SEC Goes Fully Digital: Company Registration Now 100% Online and Paperless
The Securities and Exchange Commission (SEC) of the Philippines has taken a bold step toward full digitalization with the implementation of a completely online and paperless company registration system — eliminating the need for notarized documents, physical signatures, and hard copy submissions. Under SEC Memorandum Circular No. 3, Series of 2025, issued on April 4, 2025, the SEC now mandates all domestic stock corporations—excluding lending, […]
‘Walang Forever’ sa Tax-Free Streaming: PH Now Requires VAT on Foreign Digital Services
Foreign streaming platforms, e-learning providers, and digital app developers serving Philippine customers must now prepare to enter the country’s tax net. Beginning June 1, 2025, the Bureau of Internal Revenue (BIR) will require non-resident digital service providers (NRDSPs) to register and comply with the Philippines’ 12% Value-Added Tax (VAT) regime, in line with Republic Act […]
How to Decide: Electing Leaders and Choosing Tax Strategies
As May arrives, Filipinos face a dual decision: selecting their local leaders and choosing a tax strategy that impacts their financial future. With the midterm elections approaching, voters are not only electing mayors, congressmen, and senators but also deciding between the 8% Income Tax Rate (EITR) and the 40% Optional Standard Deduction (OSD) for individual […]
Paying Taxes with Credit, Debit, or Prepaid Cards in the Philippines: What You Need to Know Under RR No. 3-2016
The Bureau of Internal Revenue (BIR) of the Philippines has taken a significant step toward digital convenience with the issuance of Revenue Regulations (RR) No. 3-2016, allowing the voluntary payment of taxes using credit, debit, and prepaid cards. This regulation offers flexibility and modernizes the tax payment process, but also outlines strict guidelines to ensure […]
Is Service Charge Due to Employees Taxable in the Philippines?
In the Philippines, service charges collected by establishments such as hotels and restaurants are considered part of the cost of the food, goods, or services ordered by customers. Under Republic Act No. 11360, which amended Article 96 of the Labor Code, these charges must be fully and equally distributed among covered rank-and-file employees — excluding […]
Are Properties Sold by Real Estate Businesses Always Classified as Ordinary Assets?
Selling Property? The BIR Has Drawn a Clearer Line in the Sand. Under Revenue Memorandum Circular (RMC) No. 31-2025, the Bureau of Internal Revenue (BIR) is tightening its stance on how real properties sold by those habitually engaged in the real estate business are classified and taxed. The distinction between capital and ordinary assets is […]
RR No. 03-2025: A Game-Changer for VAT on Digital Services in the Philippines
Think back to the last time you streamed a show, downloaded an e-book, or subscribed to a cloud service. Taxes probably weren’t top of mind—but now, these digital activities carry new tax implications. In response, the Philippine government introduced Revenue Regulations No. 03-2025. This regulation aims to establish a fairer tax environment for digital services, […]
RR 9-2025: The New VAT Rules Every Business Should Know
Picture this: you’re a business owner working with suppliers inside economic zones or freeports, and you find yourself caught in a maze of unclear VAT rules. Who’s responsible for paying VAT? When should it be remitted? To resolve this confusion, the Bureau of Internal Revenue (BIR) recently released Revenue Regulations No. 9-2025. This regulation significantly […]
PEZA M.C. No. 2025-020: Streamlining VAT Zero-Rating for Export Enterprises
Why Was This Circular Issued? In the past, VAT zero-rating rules for Registered Export Enterprises (REEs) under PEZA lacked clarity. Companies often found it difficult to determine which local transactions qualified for VAT zero-rating, resulting in confusion, compliance challenges, and inefficiencies. For instance, necessary services like janitorial or marketing were frequently disputed as to whether […]
More Work-From Home Opportunities for BPO Employees: Benefits from the CREATE MORE IRR
The recent implementation of the CREATE MORE IRR marks an important moment for the BPO sector in the Philippines. Thus, the IRR introduces significant benefits, particularly in taxation and work-from-home (WFH) arrangements, designed to enhance operational flexibility and competitiveness. WFH Opportunities for BPO Employees Under the signed CREATE MORE IRR, BPO companies can now allow […]
How the CREATE MORE Act Helped a Hospitality Company Maximize its Tax Benefits
Overview A leading hotel and convention center operator, recognized as a Domestic Market Entity (DME) under Tier 1 of the Strategic Investment Priority Plan (SIPP), is leveraging tax incentives within a designated economic zone. With the implementation of the CREATE MORE Act of 2024, significant amendments have been introduced that impact business operations, particularly in restructuring […]
CREATE MORE Act Philippines: Tax Incentives & Investment Benefits for 2025
If you’re in the tourism, manufacturing, or BPO industry, now is the best time to expand your business in the Philippines. The CREATE MORE Act (Republic Act 12066), officially known as the Corporate Recovery and Tax Incentives for Enterprises – More Opportunities and Rationalization of Efficiency Act, is transforming investments in the country by offering […]
BSP Allows More Nonbank E-Money Issuers to Operate and Boost Digital Payments
The Bangko Sentral ng Pilipinas (BSP) has lifted its moratorium on issuing electronic money (e-money) licenses to nonbank financial institutions. This move, announced last December 16, 2024, is expected to accelerate digital payment adoption, increase competition, and enhance financial inclusion in the Philippines. Why BSP Lifted the Moratorium on E-Money Issuers In November 2021, the […]
Understanding the VAT Refund for Tourists in the Philippines
What Is the VAT Refund Program? The Philippines’ VAT refund system is a new benefit for international travelers looking to shop and save while exploring the country. Under Republic Act No. 12079, non-resident tourists can now claim a 12% VAT refund on eligible purchases made at accredited stores. If you’ve ever wondered, “How much is […]
Are Golf or Membership Club Shares VAT-exempt?
A client recently sent a quick question via WhatsApp: “If I purchase golf club shares under a holding company, is it subject to VAT?” It’s a great question. It’s one that many business owners and investors might also be wondering about. The short answer? It depends. According to B.E.T.H. AI, which referenced tax regulations, purchasing […]
Foreign Contractors Owning 100% of Local Construction Firms: RA 11711 Explained.
Key Features of RA 11711 and Jurisprudence: Empowering Local and Foreign Stakeholders Executive Summary: Opening Doors to Global Opportunities in Construction Two years ago, the Philippine construction industry began a transformative era with the enactment of Republic Act No. 11711 and the landmark Supreme Court decision in Philippine Contractors Accreditation Board (PCAB) v. Manila Water […]
Maximizing Opportunities: PEZA and BOI Incentives Under the CREATE Act
The Philippines offers a competitive suite of fiscal and non-fiscal incentives designed to attract investors, particularly through the Philippine Economic Zone Authority (PEZA) and the Board of Investments (BOI). These incentives, further streamlined by the Corporate Recovery and Tax Incentives for Enterprises Act (CREATE), are pivotal in driving economic growth and fostering a business-friendly environment. […]
Enhanced Tax Incentives for your Business from the CREATE MORE Act
When Do Enhanced Tax Incentives and Reforms Under the CREATE Act Apply? The enhanced tax incentives and reforms introduced under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act apply upon the effectivity of the law and its implementing rules and regulations (IRR). Specifically: a. Reduced Corporate Income Tax Rate: The CREATE MORE Act […]
Learn New Skills and Save on Taxes: EBET Act Explained.
Highlights of the EBET Act’s Promise EBET Act in a Nutshell The EBET Act (RA 12063) is a groundbreaking legislation that enables enterprises to deliver customized, competency-based training aligned with TESDA standards, addressing the skills mismatch and improving employability. It offers workers direct access to industry-relevant certifications and gives businesses generous fiscal incentives, including tax […]
A New Era of Digital Service Taxation: The BIR’s Draft Regulation on RA 12023
The Evolution of Taxation in the Digital Economy As the world increasingly shifts to the digital age, the Philippines has found itself grappling with how to keep its tax system in step with this rapid transformation. The explosion of online services—streaming platforms, e-commerce, digital advertising, and cloud storage—has created a new economy, one that does […]