BIR issues guidelines on the classification of taxpayers under EOPT Law
Other Relevant Tax Updates:
- TAX & BUSINESS-RELATED NEWS [SEPTEMBER 3-9]
- BIR CLARIFIES CERTAIN ISSUES RELATIVE TO THE CLASSIFICATION OF BUSINESS TAXPAYERS UNDER EOPT ACT
- BIR AMENDS OFFICE AUDIT THRESHOLD
- SEC GRANTS INCENTIVES FOR CORPORATIONS TO COMPLY WITH REPORTORIAL REQUIREMENTS
I. TAX & BUSINESS-RELATED NEWS [SEPTEMBER 3-9]
- ERC chief exploring legal options amid 6-month suspension
- SC: Bangsamoro law constitutional but Sulu not part of BARMM
- Mindanao university ordered to close law programs
- One hour of work in 1 week is employed? Group hits gov’t definition of employment
- PCCI: Suspend PhilHealth premium hike, raise benefits
- Apeco gets seal of approval to become PH’s nat’l defense hub
- NAIA passengers to pay higher fees next year
- Tagaytay resto earns flak for statement on viral aspin incident
- LGUs to receive P21 billion share in tobacco tax
- MPIC rebrands wastewater unit
- Zamboanga del Sur, Pagadian execs in P1-B land sale dispute
- 6 new ecozones with initial P5-B project cost await proclamation
- Metro Pacific Tollways confirms ‘limited data breach’, says Easytrip funds ‘intact, secure’
- Australia bares 2025 growth plan for Philippines
- Jollibee set to challenge McCafe, brews up JolliBrews
- US Embassy to open new visa application center in Parañaque City
- BOC shuts down Valenzuela gas station with P3.1M unmarked fuel
- CNPF investing $40 million in Misamis coco facility
- SC voids Marcos Sr.-PTA lease contract for Paoay property
- Congress urged to amend PH’s digital laws, make them ‘more relevant’
- MTRCB says hands tied on Vivamax, other online-generated content
- SMC wins legal tussle vs ERC on power deal
II. BIR CLARIFIES CERTAIN ISSUES RELATIVE TO THE CLASSIFICATION OF BUSINESS TAXPAYERS UNDER EOPT ACT
Revenue Memorandum Order (RMO) No. 37-2024 issued on September 4, 2024, prescribes the policies, guidelines, and procedures for classifying business taxpayers pursuant to Revenue Regulations (RR) No. 8-2024 in relation to Section 47 of Republic Act (R.A.) No. 11976 or the Ease of Paying Taxes (EOPT) Act.
Highlights include the guidelines and procedures in the initial classification as well as the reclassification of taxpayers already registered with the BIR.
III. BIR AMENDS OFFICE AUDIT THRESHOLD
Revenue Memorandum Order (RMO) No. 36-2024 issued on September 4, 2024, amends RMO No. 1-2021 to prescribe the gross sales threshold for cases audited by the Office Audit Section under the Assessment Division in Regional Offices.
IV. SEC GRANTS INCENTIVES FOR CORPORATIONS TO COMPLY WITH REPORTORIAL REQUIREMENTS
SEC Memorandum Circular (MC) No. 13, Series of 2024, posted on August 30, 2024, adopts an Enhanced Compliance Incentive Plan (ECIP) which rolls out an incentive program that allows corporations, which have failed to submit their annual reports on time, to restore their good standing.
Highlights include:
a. Non-compliant corporations, including those placed under “delinquent” status, may settle their unassessed or unpaid fines and penalties for Php 20,000 only.
b. Suspended and revoked corporations, including those with pending Petitions for the Lifting of the Suspension or Revocation Order issued against them, may settle only 50% of their assessed fines and pay the petition fee of Php 3,060.
c. Covered violations include:
- Non-filing of General Information Sheet (GIS) for the latest and prior years
- Late filing of GIS for the latest and prior years
- Non-filing of Financial Statements (AFS), whether audited or certified, including fines for the non-filing of the attachments required for certain corporations, for the latest and prior years
- Late filing of AFS, including fines for the late filing of the attachments required for certain corporations, for the latest and prior years
- Violations under SEC Memorandum Circular No. 28, Series of 2020, which requires all entities registered with the Commission to designate and submit their official and alternative email addresses and mobile phone numbers.
d. Applications of non-compliant, suspended and revoked corporations for ECIP may be submitted starting September 2, 2024, and until November 30, 2024.
e. Eligible and disqualified corporations
f. Application process
ERC chief exploring legal options amid 6-month suspension [The Philippine Star, September 10, 2024]
She also confirmed in a statement yesterday that her office received the suspension order, which stemmed from an administrative complaint the National Association of Electricity Consumers for Reforms filed in November 2023.
SC: Bangsamoro law constitutional but Sulu not part of BARMM [GMA News Online, September 9, 2024]
“The Court ruled that the Bangsamoro Organic Law is constitutional because it does not make BARMM a separate state from the Philippines,” said SC spokesperson Camille Ting in a press conference on Monday.
Mindanao university ordered to close law programs [The Philippine Star, September 9, 2024]
The Legal Education Board (LEB) has ordered the Mindanao State University to close its law programs in all its campuses starting academic year 2025-2026 after it approved a resolution canceling MSU’s accreditation.
https://www.philstar.com/nation/2024/09/09/2383816/mindanao-university-ordered-close-law-programs
One hour of work in 1 week is employed? Group hits gov’t definition of employment [ABS-CBN News, September 9, 2024]
The Center for Trade Union and Human Rights (CTUHR) said it was dismayed that the Labor Department counts someone who worked for just one hour in a week as already employed. The group said the definition is harmful to the labor and human rights of Filipinos as one hour of employment does not amount to decent work.
PCCI: Suspend PhilHealth premium hike, raise benefits [The Philippine Star, September 9, 2024]
“PhilHealth has shown its solvency. It does not need another rate hike to sustain its operations and services to its members, it needs efficient management of its funds,” Mangio said.
Apeco gets seal of approval to become PH’s nat’l defense hub [Philippine Daily Inquirer, September 9, 2024]
“Casiguran’s locational advantage coupled with natural barriers provided by the Sierra Madre Mountain Range and the San Ildefonso Peninsula makes Apeco the perfect nexus of the country’s defense industry,” the Apeco said further.
https://business.inquirer.net/479144/apeco-gets-seal-of-approval-to-become-phs-natl-defense-hub
NAIA passengers to pay higher fees next year [The Philippine Star, September 9, 2024]
Travelers would have to pay more when flying out of the NAIA starting next year, as outlined under the Manila International Airport Authority (MIAA) Revised Administrative Order (AO) 1, Series of 2024, a copy of which was obtained by The STAR.
https://www.philstar.com/business/2024/09/09/2383801/naia-passengers-pay-higher-fees-next-year
Tagaytay resto earns flak for statement on viral aspin incident [interaksyon, September 9, 2024]
Dog owner Lara Antonio shared her experience on Sunday, September 8, when she and her pets Yoda and Ari visited Balay Dako, a large Filipino restaurant with a view of Taal Volcano.
LGUs to receive P21 billion share in tobacco tax [The Philippine Star, September 9, 2024]
Based on the law, 15 percent of the collection from excise taxes on locally manufactured Virginia-type cigarettes but not exceeding P17 billion will be allocated to the beneficiary provinces pro-rata according to the volume of production.
https://www.philstar.com/business/2024/09/09/2383793/lgus-receive-p21-billion-share-tobacco-tax
MPIC rebrands wastewater unit [The Philippine Star, September 9, 2024]
MPIC has rebranded Ecosystem Technologies International Inc. (ESTII), a company engaged in the business of designing, supplying, constructing, installing as well as operating and maintaining wastewater and sewage treatment plant facilities, into a new water and wastewater technology company called Metro Pacific Water Solutions.
https://qa.philstar.com/business/2024/09/09/2383792/mpic-rebrands-wastewater-unit
Zamboanga del Sur, Pagadian execs in P1-B land sale dispute [InquirerPlus, September 8, 2024]
- Victor Yu and Pagadian Mayor Samuel Co had clashed over the sale of the property at the heart of this city’s urban center, which is now currently undergoing commercial development by Robinsons Land Development Corp.
https://plus.inquirer.net/news/zambo-sur-gov-pagadian-mayor-clash-over-land-sold-for-p1b/
6 new ecozones with initial P5-B project cost await proclamation [Philippine News Agency, September 8, 2024]
The ecozones are two in Cavite province and one each in the provinces of Pampanga, Tarlac, Ilocos Sur, and Cebu, PEZA said in a statement Sunday.
https://www.pna.gov.ph/articles/1232884
Metro Pacific Tollways confirms ‘limited data breach’, says Easytrip funds ‘intact, secure’ [ABS-CBN News, September 8, 2024]
“Some user accounts may have been accessed and possibly compromised” in the data break that took place on Saturday night, the MPTC said on Facebook.
Australia bares 2025 growth plan for Philippines [The Philippine Star, September 8, 2024]
The Australian government is looking to launch by early next year a program that will involve providing A$45 million (P1.69 billion) for the Philippines to boost trade and investments.
https://www.philstar.com/business/2024/09/08/2383556/australia-bares-2025-growth-plan-philippines
Jollibee set to challenge McCafe, brews up JolliBrews [The Philippine Star, September 7, 2024]
Jollibee Foods Corp. (JFC) is brewing something big for its customers in the Philippines – a café brand that could potentially go head-to-head with that of competitor McDonald’s.
https://www.philstar.com/business/2024/09/07/2383337/jollibee-set-challenge-mccafe-brews-jollibrews
US Embassy to open new visa application center in Parañaque City [GMA News Online, September 6, 2024]
The latest VAC is located at Parqal Building 8, Level 3, Diosdado Macapagal Boulevard, Barangay Tambo.
BOC shuts down Valenzuela gas station with P3.1M unmarked fuel [GMA News Online, September 6, 2024]
Fuel markers are used to guarantee product integrity and protect against counterfeiting and tax fraud.
CNPF investing $40 million in Misamis coco facility [Manila Bulletin, September 5, 2024]
Century Pacific Food, Inc. is investing $40 million to acquire 100 percent of Coco Harvest Inc. and improve its coconut processing facility in Misamis Occidental, Mindanao, Philippines.
https://mb.com.ph/2023/2/10/cnpf-investing-40-million-for-misamis-coco-facility
SC voids Marcos Sr.-PTA lease contract for Paoay property [GMA News Online, September 5, 2024]
In a 55-page decision promulgated in November 2023, the SC En Banc declared void for being unconstitutional a 1978 Lease Contract between Marcos Sr. and the PTA, now the Tourism Infrastructure and Enterprise Zone Authority.
Congress urged to amend PH’s digital laws, make them ‘more relevant’ [GMA News Online, September 4, 2024]
Lawmakers should look into the country’s digital laws and amend them to address current cyber-related issues such as artificial intelligence, a former official said Tuesday.
MTRCB says hands tied on Vivamax, other online-generated content [Inquirer.Net, September 3, 2024]
The regulation of social media or online-generated content from streaming platforms such as Netflix and Vivamax is “humanly impossible” and not part of the Movie and Television Review and Classification Board’s (MTRCB) mandate, according to its chairman, Lala Sotto-Antonio.
SMC wins legal tussle vs ERC on power deal [Philippine Daily Inquirer, September 3, 2024]
The energy arm of tycoon Ramon Ang gained victory after the Supreme Court rejected “with finality” the energy regulator’s plea against the termination of the supply contract between San Miguel Corp. and Manila Electric Co. (Meralco).
https://business.inquirer.net/477973/smc-wins-legal-tussle-vs-erc-on-power-deal
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