TAX & BUSINESS-RELATED NEWS [MARCH 14-15] BIR CLARIFIES ISSUES RELATIVE TO RR 21-2021 IMPLEMENTING THE VAT ZERO-RATING AMENDMENTS INTRODUCED UNDER TRAIN & CREATE LAWS BIR CLARIFIES THE SUSPENSION OF INCOME TAX INCENTIVES GRANTED TO ALL IT-BPM RBEs FOR VIOLATION OF WFH THRESHOLD AS PRESCRIBED BY FIRB TAX & BUSINESS-RELATED NEWS [MARCH 12-13] SEC ISSUES GUIDELINES ON THE DISQUALIFICATION OF DIRECTORS, TRUSTEES & OFFICERS PURSUANT TO THE REVISED CORPORATION CODE OF THE PHILIPPINES CTA CASES DIGEST TAX & BUSINESS-RELATED NEWS [MARCH 8-11]
| 1. TAX & BUSINESS-RELATED NEWS [MARCH 14-15] | | Peza tells BPOs: Return to your offices while we pursue WFH appeal LRT-1 Cavite extension gears up for 2024 start of operations Online marketplaces warned vs selling prohibited goods More foreign investors entering PH sans perks, says DOF Frozen pork stocks continue decline Leyte-based rural bank closed down SEC to firms: allow remote stockholders, board meetings beyond pandemic PH tax rules need to 'catch up' with growing online, freelance workforce: lawmaker Ipophl extends PCT filing assistance Nickel producers in Philippines to benefit from soaring prices: Fitch Solutions
| 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. | Peza tells BPOs: Return to your offices while we pursue WFH appeal [Inquirer Mobile, March 15, 2022] “For the meantime, I call on our enterprises to follow the decision of the FIRB to avoid any penalties,” she added, while noting they also wanted the FIRB to consider a hybrid working scheme whereby 40 to 60 percent of the industry would work from home (WFH). LRT-1 Cavite extension gears up for 2024 start of operations [Inquirer Mobile, March 15, 2022] Elevated railway operator Light Rail Manila Corp. (LRMC) expects to start operating the 11.7-kilometer Cavite extension of the Light Railway Transit-1 (LRT-1) by 2024, benefiting suburban residents who commute daily to work in Metro Manila. Online marketplaces warned vs selling prohibited goods [Inquirer Mobile, March 15, 2022] Government agencies, including the DTI, had issued a joint order that compiled all existing rules on online businesses. In a statement on Monday, DTI said the order provides a ‘non-exhaustive’ list of at least 50 categories of products that were prohibited or regulated. More foreign investors entering PH sans perks, says DOF [Inquirer Mobile, March 15, 2022] Rising foreign direct investment (FDI) flows despite tax perk-seeking projects trending lower meant that more foreign investors in the Philippines were no longer in need of fiscal support, the Department of Finance (DOF) said. Frozen pork stocks continue decline [Inquirer Mobile, March 15, 2022] “We shall also see more local pork as many have repopulated last year and started to sell their fatteners this year,” Chester Warren Tan, president of the National Federation of Hog Farmers Inc., told the Inquirer in a text message. Leyte-based rural bank closed down [The Manila Times, March 14, 2022] In a weekend circular, the PDIC said that the Monetary Board of the central bank had ordered the liquidation of Rural Bank of Mahaplag in a decision dated March 10 this year. SEC to firms: allow remote stockholders, board meetings beyond pandemic [Inquirer Mobile, March 14, 2022] As the Philippines starts to shift to a postpandemic way of life, the Securities and Exchange Commission (SEC) has called on corporations to allow shareholders or members to participate in meetings virtually, not just an interim measure but as an alternative mode moving forward. PH tax rules need to 'catch up' with growing online, freelance workforce: lawmaker [ABS-CBN News, March 14, 2022] In a meeting with the Trade Department, House Committee on Ways and Means Chairman and Albay 2nd District Rep. Joey Salceda said online workers are being taxed by as much as 25 percent in other countries, which should not be the case under the Philippines' existing treaties. Ipophl extends PCT filing assistance [The Manila Times, March 14, 2022] The Intellectual Property Office of the Philippines (Ipophl) has extended the Patent Cooperation Treaty (PCT) System Filing Assistance program until the end of the year. Nickel producers in Philippines to benefit from soaring prices: Fitch Solutions [ABS-CBN News, March 14, 2022] Fitch Solutions on Monday said soaring prices of nickel could be beneficial for other producers such as the Philippines and Indonesia as the tension between Russia and Ukraine drags on. | 2. BIR CLARIFIES ISSUES RELATIVE TO RR 21-2021 IMPLEMENTING THE VAT ZERO-RATING AMENDMENTS INTRODUCED UNDER TRAIN & CREATE LAWS | Revenue Memorandum Circular (RMC) No. 24-2022, issued on March 9, 2022, clarifies certain issues relative to Revenue Regulations (RR) No. 21-2021 implementing the amendments to the Value-Added Tax (VAT) zero rating provisions under Sections 106 and 108 of the 1997 Tax Code in relation to the amendments introduced under CREATE Law, specifically on the effectivity of the VAT treatment of transactions by Registered Business Enterprises (RBEs) and the transitory provision of the said revenue regulations. Highlights include:
a. "Cross Border Doctrine" as applied to Ecozones or Freeport Zones has been rendered ineffectual and inoperative for VAT purposes with the passage of CREATE Act because of the following: Passage of CREATE Law expressly providing that only those goods and services that are directly and exclusively used in the registered project or activity of RBEs qualify as VAT 0% local purchases Setting of parameters for the availment of VAT zero-rating on local purchases of Registered Export Enterprises (REE), regardless of location under CREATE Law Issuance of RR No. 21-2021, amending Sections 4.106-5(b) and of RR No. 16- 2005, as amended, to harmonize the VAT zero-rate provisions of the Tax Code, as amended by TRAIN and CREATE Laws, which now provide that the effectively zero-rated sales shall only apply to sales of goods and services rendered to persons or entities who have direct and indirect tax-exemption granted pursuant to special laws or international agreements to which the Philippines is a signatory.
b. "Direct and exclusive use" in the registered project or activity pertains to raw materials, supplies, equipment, goods, packaging material, services, including provision of basic infrastructure, utilities, and maintenance, repair and overhaul of equipment, and other expenditures directly attributable to the registered project or activity without which the registered project or activity cannot be carried out. Thus, costs incurred for administrative purposes will be excluded. For purchases that cannot be clearly identified, the REE should adopt a method to best allocate between cost of sales and administrative expenses. Otherwise, it will be subject to 12% VAT. c. Presentation of BIR Certificate of Registration (BIR Form 2303) and VAT Certification issued by the concerned Investments Promotions Agency (IPA), and a Sworn Declaration that the goods and/or services being purchased will be used directly and exclusively in the registered project shall be presented by RBEs to the supplier. Then, the supplier should seek prior approval from the BIR before it can apply the VAT zero-rating. Absence of these requisites may result in disallowance of the VAT zero-rated sale of the supplier. d. Work-around procedures and options for sale of goods and services where the VAT has already been billed and/or collected during the effectivity of RR No. 9-2021 from July 1, 2021 to July 27, 2021.
e. Sale of VAT-registered suppliers to REE enjoying fiscal incentives under the CREATE Law shall be treated as VAT zero-rated. However, it shall only apply to goods and/or services directly and exclusively used in the registered project or activity of said REE, for a maximum period of 17 years from the date of registration, unless otherwise extended under the Strategic Investment Priority Plan (SIPP). Enjoyment of VAT and duty incentives is reckoned from the REE's date of registration and throughout the period as indicated in its Certificate of Registration. f. RBEs which are categorized as Domestic Market Enterprises (DMEs) are not entitled to VAT zero-rating on local purchases. Sale of goods or services to a registered DME shall be subject to VAT at 12%.
g. DME under the 5% Gross Income Tax (GIT) or Special Corporate Income Tax (SCIT) regime, registered as a VAT exempt entity, shall treat its revenues as VAT exempt. The VAT passed on to it by its VAT-registered local suppliers shall form part of its cost or expenses.
h. Zero-rating or VAT-exempt treatment on sale made by registered export enterprise/DME to another registered export enterprise i. Incentives of non-RBE exporters shall be limited only to VAT at zero rate on its direct export sale of goods or services. j. VAT treatments on the sale, transfer, or disposition of the imported capital equipment, raw materials, spare parts, or accessories. k. Sales to enterprises covered by special laws, such as renewable energy developers under RA No. 9513 (Renewable Energy Act of 2008, International Rice Research Institute (IRRI), Asian Development Bank (ADB), etc., are still subject to VAT at zero percent rate (0%).
l. Sales to existing REE located inside Ecozones or Freeport zones shall also be qualified for VAT zero-rating until the expiration of the transitory period, or the remaining period of their incentives as specified in Rule 18 of the CREATE IRR. However, it shall only apply to goods and/or services directly and exclusively used in the registered project or activity of a registered export enterprise. m. Sale of goods or services to existing registered non-export enterprises located inside the Ecozones or Freeport Zones shall be subject to VAT at 12%. n. Sales by VAT-registered sellers to export enterprises registered with the Board of Investments (BOI) and IPAs other than Philippine Economic Zone Authority (PEZA) or Freeports are also subject to VAT at zero-rate but shall only apply to goods and/or services directly and exclusively used in the registered project or activity of the registered export enterprise until the expiration of the transitory period or the remaining period of their incentives as specified in Rule 18 of the CREATE IRR. o. REE with multiple incentives regime shall remain VAT registered until the expiration of the ITH for all its registered activities and all its activities are covered by the 5% GIT or SCIT regime. REE shall report as VAT exempt the sales under the 5% GIT or SCIT regime while the sales under the ITH shall be reported in the VAT return as 0% VAT. p. REE that has already completed its ITH and already under the 5% GIT or SCIT regime but remained as VAT-registered entity is required within two (2) months from the expiration of its ITH to change its registration status from a VAT-registered entity to Non-VAT. REE enjoying GIT or SCIT regime but are still VAT-registered at the time the CREATE Law took effect are required within two (2) months from the effectivity of the Circular to change its registration status. | 3. BIR CLARIFIES THE SUSPENSION OF INCOME TAX INCENTIVES GRANTED TO ALL IT-BPM RBEs FOR VIOLATION OF WFH THRESHOLD AS PRESCRIBED BY FIRB | Revenue Memorandum Circular (RMC) No. 23-2022, issued on March 9, 2022, suspends the Income Tax incentives granted to all Registered Business Enterprises (RBEs) of the Information Technology-Business Process Management (IT-BPM) sector that violated the work-from-home (WFH) threshold as prescribed by the Fiscal Incentives Review Board (FIRB). It may be recalled that the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law has introduced temporary measures to cushion the impact of Covid-19. One of the measures as implemented by FIRB is the issuance of FIRB Resolution Nos. 19-2021 and 23-21, allowing RBEs in the IT-BPM sector to continue with the WFH arrangement until March 31, 2022, subject to the conditions provided in the said resolutions. Highlights include: a. Non-compliance with all the conditions prescribed under FIRB Resolution Nos. 19-21 and 23-21 shall be meted with suspension of the Income Tax incentive on the revenue corresponding to the months of non-compliance. Consequently, RBE shall pay the Income Tax using the regular rate of 25% or 20% based on the taxable net income corresponding to the months the RBE has violation. b. For RBEs with no existing transactions subject to the regular Income Tax rate, BIR Form 1702-MX shall be used for the voluntary payment of the Income Tax due on the months with reported violation. Otherwise, BIR Form 0605 shall be used if they have existing transactions subject to regular Income Tax rate. c. In the absence or insufficiency of voluntary payment, RBE shall be subjected to an audit pursuant to the BIR Letter of Authority (LOA), and based on the Investment Promotion Agencies monthly report as submitted to the FIRB and endorsed to the BIR. d. "Total Workforce" shall refer to the total employees that are directly or indirectly engaged in the registered project or activity of the RBE, but excludes third-party contractors, if any, such as service contractors rendering janitorial or security services and other similar services. | 4. TAX & BUSINESS-RELATED NEWS [MARCH 12-13] | | COA orders TUP to give 6 years’ worth of hazard pay to 8 health staff Windfall for exporters on weak peso seen Toyota PH achieves 2-M sales milestone Consumers warned of soaring electric bills in summer months Banks’ trust assets up 8% in 2021 GCash adopts stricter KYC process to beat vote buying Retirement pensioners residing in Philippines are exempted from ACOP —SSS chief Home retail giant opens 3rd branch in Antipolo Ovialand to push through with June IPO New SSS chief orders longer work hours No age restrictions for tertiary students attending face-to-face classes, CHED says BIR to e-sabong operators: Pay your taxes
| 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. | COA orders TUP to give 6 years’ worth of hazard pay to 8 health staff [Rappler, March 13, 2022] In a ruling issued on Friday, March 11, COA granted the petition for money claim worth P2,929,006.30 filed by TUP’s Medical and Dental Unit in May 2018, siding with their argument that they are considered public health workers (PHWs). Windfall for exporters on weak peso seen [Manila Bulletin, March 13, 2022] Yes, war makes some sectors benefit from the violence and its expected impact on the global economy. One of the early beneficiaries of Russia’s war in Ukraine is the exports sector, which is expected to incur windfall from the depreciation of the peso against the US dollar. The peso fell to over P52, breaching the P51 level against the greenback. Toyota PH achieves 2-M sales milestone [Manila Bulletin, March 13, 2022] Leading automotive manufacturer and mobility company Toyota Motor Philippines Corporation (TMP) has announced that it has sold more than 2 million units in the country, at least half of which were produced locally, since it started operations in the country in 1988. Consumers warned of soaring electric bills in summer months [Manila Bulletin, March 13, 2022] As global fuel prices are on sustained astronomical spikes, Filipino consumers are being warned this early that their electric bills could soar within the summer-months stretch – primarily in April and May as higher prices of coal and gas must have already been reflected in the billing cycles. Banks’ trust assets up 8% in 2021 [Manila Bulletin, March 13, 2022] The banking sector’s trust holdings went up to P3.71 trillion in 2021, up by 8.19 percent compared to 2020’s P3.43 trillion, according to data from the Bangko Sentral ng Pilipinas (BSP). GCash adopts stricter KYC process to beat vote buying [Inquirer Mobile, March 12, 2022] In a statement, GCash president and CEO Martha Sazon said the company pledged to impose more stringent user onboard and account verification processes “to enhance traceability of transactions within the GCash platform.” Retirement pensioners residing in Philippines are exempted from ACOP —SSS chief [GMA News Online, March 12, 2022] Newly-appointed Social Security System (SSS) president and chief executive officer Michael Regino on Saturday said that retirement pensioners residing in the Philippines are still exempted from complying with the Annual Confirmation of Pensioners’ Program (ACOP) to continue receiving their monthly pensions. Home retail giant opens 3rd branch in Antipolo [Inquirer Mobile, March 12, 2022] Wilcon Depot, the country’s leading home improvement and construction retailer, opened on Friday its third store in Antipolo, revealing its continued belief in the growing potential of this first class city in Rizal province. Ovialand to push through with June IPO [The Manila Times, March 12, 2022] MASS housing developer Ovialand Inc. is set to push through with its planned initial public offering as it targets to go public by June. New SSS chief orders longer work hours [Philippine Daily Inquirer, March 12, 2022] In a statement, Michael Regino, president and chief executive of SSS, said their offices in the National Capital Region will be open from 6 a.m. to 6 p.m. during weekdays. No age restrictions for tertiary students attending face-to-face classes, CHED says [Manila Bulletin, March 12, 2022] At a Laging Handa public briefing on Saturday, March 12, De Vera said that all college students enrolled in universities and colleges are allowed to attend in-person classes. BIR to e-sabong operators: Pay your taxes [Philippine Daily Inquirer, March 12, 2022] Dulay said that while the state-run Pagcor as well as its licensees and contractees had been exempted — upheld by a Supreme Court (SC) ruling — from paying corporate income taxes, gaming operators were required to shell out 5-percent franchise tax. | 5. SEC ISSUES GUIDELINES ON THE DISQUALIFICATION OF DIRECTORS, TRUSTEES & OFFICERS PURSUANT TO THE REVISED CORPORATION CODE OF THE PHILIPPINES | SEC Memorandum Circular No. 4-2022, issued on March 2, 2022, promulgates the disqualifications of directors, trustees and officers of corporations, and the guidelines on the procedure for their removal. Highlights include managing the corporation in case of removal as well as jurisdiction, mechanics, and processes involved to hear and decide independently the administrative actions for removal. | 6. CTA CASES DIGEST ON CONCLUSIVENESS OF FACTUAL FINDINGS, PROVISIONAL & SUPPLEMENTARY RECEIPTS TO SUPPORT INPUT VAT & TAX VERIFICATION NOTICE AS AN INVALID SOURCE OF AUTHORITY TO CONDUCT TAX AUDIT | FACTUAL FINDINGS WHICH, IN THE ABSENCE OF ANY CLEAR SHOWING OF ABUSE, ARBITRARINESS, OR CAPRICIOUSNESS, ARE BINDING & CONCLUSIVE UPON THE COURT Petitioner Commissioner of Internal Revenue (CIR) filed a Petition for Review seeking reversal of the earlier decision of the Court in Division partially granting refund in favor of the Respondent Team Sual Corporation pertaining to the latter’s unutilized excess input VAT attributable to the zero-rated sales. Petitioner argued that the refund should be denied for failure on the part of the Respondent to allocate the sales attributable to zero-rated and vatable based on the volume of sales. In ruling, the Court cited Section 112(A) of the Tax Code which provides that for an input tax to be creditable, the amount due or paid must be allocated proportionately based on the volume sales. Perusal of the records showed that the factual findings of the Court in Division that Respondent’s input VAT was subjected already to proportional allocation should not be disturbed. Findings which are free of abuse, arbitrariness, or capriciousness are binding and conclusive. Consequently, the Petition was DENIED. [COMMISSIONER OF INTERNAL REVENUE VS. TEAM SUAL CORPORATION, CTA EB CASE 2353, FEBRUARY 10, 2022] NO PROVISION STATING THAT PROVISIONAL, COMMERCIAL, OR SUPPLEMENTARY INVOICES NEED NOT CONTAIN THE REQUIRED INFORMATION IN A VAT INVOICE Petitioner OceanaGold (Philippines), Inc. filed a Petition for Review seeking the reversal of the earlier Decision and Resolution of the Court 2nd Division denying its claim for refund of alleged unutilized input value-added tax (VAT) attributable to zero-rated sales due to invoicing defects. Petitioner argued that the absence of the written or prominently printed “zero-rated” sale in its provisional invoices is not fatal to its claim for refund. Furthermore, provisional invoices are not valid proof to support the claim of input tax, and their issuance is merely for recording, monitoring, and control purposes, in this case, to provisionally determine the market value of the minerals at the time of shipment. On the other hand, Respondent Commissioner of Internal Revenue (CIR) insisted that under Section 113 of the Tax Code, the VAT invoice referred to means the VAT Sales Invoice evidencing the sale of goods issued to customers and not the supplementary invoice such as the provisional invoice herein. In ruling, the Court held that nowhere in Revenue Regulations (RR) No. 18-2012 which provides that provisional, commercial, or supplementary invoices need not contain the required information in a VAT invoice. Consequently, there is no compelling reason to reverse or modify the earlier Decision and Resolution. Thus, the same AFFIRMED. [OCEANAGOLD (PHILIPPINES), INC. VS. COMMISSIONER OF INTERNAL REVENUE, CTA EB CASE 2259, FEBRUARY 9, 2022] [WHETHER THE TVN IS EQUIVALENT TO AN LOA WHICH WILL SERVE AS THE AUTHORITY OF THE RO TO CONDUCT THE TAXPAYERS RELATIVE TO THEIR CLAIMS OF REFUND] [THE ABSENCE OF AN LOA PRIOR TO THE ISSUANCE OF NOTICE OF ASSESSMENT IS FATAL NOT ONLY ON THE TAX EXAMINATION CONDUCTED BUT ALSO ON THE NOTICES SUBSEQUENTLY ISSUED] Petitioner Commissioner of Internal Revenue (CIR) filed a Petition for Review seeking the reversal and setting aside of the Decision and Resolution of CTA 2nd Division cancelling the assessment issued against the Respondent Jinzai Experts, Inc. Petitioner insisted that there is no law prohibiting him as well as his Regional Directors to delegate the issuance of Tax Verification Notice (TVN) to the Revenue District Officer (RDO), and that such TVN is equivalent to a Letter of Authority (LOA). Likewise, an administrative officer should be allowed to decide within his/her level of competence just like in the judicial level where the issues not raised in the lower court cannot be raised for the first time on appeal. Further, Respondent is already estopped from assailing the issuance of said TVN. In ruling, the Court held that a TVN which is nowhere mentioned in the 1997 Tax Code, is not equivalent to an LOA that vests authority to the Revenue Officer to conduct tax examination on the financial records of a taxpayer. Considering that the tax examination itself, as well as the notices issued are invalidated, the other issues raised by the Petitioner will no longer be discussed. Thus, the Petition was DENIED, and the earlier Decision and Resolution were AFFIRMED. [JINZAI EXPERTS, INC. VS. COMMISSIONER OF INTERNAL REVENUE, CTA CASE 9473, FEBRUARY 9, 2022] | 7. TAX & BUSINESS-RELATED NEWS [MARCH 8-11] | | DOJ, OSG usurped Congress powers on grant of franchises–Tolentino Value of Metals output grew 20% in 2021 IT-BPO workers oppose gov't return-to-office order BSP launches '125-Piso' commemorative coin in honor of Jose Rizal's martyrdom Tax perks of BPOs hang in the balance Ceres operator disputes alleged trip cancellation: It’s against LTFRB policy AREIT to buy 6 new Cebu office buildings worth P11.3B PH-US nuclear cooperation deal signed Mergers, acquisitions in PH non-life insurance sector seen ahead of 2022 net worth hike Self-regulation is Cebu City’s new policy PLDT says tower sale proceeds earmarked for debt payment BSP eases requirements for naming banks’ top brass DBM: Philippines to lose P117 billion if fuel excise tax suspended BSP campus in New Clark City taking shape DND sees no security concerns amid US takeover of Subic shipyard Bangko Sentral pushes for digitalization in microfinance MPIC sets capex at P136B; power group corners P57B 6 Philippine universities receive P12 million in EU grants Palaui Island reopens to tourists New SSS president, CEO named Up to 24 'gives': GCash offers new buy now, pay later feature Cebu City Council approves JVA for WTE facility in divided house Duterte appoints 2 more Court of Appeals justices, 30 more regional trial court judges Poultry products from Luzon now banned in Cebu City DTI seeks immediate zero import tariff for e-vehicles SC disbars lawyer previously booted out in California
| 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. | DOJ, OSG usurped Congress powers on grant of franchises–Tolentino [Manila Bulletin, March 11, 2022] Pro-administration Senator Francis ‘’Tol’’ Tolentino on Friday, March 11 said the Department of Justice (DOJ) and Office of the Solicitor General (OSG) could have violated the law because they allowed the Philippine Amusement and Gaming Corporation (Pagcor) to issue online cockfight or “e-sabong” franchises. Value of Metals output grew 20% in 2021 [Inquirer Mobile, March 11, 2022] “Key factors that worked well for the industry in 2021 was the strong metal price coupled with the impressive showing in the mine production of nickel ore,” the MGB said in a report. IT-BPO workers oppose gov't return-to-office order [Philippine Star, March 11, 2022] Workers in the information technology – business process outsourcing industry slammed the government’s decision to stand pat on making them return to their offices beginning April 1, calling this “inconsiderate, insensitive and inhumane.” BSP launches '125-Piso' commemorative coin in honor of Jose Rizal's martyrdom [ABS-CBN News, March 11, 2022] The Bangko Sentral ng Pilipinas on Friday said it has released a limited edition "125-Piso" commemorative coin to honor the 125th anniversary of the martyrdom of Dr. Jose Rizal. Tax perks of BPOs hang in the balance [Inquirer Mobile, March 11, 2022] The government will suspend the tax perks enjoyed by registered business process outsourcing (BPO) companies that will not comply with the 100-percent return-to-workplace order starting April 1. Ceres operator disputes alleged trip cancellation: It’s against LTFRB policy [Inquirer.Net, March 11, 2022] Vallacar Transit Inc. said that the management cannot cater to the demands of a certain group as other routes would suffer, which is against the Land Transportation Franchising and Regulatory Board (LTFRB) policy. AREIT to buy 6 new Cebu office buildings worth P11.3B [Inquirer Mobile, March 11, 2022] The six buildings are eBloc Towers 1 to 4 located at the Cebu IT Park as well as ACC Tower and Tech Tower located at Ayala Center Cebu. The office buildings have a total gross leasable area (GLA) of 124,299 square meters with an overall occupancy rate of 97 percent, leased by major business process outsourcing (BPO) firms. PH-US nuclear cooperation deal signed [Manila Bulletin, March 11, 2022] The United States government has formally inked a memorandum of understanding (MOU) with the Philippine Department of Energy (DOE) that will strengthen “strategic civil nuclear cooperation” between the two countries amid fear of ensuing nuclear war as Ukraine and Russia, both nuclear power hosts, continued fierce fighting. Mergers, acquisitions in PH non-life insurance sector seen ahead of 2022 net worth hike [Inquirer Mobile, March 11, 2022] While the Philippines’ non-life insurance players are en route to growth this year alongside economic recovery, the mandatory increase in net worth by end-2022 will burden small insurers more, forcing them to merge or consolidate, global insurance credit rating agency AM Best said. Self-regulation is Cebu City’s new policy [Cebu Daily News Inquirer, March 11, 2022] In Directive Number 03-11-2022-01, Rama has decreed that the general laws and policies of the city will be implemented accordingly in a bottoms-up approach. PLDT says tower sale proceeds earmarked for debt payment [ABS-CBN News, March 11, 2022] PLDT Inc on Friday said majority of the proceeds from the sale and leaseback of around 6,000 towers would be used to pay debts. BSP eases requirements for naming banks’ top brass [Philippine Daily Inquirer, March 11, 2022] “While we have relaxed the rules, the BSP continues to have the authority to disqualify directors or officers under existing laws and regulations,” Diokno said. The new rules, spelled out in BSP Circular No. 1136, limit BSP confirmation to certain senior vice president (SVP) positions and higher posts of universal and commercial banks. DBM: Philippines to lose P117 billion if fuel excise tax suspended [GMA News Online, March 11, 2022] “[The] Development Budget Coordination Committee (DBCC) or the group of economic managers strongly opposes the proposal to suspend the imposition of fuel taxes because it will translate to significant foregone revenues that will be detrimental to our recovery,” Toledo said at a Palace briefing. BSP campus in New Clark City taking shape [Inquirer Mobile, March 11, 2022 The Bangko Sentral ng Pilipinas (BSP) is tapping home-grown global architecture firm Aidea Inc. for the design of a new BSP campus at the national government center rising in New Clark City in Pampanga that promises to become a new global design benchmark. DND sees no security concerns amid US takeover of Subic shipyard [Philippine News Agency, March 10, 2022] Department of National Defense (DND) Secretary Delfin Lorenzana said he sees no security implications with an American company now poised to acquire and operate the cash-strapped Hanjin Heavy Industries and Construction (HHIC-Phil) shipyard in Subic, Zambales. Bangko Sentral pushes for digitalization in microfinance [ABS-CBN News, March 10, 2022] The Bangko Sentral ng Pilipinas on Thursday reiterated the need to digitalize microfinance institutions (MFIs) to broaden the reach of financial services and boost the shift to online payments. MPIC sets capex at P136B; power group corners P57B [BusinessWorld, March 10, 2022] PANGILINAN group’s listed tollways and infrastructure conglomerate Metro Pacific Investments Corp. (MPIC) has pegged its capital expenditures (capex) for this year at around P136 billion, up from last year’s P78 billion. 6 Philippine universities receive P12 million in EU grants [The Philippine Star, March 10, 2022] The European Union awarded 215,000 euros or P12.1 million in grants to six Philippine universities that place access to justice for women and girls at the center of their clinical legal education programs. Palaui Island reopens to tourists [The Manila Times, March 10, 2022] SANTA ANA, Cagayan: The enchanting island of Palaui in the northeastern tip of Luzon in Cagayan province is now open to tourists after a two-year hiatus due to the Covid-19 pandemic. New SSS president, CEO named [The Philippine Star, March 10, 2022] President Duterte has appointed a former mining executive to oversee state-run Social Security System (SSS), giving him the task to expand the resources of the provident fund. Up to 24 'gives': GCash offers new buy now, pay later feature [ABS-CBN News, March 9, 2022] The new feature called GGives allows qualified members to pay for items that cost as much as P30,000 with up to 24 installments over 12 months, the Ayala-led fintech said. Cebu City Council approves JVA for WTE facility in divided house [Cebu Daily News Inquirer, March 9, 2022] The Cebu City Council has managed to approve the Joint Venture Agreement (JVA) of the city government with New Sky Energy Philippines Inc. for a waste-to-energy facility. Duterte appoints 2 more Court of Appeals justices, 30 more regional trial court judges [Manila Bulletin, March 9, 2022] Appointed were CA Associate Justices Ronald Suva Tolentino and Rogelio Gilzano Largo. Tolentino was a RTC judge, while Largo was a private law practitioner and professor. Poultry products from Luzon now banned in Cebu City [Cebu Daily News Inquirer, March 9, 2022] Cebu City Mayor Michael Rama has declared on March 10, 2022, the banning of all poultry products from Luzon following a bird flu outbreak among quail and duck farms in Pampanga, Bulacan, Laguna, and Camarines Sur. DTI seeks immediate zero import tariff for e-vehicles [Manila Bulletin, March 9, 2022] The Department of Trade and Industry is pushing for the immediate implementation to zero the 30 percent import tariff on e-vehicles (EVs) as part of the solutions to reduce dependency on fossil fuel and at the same time promote green environment. SC disbars lawyer previously booted out in California [Philippine News Agency, March 8, 2022] “(W)hen a foreign court renders a judgment imposing disciplinary penalty against a Filipino lawyer admitted in its jurisdiction, such Filipino lawyer may be imposed a similar judgment in the Philippines provided that the basis of the foreign court’s judgment includes grounds for the imposition of disciplinary penalty in the Philippines.” the SC said. | 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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