THESE ARE THE COUNTRIES WHERE PEOPLE PAY THE HIGHEST INCOME TAX
Relevant Highlights:
- TAX & BUSINESS-RELATED NEWS [APRIL 4-10]
- SUPREME COURT DECISION ON WHAT DETERMINES REGULAR EMPLOYMENT
- SEC LAUNCHES PORTAL FOR AMENDMENT OF INCORPORATION PAPERS
1. TAX & BUSINESS-RELATED NEWS [APRIL 4-10]
- SC upholds order for firm to vacate John Hay ecozone
- P738 million Ilocos Sur-Sagada road on track to open by 2026
- Boracay land ownership proposed in House bill
- Trump Media’s Accounting Firm Has Audit Deficiency History
- New airline landing soon at Clark
- Security Bank, Mitsubishi tie up to help finance new car purchases
- Spain to scrap ‘golden visa’ program
- First in PH: Hotel 101 gets ticket to Nasdaq
- Building owners urged to ditch fees for indoor telco facilities
- These are the countries where people pay the highest income tax
- Digital banks’ bad loans continue to pile up
- Hotel built by Imelda Marcos in Leyte ends operations
- 50% up: Sy-blings, Ty-blings book P500 million profit from ultra-luxury condo in Makati
- ‘Panama Papers’ trial to begin eight years after tax scandal
- 5,000 new jobs await Pinoys at future Batangas plant
- New Cavite ecozone seen luring P1.8B in investments
- NGCP to formally switch on Visayas power interlink
- BIR raids 3 Cavite warehouses, confiscates P5.4-B illicit cigarettes
- Marcos says he’s inclined to sign Negros Island Region bill
- Philippine employers warned against inflating job titles
- COA: Mountain Province LGU awarded projects to banned firm
- ‘Traders divert imported fish to evade VAT’
- GSIS, PNB allot P1.2 billion for affordable housing
- Unregistered entities may face more stringent AMLC sanctions
- 4 million seniors benefit: Marcos government doubles social pension budget for 2024
- Enrique Razon’s Bloomberry Resorts Wins Awards Ahead of Solaire Resort North Opening
- Japan firm starts P2.3 billion Subic expansion
- Public accountants’ group to transform Mandaluyong office into green complex
- Lone bidder bags contract to build micro power grids
- World Bank recommends review of VAT exemptions
2. SUPREME COURT DECISION ON WHAT DETERMINES REGULAR EMPLOYMENT
WHAT DETERMINES REGULAR EMPLOYMENT IS THE REASONABLE CONNECTION BETWEEN WORK PERFORMED BY THE EMPLOYEE & THE USUAL BUSINESS OR TRADE OF THE EMPLOYER
Petitioners Manggagawa sa Komunikasyon ng Pilipinas (MKP), PLDT, Inc. (PLDT), and Silvestre Bello III, in his capacity as then Secretary of Department of Labor and Employment (Sec. Bello) filed their respective Petitions for Review on Certiorari assailing the earlier Decision and Resolution of the Court of Appeals (CA). MKP claimed that the CA erred in holding that the specific group of contracted workers that perform work not “directly related to the core activities” of PLDT, such as janitors and security guards, among others, cannot be regularized by PLDT. On the other hand, PLDT asserted that the CA erred in upholding the regularization of the contractors’ workers performing installation, repair, and maintenance services. Meanwhile, Sec. Bello argued that his finding that PLDT was engaged in labor-only contracting is strongly supported by the fact that PLDT was exercising control over the workers of the contractors. In ruling, the Court clarified that labor contracting is not illegal per se. The fact that PLDT had contracted out specific jobs, works, or services does not automatically mean that the contractors’ employees are the direct employees of PLDT. The Court also agreed with the CA that the ruling of the Regional Director was highly conjectural as it was based mainly on anecdotal evidence, i.e., the interviews conducted by the Labor Law Compliance Officers of not more than a thousand individuals, which figure also includes regular PLDT employees, but results of which were made to apply to at least 7,344 employees. The evidence relied upon by Sec. Bello failed to establish, among others, labor-only contracting and other illicit forms of employment arrangements. The Court is also in accord with the CA’s pronouncements that Sec. Bello mistook PLDT’s exercise of its power to control the results which control as to the means and methods of achieving the said results. The Court, nevertheless, sustained the CA’s findings that the workers engaged in installation, repair, and maintenance services of PLDT lines need to be regularized because they perform tasks that are necessary and desirable, and directly related to the business of PLDT. The computation of the monetary awards, to which PLDT and the erring contractors are solidarily liable, needs to be revisited. Consequently, the Petitions were DISMISSED. The Decision and Resolution of CA were AFFIRMED, and the Resolution of Sec. Bello was MODIFIED. Sec. Bello’s Order to regularize the workers of PLDT’s service contractors was SET ASIDE, except those performing installation, repair, and maintenance services, who are hereby declared regular employees of PLDT subject to the terms of the REMAND. [MANGGAGAWA SA KOMUNIKASYON NG PILIPINAS VS. PLDT, INC., G.R. NO. 244695; PLDT, INC. VS. HON. SECRETARY OF LABOR & EMPLOYEMENT SILVESTRE H. BELLO III; & MANGGAGAWA SA KOMUNIKASYON NG PILIPINAS, G.R. NO. 244752; & SILVESTRE H. BELLO III, IN HIS CAPACITY AS THE SECRETARY OF THE DEPARTMENT OF LABOR & EMPLOYMENT VS. PLDT, INC., G.R. NO. 245294, FEBRUARY 14, 2024, UPLOADED MARCH 7, 2024]
3. SEC LAUNCHES PORTAL FOR AMENDMENT OF INCORPORATION PAPERS
SEC Memorandum Circular (MC) No. 3, Series of 2024, posted on February 19, 2024, sets the guidelines on the use of the Electronic Application for Modification of Entity Data (eAMEND) Portal.
Starting February 23, 2024, applications for amendments to a corporation’s Articles of Incorporation and/or By-Laws shall be made through the eAMEND Portal, in line with the Commission’s shift to electronic filing, mandated under Republic Act No. 11232, or the Revised Corporation Code of the Philippines.
Highlights include the kinds of application that will be issued with digital certificate and those to be given original certification along with the supporting documentations and process involved.
The Supreme Court (SC) has upheld an arbitral ruling ordering the Camp John Hay Development Corporation to vacate a portion of the John Hay Special Economic Zone (John Hay SEZ) that it leased from the Bases Conversion Development Authority (BCDA).
P738 million Ilocos Sur-Sagada road on track to open by 2026 [The Philippine Star, April 10, 2024]
In an update, DPWH regional director Ronnel Tan said the agency has completed 43 percent of the Ilocos Sur segment of the Cervantes-Besao-Sagada Road, putting it on schedule to be opened by 2026.
Boracay land ownership proposed in House bill [GMA News Online, April 10, 2024]
Haresco argued said that his proposal is consistent with Presidential Proclamation 1064 by then President Gloria Arroyo in 2006 which divided Boracay island to two classifications: 377.68 hectares of reserved forest land for protection purposes and 628.96 hectares of agricultural land (alienable and disposable land).
Trump Media’s Accounting Firm Has Audit Deficiency History [Yahoo, Finance, April 9, 2024]
The Washington-based audit regulator found problems with the firm’s testing procedures for bedrock measures such as revenue and accounts receivable, among other issues.
https://finance.yahoo.com/news/trump-media-accounting-firm-history-150150627.html?guccounter=1
New airline landing soon at Clark [Inquirer Mobile, April 9, 2024]
Recently, budget carrier Jetstar Asia announced it would launch direct flights between Clark and Singapore starting June. Boutique airline Sunlight Air, meanwhile, just relocated its hub to Pampanga from Ninoy Aquino International Airport earlier this month.
Security Bank, Mitsubishi tie up to help finance new car purchases [Inquirer Mobile, April 9, 2024]
Tycoon Frederick Dy’s Security Bank Corp. is forming a venture with Japanese giant Mitsubishi Motors Corp. that will provide motor vehicle financial services amid the growing demand for new cars.
Spain to scrap ‘golden visa’ program [Inquirer.Net, April 9, 2024]
Spain’s government said Monday it plans to scrap so-called “golden visas” that allow wealthy people from outside the European Union to obtain residency permits on investing more than half a million euros (dollars) in real estate.
https://business.inquirer.net/453933/spain-to-scrap-golden-visa-program
First in PH: Hotel 101 gets ticket to Nasdaq [Inquirer Mobile, April 9, 2024]
Hotel101 Global Pte. Ltd., the Singapore-based unit of DoubleDragon Corp., is set to merge with Nasdaq Stock Exchange-listed JVSPAC Acquisition Corp., a deal that is expected to unlock $2.3 billion in valuation for the hotel chain developer that aims to be the first Filipino company to list on the tech-heavy American bourse.
Building owners urged to ditch fees for indoor telco facilities [Philippine Daily Inquirer, April 9, 2024]
Ayala-led Globe Telecom Inc. said real property developers should scrap lease fees for the installation of telecommunication facilities in buildings, stressing that connectivity is as crucial as other basic utilities like water and electricity.
https://business.inquirer.net/453878/building-owners-urged-to-ditch-fees-for-indoor-telco-facilities
These are the countries where people pay the highest income tax [Stars Insider, April 8, 2024]
Governments run on taxes, which is one of the major means of capital generation for a country. Income tax helps fund public services, provide goods for citizens, and pay for government obligations. While the amount varies from country to country, most nations’ personal income taxes have a progressive tax structure. This means the tax rate paid by individuals increases as they earn higher wages.
Digital banks’ bad loans continue to pile up [Philippine Daily Inquirer, April 8, 2024]
Data from the Bangko Sentral ng Pilipinas (BSP) showed that the digital banks’ nonperforming loans (NPL)-borrowings that are more than 90 days late on a payment—accounted for 21.64 percent of the sector’s total loan book, higher than the 20.95 percent ratio in January.
https://business.inquirer.net/453719/digital-banks-bad-loans-continue-to-pile-up
Hotel built by Imelda Marcos in Leyte ends operations [Philippine Daily Inquirer, April 8, 2024]
The Oriental Leyte Hotel, a premier hotel formerly owned by former first lady Imelda Marcos and leased by a private company from the Leyte provincial government, has ceased operations after almost 12 years since it reopened under a new management.
https://newsinfo.inquirer.net/1927368/hotel-built-by-imelda-marcos-in-leyte-ends-operations
50% up: Sy-blings, Ty-blings book P500 million profit from ultra-luxury condo in Makati [Bilyonaryo, April 8, 2024]
The 54-storey cruciform structure designed by renowned British architectural firm Foster+Partners has only 188 units for sale with only four flats to a floor.
‘Panama Papers’ trial to begin eight years after tax scandal [ABS-CBN News, April 8, 2024]
Twenty-seven people are set to go on trial on Monday for money laundering in connection with the “Panama Papers” tax evasion scandal, which revealed how many of the world’s wealthy stashed assets in offshore companies.
5,000 new jobs await Pinoys at future Batangas plant [Philippine Daily Inquirer, April 8, 2024]
The EMS Group of Companies is partnering with a European firm to set up a Batangas production plant for goods targeting female consumers, a venture expected to create up to 5,000 new jobs.
https://business.inquirer.net/453722/5000-new-jobs-await-pinoys-at-future-batangas-plant
New Cavite ecozone seen luring P1.8B in investments [Philippine Daily Inquirer, April 8, 2024]
The investment promotion agency told the Inquirer that the prospective value of investments is P1.838 billion for the 40.4-hectare MetroCas Industrial Estates Special Economic Zone, which will rise in Barangay Calibuyo in Tanza, Cavite.
https://business.inquirer.net/453756/new-cavite-ecozone-seen-luring-p1-8b-in-investments
NGCP to formally switch on Visayas power interlink [Cebu Daily News, April 8, 2024]
The National Grid Corp. of the Philippines (NGCP) will formally switch on Monday, April 8, the 230-kilovolt Cebu-Negros-Panay Stage 3 interconnection project, which is designed to enhance the reliability of the country’s power grid.
https://cebudailynews.inquirer.net/566777/ngcp-to-formally-switch-on-visayas-power-interlink
BIR raids 3 Cavite warehouses, confiscates P5.4-B illicit cigarettes [Philippine News Agency, April 8, 2024]
“This is one of the largest raids against illicit cigarettes in the history of the BIR, having an estimate of PHP5.4 billion in total tax liability. The BIR will continue targeting these large-scale illicit cigarette traders. We advise everyone to register their cigarette operations with the BIR and to pay proper excise taxes on those products,” said BIR Commissioner Romeo Lumagui Jr.
https://www.pna.gov.ph/articles/1222223
Marcos says he’s inclined to sign Negros Island Region bill [Inquirer.Net, April 8, 2024]
President Ferdinand Marcos Jr. on Monday said he is likely to sign the Negros Island Region (NIR) bill, uniting the Negros Occidental and Negros Oriental.
https://newsinfo.inquirer.net/1927560/marcos-says-hes-inclined-to-sign-negros-island-region-bill
Philippine employers warned against inflating job titles [The Philippine Star, April 7, 2024]
Job title inflation refers to the practice of exaggerating job titles to make it seem glamorous or more important than it actually is. This practice may not accurately describe the responsibilities, seniority or even the salary of the position.
COA: Mountain Province LGU awarded projects to banned firm [The Philippine Star, April 7, 2024]
“The failure to conduct a thorough post-qualification check during procurement activities resulted in the award of two projects with total contract cost of P8.315 million for the implementation of small-scale irrigation projects received from the Department of Agriculture (DA) to a blacklisted construction firm,” the audit report read.
‘Traders divert imported fish to evade VAT’ [The Philippine Star, April 6, 2024]
Agriculture Secretary Francisco Tiu Laurel Jr. said that some “crafty” importers sold some of their frozen imported fish inventory to the wet markets, where the sale of marine products is exempt from VAT.
https://www.philstar.com/business/2024/04/06/2345572/traders-divert-imported-fish-evade-vat
GSIS, PNB allot P1.2 billion for affordable housing [The Philippine Star, April 6, 2024]
In a statement, GSIS said it inked an agreement with PNB that would grant real estate developer P.A. Alvarez Properties and Development Corp. a P1.2-billion note facility.
https://www.philstar.com/business/2024/04/06/2345575/gsis-pnb-allot-p12-billion-affordable-housing
Unregistered entities may face more stringent AMLC sanctions [The Philippine Star, April 6, 2024]
Unregistered designated non-financial businesses and professions (DNFBPs) that failed to register on time could face more stringent sanctions from the financial intelligence unit, according to the Anti-Money Laundering Council (AMLC).
4 million seniors benefit: Marcos government doubles social pension budget for 2024 [Bilyonaryo, April 5, 2024]
As mandated by Republic Act No. 11916, beneficiaries of the SPISC Program are to receive an enhanced monthly stipend of P1,000 this year.
Enrique Razon’s Bloomberry Resorts Wins Awards Ahead of Solaire Resort North Opening [Esquire Philippines, April 5, 2024]
Bloomberry Resorts was recognized Best Gaming Operator, beating other regional players like Galaxy Entertainment Group, Las Vegas Sands, MGM China, and Hann Resorts. Criteria for the award in the gaming industry include corporate governance; financial performance; strategy, vision, and implementation; brand recognition; and customer loyalty.
Japan firm starts P2.3 billion Subic expansion [The Philippine Star, April 4, 2024]
Sanyo Denki was among the very few Subic locators allowed to continuously operate during the COVID-19 pandemic that was under enhanced community quarantine conditions to build cooling fans for the ventilators used for COVID-19 patients.
https://www.philstar.com/business/2024/04/04/2345052/japan-firm-starts-p23-billion-subic-expansion
Public accountants’ group to transform Mandaluyong office into green complex [Manila Standard, April 4, 2024]
PICPA members can support the initiative by donating for naming rights in the various gardens planned for the compound. These include a healing garden, wall garden, hanging garden, box garden and hedge garden.
Lone bidder bags contract to build micro power grids [Philippine Daily Inquirer, April 4, 2024]
A consortium of Philippine and Singaporean companies was granted a contract to provide through microgrid systems round-the-clock electricity supply to eight unserved areas in the provinces of Cebu, Quezon and Palawan, according to the Department of Energy (DOE).
https://business.inquirer.net/453229/lone-bidder-bags-contract-to-build-micro-power-grids
World Bank recommends review of VAT exemptions [The Philippine Star, April 4, 2024]
Based on a 2018 study conducted by the World Bank, forgone revenues from VAT exemptions and incentives are estimated to reach as high as P539 billion.
https://www.philstar.com/business/2024/04/04/2345072/world-bank-recommends-review-vat-exemptions
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