By: Euney Marie J. Mata-Perez on November 8, 2018
In the recently published 2019 World Bank Doing Business (DB) Report, the ranking of the Philippines dropped 11 notches from 113th place for the year 2018 to 124th place for the year 2019 out of 190 economies. In 2017, the Philippines was ranked 99th.
By: Euney Marie J. Mata-Perez on November 1, 2018
We just attended the 2018 World Conference of the International Tax Specialist Group (ITSG) held in the beautiful Rosewood Hotel in Beijing last Oct.r 24-26, 2018.
The conference was attended by around 80 tax specialists and advisers from all over the world.
The ITSG network provides high quality, practical, and creative international tax advice on a worldwide basis. It has members in some 50 countries around the world
By: Nica Marsha V. Gasapo on October 25, 2018
A worker and an employer enter into an employment contract to realize their respective interests—the worker, to make ends meet; the employer, to earn profits.
An employment contract, however, is a special contract because the State can step in to regulate its terms and conditions.
Article 1700 of the Civil Code of the Philippines provides that labor contracts are impressed with public interest and must yield to the common good.
By: Felson M. Dalaguete on October 18, 2018
A corporation that permits the accumulation of earnings and profits beyond the reasonable needs of the business is subject to the 10 percent Improperly Accumulated Earnings Tax (IAET).
If the accumulation is justified to be within the reasonable needs of the business, the IAET is not imposed.
The IAET thus effectively penalizes a corporation for the improper accumulation of its earnings instead of distributing it to its stockholders. If the earnings and profits were distributed, the shareholders would be liable to tax on dividends.
By: Elreen Joy O. De Guzman on October 11, 2018
Under Senate Bill (SB) No. 1280, the proposed Revised Corporation Code of the Philippines, a single natural person, trust, or estate can form a one-person corporation (OPC).
Unlike a sole proprietorship, an OPC will have a juridical personality separate from the individual stockholder.
The OPC concept exists in several jurisdictions, such as in the USA and UK, among others.