One such notable change in the current tax rules is Republic Act No. 11976, or the “Ease of Paying Taxes Act” (EOPT). The new law changed the procedures for claiming tax refunds of excess creditable withholding taxes.
One example is that multinational companies that are using CAS globally spend significant cost for the reconfiguration of their CAS in order to comply with the rules of the Philippines. Since these rules are not required by other tax authorities in other countries, the reconfiguration is done solely for the Philippines.
On 13 June 2024, President Ferdinand R. Marcos, Jr. signed Republic Act No. 12001, or the Real Property Valuation and Assessment Reform Act (RPVARA), into law. This new piece of legislation aims to upgrade tax collection efficiency in the realm of real property taxation. The new law also aims to reorganize the Bureau of Local Government Finance (BLGF) as the sole agency responsible for streamlining and establishing real property zonal values and their respective tax rates.
When it comes to corruption perception, the Philippines has remained on the lower end of the spectrum as compared to other countries. Unfortunately, some taxpayers use this perception as an excuse or even a justification for having a mindset that there is no need to pay the correct taxes.
On June 13, the BIR released Revenue Regulations (RR) No. 11-2024, amending the transitory provisions of RR No. 7-2024 and extending the statutory deadlines for compliance with the new Invoicing requirements under the Ease of Paying Taxes (EoPT) Act. RR No. 7-2024 became a key regulation in implementing EoPT, serving as a framework to guide taxpayers in navigating the new Invoicing requirements. While the implementation of EoPT may be challenging, the BIR remains dauntless and patient in addressing taxpayer concerns by releasing timely regulations.
One could say that the power of taxation is the lifeblood of a nation; not only does it have the power to create, but it also has the power to destroy. Being its primary source of revenue, it funds governments, making them self-sufficient as much as possible and diminishing their reliance on external funding to achieve their goals.
In the Philippines, transferring property ownership, such as real properties and shares of stocks not traded through the local stock exchange, involves several steps to ensure a lawful transfer of title from one party to another and avoid any disputes or complications in the future.
Last week, the Senate, in a unanimous vote, approved on third and final reading the Senate Bill (SB) No. 2528 that seeks to impose a 12% value-added tax (VAT) on digital services delivered by either resident or nonresident digital service providers with no physical presence in the Philippines.
