Subject: WEEKLY TAX UPDATES [NOV 10] CTA Voids BIR’s Online Merchant Withholding Rules

WEEKLY TAX UPDATES

NOVEMBER 10

  1. TAX & BUSINESS-RELATED NEWS [NOVEMBER 3-9]

  2. BIR CLARIFIES THE DEADLINE WHEN BIR IS ON COVERED WFH

  3. CTA VOIDS BIR's ONLINE MERCHANT WITHHOLDING RULES

  4. SEC AMENDS ACCREDITATION GUIDELINES FOR AUDITING FIRMS & EXTERNAL AUDITORS

1. TAX & BUSINESS-RELATED NEWS [NOVEMBER 3-9]

1. Doubled night shift differential for private sector workers pushed

2. Philippine-Based Companies in Asia-Pacific’s Best Employers 2027

3. Safeguards sought to keep homeownership within reach amid rising borrowing costs

4. P65.6-M rice processing facility turned over to Nueva Ecija co-op

5. DA allocates 30-hectare Quezon property to FTI for regional mega food hub

6. BIR 'data leak' under gov't probe

7. One valid ID is enough, ARTA says

8. CCRA: Cebu City tax hikes to hurt businesses, jobs

9. Private operator takes over 2,100 CCTV cameras at Naia

10. Up to P30,000 incentive for government workers in December

11. BCDA eyes LNG plant, fiber network in New Clark City

12. ‘Finally’: Exporters cheer Manila port clearing

13. Senators propose zero-tariffs on PH products during Japan visit

14. High gold prices nearly double OceanaGold PH profit

15. PH-Korea consortium to bag P14.8B New Clark City water deal

16. Exporters support new MSME tax rules

17. Philippines losing appeal to foreign investors over outdated incentives, tax rules—US trade group

18. Minimum wage in Soccsksargen to reach P501 daily on January 1

19. Alternergy’s P6.7-B Quezon wind farm goes online

20. JP Morgan to Ayala: Sell smaller units, take property arm private

21. St. Luke's Medical Center probing data security incident on mobile app

DISCLAIMER!

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.

Doubled night shift differential for private sector workers pushed [Inquirer.Net, November 9, 2026]

A bill seeking to double the minimum night shift differential for private-sector workers from the current 10 percent to 20 percent of their regular hourly wage has been filed by Sen. Loren Legarda.


Philippine-Based Companies in Asia-Pacific’s Best Employers 2027 [LionhearTV, November 9, 2026]

Major companies operating in the Philippines have earned recognition in TIME Magazine and Statista’s Asia-Pacific’s Best Employers of 2027, with homegrown pharmaceutical giant Unilab emerging as the highest-ranked ASEAN-origin company in the regional assessment.


Safeguards sought to keep homeownership within reach amid rising borrowing costs [The Philippine Star, November 9, 2026]

The pressure on domestic real estate demand was evident even prior to the BSP's policy tightening. Data from real estate consulting firm Colliers Philippines revealed that net take-up of Metro Manila condominiums dropped to just 500 units in the second quarter of 2026, a 60% decline from the previous quarter and the lowest quarterly performance in five quarters.


P65.6-M rice processing facility turned over to Nueva Ecija co-op [BusinessWorld, November 8, 2026]

The Talabutab Norte Primary Multipurpose Cooperative was the recipient of the new rice processing system which includes a P54.7-million multi-stage rice mill with a processing capacity of 2-3 tons per hour. It also received two recirculating-type mechanical dryers worth P10.88 million.

DA allocates 30-hectare Quezon property to FTI for regional mega food hub [Manila Standard, November 8, 2026]

The Department of Agriculture has granted government-owned Food Terminal Inc. a 25-year usufruct over 30 hectares in Tiaong, Quezon, paving the way for a mega food hub to improve storage, logistics and market access for farm and fishery products.

BIR 'data leak' under gov't probe [GMA News Online, November 7, 2026]

The reported BIR data "leak" on Friday comes just over a week after private healthcare provider St. Luke's Medical Center was hit by a "cybersecurity incident" on its mobile application.

One valid ID is enough, ARTA says [The Manila Times, November 7, 2026]

Perez cited Section 12 of Republic Act 11055 (Philippine Identification System Act) which provides that the presentation of a PhilID or PhilSys Number (PSN) constitutes sufficient proof of identity for transactions with government agencies, subject to proper authentication.

CCRA: Cebu City tax hikes to hurt businesses, jobs [Cebu Daily News, November 7, 2026]

Under the proposed code, wholesalers and distributors with annual gross sales of ₱50 million would see their local business tax increase by 339%, while large manufacturers earning ₱500 million annually would face increases of up to 225%.


Private operator takes over 2,100 CCTV cameras at Naia [Inquirer.Net, November 7, 2026]

The agreement between the Department of Transportation (DOTr), the Manila International Airport Authority (MIAA), and the private concessionaire granted NNIC the authority to operate and maintain the airport for 15 years.

Up to P30,000 incentive for government workers in December [The Philippine Star, November 6, 2026]

Qualified government employees may receive up to P30,000 in a one-time incentive this December, subject to their agencies meeting performance and cost-saving requirements, according to new guidelines issued by the Department of Budget and Management (DBM).

BCDA eyes LNG plant, fiber network in New Clark City [The Manila Times, November 6, 2026]

BCDA president and CEO Joshua Bingcang said reliable power and digital connectivity are essential to New Clark City’s development. He stressed the need to assess these requirements early and work with partners to identify viable solutions.

‘Finally’: Exporters cheer Manila port clearing [Philippine Daily Inquirer, November 5, 2026]

The clearing operation is expected to be completed within two weeks and will involve repositioning empty containers to Subic and Batangas to help free up space at Manila’s congested ports and container facilities.

Senators propose zero-tariffs on PH products during Japan visit [Inquirer.Net, November 5, 2026]

Senators on Thursday spoke to the leaders of Japan on removing tariffs of Philippine products during a parliamentary visit, in light of the 70th Philippines-Japan Friendship Anniversary.

High gold prices nearly double OceanaGold PH profit [Inquirer.Net, November 5, 2026]

The local unit of Australian-Canadian mining company OceanaGold Corp. reported a net income of $95.6 million from January to September, a 95-percent surge from the same period a year ago.

PH-Korea consortium to bag P14.8B New Clark City water deal [The Manila Times, November 5, 2026]

THE Bases Conversion and Development Authority (BCDA) said on Wednesday it would award the P14.8-billion New Clark City water supply and wastewater project to a consortium of Maynilad Water Services Inc. and Korea Water Resources Corp. by year-end, after no rival bids emerged.

Exporters support new MSME tax rules [The Manila Times, November 5, 2026]

THE Philippine Exporters Confederation, Inc. (Philexport) expressed its support for the Bureau of Internal Revenue's expansion of the One-Time Tax Abatement Program to micro-enterprises and small taxpayers with annual gross sales between P3 million and below P20 million.

Philippines losing appeal to foreign investors over outdated incentives, tax rules—US trade group [Manila Bulletin, November 4, 2026]

The Philippines is becoming less attractive to foreign investors because its incentive scheme, which was designed to attract capital, has since become uncompetitive compared to those of other countries, according to an influential United States (US)-based trade association.

Minimum wage in Soccsksargen to reach P501 daily on January 1 [Inquirer Mindanao, November 4, 2026]

KORONADAL CITY — The daily minimum wage for private workers in the non-agriculture, retail, and service sectors in Soccsksargen (Region 12) will increase to P501 in January 2027 after a P41 wage hike benefiting 86,815 workers in the region.The National Wages and Productivity Commission (NWPC) said the increase under Wage Order No. XII (SOCCSKSARGEN)-26 would be implemented in two tranches, with the first P16 increase taking effect on Nov. 19 and the remaining P25 on Jan. 1, 2027.With the first tranche, the daily minimum wage for non-agricultural, retail, and service workers will increase from the current P460 to P476. Agricultural workers will receive P459 daily, up from P443.

Alternergy’s P6.7-B Quezon wind farm goes online [Inquirer.Net, November 4, 2026]

On Tuesday, the company announced that the 64-megawatt (MW) Alabat wind facility is among the first wind projects to receive energization under the government’s second green energy auction program (GEAP).

JP Morgan to Ayala: Sell smaller units, take property arm private [The Philippine Star, November 4, 2026]

J.P. Morgan has commended Ayala Corp.’s sharper portfolio management under president and CEO Cezar Consing, with the investment banking giant seeing more value being unlocked if the conglomerate sells smaller units upon profit turnaround and takes its listed property arm private.

St. Luke's Medical Center probing data security incident on mobile app [GMA News Online, November 3, 2026]

In a statement dated October 30, the healthcare company said it "wishes to inform the public that it recently identified unauthorized access to a platform supporting its mobile application, managed by a third-party service provider."

2. BIR CLARIFIES THE DEADLINE WHEN BIR IS ON COVERED WFH

Revenue Memorandum Circular (RMC) No. 116-2026, issued on November 5, 2026, clarifies that when the deadline for complying with a Subpoena Duces Tecum or for filing explanations, replies, protests, requests, applications for tax credit or refund, and other specified submissions falls on a day covered by a government-declared work-from-home (WFH) arrangement, the due date shall be extended to the next business day when BIR personnel are required to report on-site. This extension likewise applies when the WFH arrangement is declared for only part of the day, whether in the morning or afternoon, thereby affording taxpayers additional time to preserve and exercise their administrative remedies and filing rights.

3. CTA CASE

[THE BIR'S IMPOSITION OF WITHHOLDING TAX ON GROSS REMITTANCES BY DIGITAL FINANCIAL SERVICE PROVIDERS & ONLINE MARKETPLACE OPERATORS WAS INVALIDATED FOR FAILURE TO COMPLY WITH DUE PROCESS REQUIREMENTS] [LEGISLATIVE TAX REGULATIONS IMPOSING NEW WITHHOLDING OBLIGATIONS REQUIRE PRIOR NOTICE, PUBLIC PARTICIPATION & HEARING; NON-COMPLIANCE RENDERS THE ISSUANCE VOID]

Petitioners Bank of the Philippine Islands (BPI), EastWest Bank (EWB), Rizal Commercial Banking Corporation (RCBC), and Security Bank Corporation (SBC) filed a Petition for Certiorari challenging the validity and constitutionality of the Respondents Secretary of Finance (SOF) and Commissioner of Internal Revenue (CIR)’s Revenue Regulations (RR) No. 16-2023 and Revenue Memorandum Circular (RMC) No. 8-2024, which imposed one percent (1%) creditable withholding tax on one-half (1/2) of gross remittances made by electronic marketplace operators (EMOs) and digital financial services providers (DFSPs) to online sellers and merchants. Petitioners argued that the Respondents unlawfully expanded the scope of persons required to withhold taxes beyond what is authorized under Section 57(B) of the Tax Code of 1997, as amended, improperly imposed withholding obligations on banks acting merely as intermediaries in fund transfers, exceeded the statutory withholding tax limit, and issued the regulations without the prior public consultation, notice, and hearing required under the Administrative Code and the Constitution, thereby violating due process. On the other hand, the Respondents countered that the Petition was procedurally defective for failure to exhaust administrative remedies, that banks may validly be designated as withholding agents, that the regulations were within the authority granted by the Tax Code, and that no constitutional violations existed. In ruling, the Court held in favor of the Petitioners, holding that RR No. 16-2023 is a legislative rule that imposed new substantive obligations on EMOs and DFSPs and therefore required prior notice, public participation, and hearing under the Administrative Code. Additionally, the Doctrine of Exhaustion of Administrative Remedies does not apply to Petitioners' challenge against RR No. 16-2023, given that the doctrine is inapplicable to acts involving the exercise of quasi-legislative power with the SoF approval of RR. Since these procedural due process requirements were not observed, RR No. 16-2023 was declared VOID. Consequently, RMC No. 8-2024, being merely an interpretative issuance dependent on RR No. 16-2023, was likewise declared VOID, and the Respondents were ENJOINED from implementing both issuances. [BANK OF THE PHILIPPINE ISLANDS, ET. AL. VS. SECRETARY OF FINANCE & COMMISSIONER OF INTERNAL REVENUE, CTA SCA CASE NO. 0027, OCTOBER 22, 2026]

4. SEC AMENDS ACCREDITATION GUIDELINES FOR AUDITING FIRMS & EXTERNAL AUDITORS

SEC Memorandum Circular (MC) No. 26, Series of 2026, published September 19, 2026, amends the guidelines for the accreditation of auditing firms and external auditors.


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