN THE COMPANY’S SUBMITTED REPORTS
In an Advisory posted on October 17, 2022, the Securities and Exchange Commission (SEC) has announced that effective November 2, 2022, reportorial requirements submitted by corporations using the Electronic Filing and Submission Tool (eFAST) shall be accepted and considered complete and accurate regardless of the forms and contents. Consequently, all inaccurate, incomplete, false, or misleading information on the submitted reports shall be penalized by the Compliance Monitoring Division (CMD) and/or other Operating Departments monitoring the reports in the amount of Php 20,000 to Php 200,000. If deemed to be “injurious or detrimental to the public,” the person or auditor may be punished with fines ranging from Php 40,000 to Php 400,000 pursuant to Section 162 of the Revised Corporation Code. Lastly, no report/s shall be returned to the filers for correction, as amendments shall no longer be allowed unless directed by the Commission. [SEC ADVISORY, OCTOBER 11, 2022]
3. BIR RULINGS ON THE EXTENT OF TAX EXEMPTION OF SOCIALIZED HOUSING PROJECTS, REASONABLE PRIVATE BENEFIT PLAN & DONATIONS TO THE GOVERNMENT
SOCIAL HOUSING PROJECTS THAT PROVIDE HOMES FOR THE UNDERPRIVILEGED ARE EXEMPT FROM PAYING TAXES
- Construction (J Co.) is requesting for exemption from payment of taxes in connection with the construction of the K Indigenous Peoples Student Dormitory (“K” indigenous Dorm). In reply, socialized housing is defined as housing projects and programs covering homes and lots or home lots only undertaken by the government or the private sector for the underprivileged and homeless citizens and shall include sites and service development, long-term financing, and other benefits pursuant to Section 20 of Republic Act (R.A.) No. 7279, otherwise known as the “Urban Development and Housing Act,” as amended by R.A. No. 10884 (Balanced Housing Development Program Amendments). In accordance with the tax incentives for the private sector under Section 20 of R.A. No. 7279, the construction by J. Co of “K” Indigenous Dorm does not meet the definition of socialized housing since the grant of exemption is limited and with the view to reduce the cost of housing units for the benefit of underprivileged and homeless. Likewise, the VAT exemption under Section 20 of R.A. 7279 was already repealed by Sections 86 (tt) and (uu) of R.A. 10963, otherwise known as the “Tax Reform for Acceleration and Inclusion” (TRAIN) Law. Consequently, the request for tax exemption from project-related income tax and Value-Added Tax (VAT) is DENIED. [BIR RULING NO. 404-2022, OCTOBER 5, 2022]
[EXEMPTION FROM CAPITAL GAINS TAX ON SALE OF INVESTMENT SHARES] [INCOME TAX EXEMPTION OF A REASONABLE PRIVATE RETIREMENT BENEFIT PLAN INCLUDES FINAL & WITHHOLDING TAXES]
H Co., a domestic corporation engaged in the business of manufacturing all kinds of cement products, is requesting a confirmatory ruling on whether the income earned from the sale of its shares in C Co. to H B.V. is exempt from income tax, including Capital Gains Tax (CGT), pursuant to Section 60 (B) of the 1997 Tax Code, as amended. As represented, H Co. has a Retirement Fund, governed by the Retirement Plan Rules and Regulations, as amended by the 2000 and 2009 Amendments (“Plan Rules”). The Bureau confirmed that the amendments made remain qualified as a reasonable retirement plan, thus, eligible for tax exemptions as well as exempt from 20% final tax on interest income under Section 32 (B)(6)(a) of the 1997 Tax Code, as amended. Currently, A Co. acts as the trustee for H Co’s Retirement Fund, which includes shares in C Co. that were subsequently sold to H B.V., resulting in a capital gain. In reply, the Bureau confirmed its position that H Co.’s Plan Rules remain a reasonable retirement plan within the contemplation of Section 32 (B)(6)(a) of the 1997 Tax Code, as amended. Further, Section 60(B) of the same Code specifically exempted employees’ trust from income tax and consequently from withholding tax. Thus, the income generated from the sale of its shares in C Co. to H Co. is exempt from CGT under Section 27 (D)(2) of the 1997 Tax Code, as amended. However, H Co. shall be subject to Stock Transaction Tax and Documentary Stamp Tax (DST) if the said shares of stock are listed on the local stock exchange. [BIR RULING NO. 393-2022, SEPTEMBER 23, 2022]
DONATIONS MADE TO ANY GOVERNMENT AGENCIES & ITS PROGRAMS ARE EXEMPT FROM DONOR’S TAX
The Department of Science and Technology (DOST) is requesting a ruling that will govern the availment of tax incentives available to donors in connection with the official science broadcast program of the DOSTv. As represented, DOSTv is included in the National Economic and Development Authority’s (“NEDA”) National Priority Plan (“NPP”) for the years 2019-2022. In reply, Section 101 of the 1997 Tax Code, as amended, exempts from donor’s tax gifts or donations made to or for the use of the National Government or any entity created by any of its agencies that is not conducted for profit or any political subdivision of the government. Likewise, contributions or donations made to the national government or any of its agencies are fully deductible from the donor’s gross income under Section 34(H) of the 1997 Tax Code, as amended. If gifts or donations are not included in the NEDA IPP, the deductions shall be limited to the limitations provided for by law (i.e., 10% for individual or 5% for corporation based on the taxable income). In conclusion, donations are exempt from the donor’s tax and can be claimed as full deductible on the part of the donor. [BIR RULING NO. 391-2022, SEPTEMBER 19, 2022]
Recent Comments