Internet Transactions Act Now Live — What You Need to Know

What’s New?

Republic Act 11967—also known as the Internet Transactions Act (ITA)—has officially entered full effect as of June 20, 2025, concluding its 18‑month compliance lead time. This law empowers the Department of Trade and Industry (DTI) to:

Enforce takedown orders for illegal online listings
Hold digital platforms accountable for illicit activity
Require marketplaces and sellers to disclose product details, pricing, seller info, and payment systems.
Apply strict data privacy standards and mandate transparent consumer‑redress mechanisms.

Why It Matters

Consumer Confidence: Buyers now have stronger oversight and deeper recourse if something goes wrong.
Fair Play for MSMEs: Local sellers benefit from a level regulatory field, especially amid cross-border competition.
Trust & Accountability: Platforms are incentivized to proactively police content, minimizing scams and fake sellers.

New Powers for Government & Platforms

The DTI’s newly formed E‑Commerce Bureau can subpoena documentation and coordinate with other agencies like BSP, NPC, and ICT for enforcement.
A Philippine E‑Commerce Trustmark is under development—certifying compliant sellers and fostering buyer confidence.

Private Sector Cheers

Major players—Lazada, Shopee, Zalora, Foodpanda, Grab, Lalamove, META, PLDT—alongside advocacy, fintech, and logistics groups, have welcomed the new law.

Their shared message: this isn’t regulation for the sake of control—it’s a foundation for growth, professionalization, and digital trust .

Watchouts for Platforms

The Cybercrime Investigation and Coordinating Center (CICC) is ready to penalize platforms that passively allow scams or fake sellers.
Platforms without robust onboarding or content moderation tools might face takedown orders or sanctions.

What You Should Do

Stakeholder	Recommended Action
Online Sellers / MSMEs	Ensure full disclosure—price, specs, seller contact, etc.—and maintain secure, trackable payment options.
Digital Platforms	Fast-track compliance: align policies with IRR, monitor fraud/illicit activities, register with DTI’s bureau.
Consumers	Look for the upcoming Trustmark, verify seller info, and report any shady listing.

Looking Ahead

DTI continues crafting the IRR (Implementing Rules & Regulations) alongside partners such as BSP, NPC, DepEd, and USAID-sponsored programs (pna.gov.ph).
As the Trustmark rolls out, platforms with strong consumer safeguards will likely gain the most traction.

Final Word

Much like Babylon2K’s philosophy—empowering through clarity—the Internet Transactions Act strengthens digital commerce in the Philippines. It safeguards consumers, uplifts ethical sellers, and challenges platforms to stay vigilant. For businesses, it’s a change worth embracing; for consumers, it’s added protection; and for the ecosystem, it’s a leap toward accountability and innovation.

DISCLAIMER: This article is developed by subject matter experts at Babylon2k. This is for general information only and does not constitute expert advice. It is based on current regulations and may not account for all related topics. Any tax or compliance guidance provided cannot be used to avoid penalties or promote specific actions. Laws and interpretations may change over time, which could affect the accuracy of this report. We are not obligated to update this advisory if new regulations arise.