[Publications] MTF Articles
By MARK ANTHONY TAMAYO March 19, 2020 First of two parts Under the self-assessment scheme, importers are responsible for reporting the details of their importations with the Bureau of Customs (BoC). These details — which must be reflected in the goods declaration — include the value of the imported goods…
By: Nica Marsha Gasapo on March 12,2020 The proper issuance of a letter of authority (LOA), which is a written official authority issued by the Bureau of Internal Revenue (BIR) to its representatives to conduct a tax audit, is a strict legal requirement for the validity of a BIR tax assessment. The LOA…
By: Kathleen Guiang on March 5,2020 Under the Local Government Code of 1991, owners or administrators of real property, whether natural or juridical persons, are required to prepare and file with the provincial, city or municipal assessor, a sworn statement declaring the true value of their property. Such declaration shall contain a…
By: Euney Marie J. Mata-Perez on February 27,2020 In my article titled “Model taxpayer charter” that was published in The Manila Times on Nov. 15, 2018, I discussed the need for a taxpayer charter to protect taxpayers against threats on their rights, especially in…
By: Euney Marie J. Mata-Perez on February 20,2020 The Senate Ways and Means Committee released Committee Report 50 dated Feb. 17, 2020, endorsing Senate Bill (SB) 1357, in substitution of SBs 535, 595 and 702, taking into consideration House Bill (HB) 4157, the proposed…
By: Euney Marie J. Mata-Perez on February 13,2020 The year 2020 started right for the viability of REITs or real estate investment trusts. The last of the major roadblocks for the creation of REITs has finally been removed, more than ten years after the…
By: Euney Marie J. Mata-Perez on February 6,2020 In last week’s article, we discussed that, under our National Internal Revenue Code, as amended (Tax Code), and existing regulations, donations in excess of P250,000 in any taxable year shall be exempt from donor’s tax if…
By: Euney Marie J. Mata-Perez on January 30,2020 The recent Taal Volcano eruption spurred once again the generosity of the Filipino spirit. Many Filipinos participated in countless relief efforts in various capacities, whether as volunteers or donors. Thus, it is good once again to…
By: Mark Anthony P. Tamayo on January 23,2020 Last of a series In last week’s article, we completed the discussion on the 11 Incoterms® rules as they relate to cross-border commercial transactions. In this last series, we shall focus on the possible effects and consequences of the chosen Incoterm® rule by…
By: Mark Anthony P. Tamayo on January 16,2020 Second of a series In last week’s article, we discussed the relevance of Incoterms 2020 as well as the salient features of Incoterms EXW (Ex Works), FOB (Free On Board), CPT (Carriage Paid To) and CFR (Cost and Freight), as they relate to…
By: Mark Anthony P. Tamayo on January 9,2020 The idea of the International Commercial Terms, or Incoterms®, was first conceived by the International Chamber of Commerce in 1921, with the first edition published in 1936. Since 1980, Incoterms® have been updated every decade in order to align the rules with changes…
By: Euney Marie J. Mata-Perez on December 26,2019 THIS year passed like a breeze. We just celebrated Christmas. Everyone is still in a holiday mood. In our last article for the year, we deem it fit to look back at 2019 and review some…
By: Euney Marie J. Mata-Perez on December 19,2019 The withholding tax obligations in the Philippines are not simple. Philippine taxpayers are required to withhold creditable withholding taxes (CWT) at varying rates on several income payments, and remit the taxes withheld to the Bureau of…
By: Euney Marie J. Mata-Perez on December 5,2019 The Philippines is becoming a major player in the offshore gaming industry worldwide. Owing to our regulatory framework, offshore gaming operations can be granted licenses and be regulated, thereby, be legalized in the country. The main…
By: Mark Anthony P. Tamayo on November 28,2019 Last of two parts IN last week’s column, we discussed the basic concept of a customs bonded warehouse (CBW) in line with the newly issued guidelines under Customs Administrative Order (CAO) 13-2019. In this column, we shall discuss the associated costs in…
By: Mark Anthony P. Tamayo on November 21,2019 First of two parts The new guidelines on the establishment, operation, supervision and control of customs bonded warehouses (CBWs) was recently issued by the Department of Finance (DoF) and Bureau of Customs (BoC). Customs Administrative Order (CAO) No. 13-2019, which took effect…
By: Euney Marie J. Mata-Perez on November 14,2019 NEW rules on taxation of digitalized transactions are being proposed by OECD (Organization for Economic Co-operation and Development), and these rules will be game changing in international taxation. The power of taxation is exercised by…
By: Euney Marie J. Mata-Perez on November 7,2019 The world is getting smaller. Cross-border and digital transactions are becoming an integral part of business and everyday life. Thus, a global approach to taxing digital transactions is essential; otherwise, the risk of different countries…
By: Euney Marie J. Mata-Perez on October 31,2019 So much has been written about the rationalization of tax incentives under the proposed Comprehensive Income Tax and Incentives Rationalization Act (Citira) or House Bill 4157. Thus, an understanding as to how the rationalization actual…
By: Euney Marie J. Mata-Perez on October 24,2019 In a joint statement released this week, 11 business groups expressed support for the “overall corporate income tax framework” under the proposed Corporate Income Tax and Incentives Rationalization Act (Citira) or House Bill 4157. Citira…
By: Mark Anthony P. Tamayo on October 17,2019 MULTINATIONAL companies engaged in related party transactions normally set up their respective transfer pricing (TP) policies for the purpose of achieving their specific operating profit margin targets. It is common though that the target would materially fall outside of the arm’s-length range at…
By: Mark Anthony P. Tamayo on October 10,2019 The long awaited guidelines for transfer pricing (TP) examinations was recently issued by the Bureau of Internal Revenue (BIR) under Revenue Audit Memorandum Order (RAMO) 1-2019 dated Aug. 20, 2019. It is basically a manual of standardized procedures and techniques to be adopted…
By: Gerardo Maximo V. Francisco on October 3,2019 The jurisdiction of the National Labor Relations Commission (NLRC) is limited to cases or disputes where there is an employer-employee relationship between the parties. If no such employer-employee relationship exists, then the regular courts would have jurisdiction over the case or dispute.…
By: Euney Marie J. Mata-Perez on September 26,2019 IN sale of shares outside the facilities of the stock exchange, gain is calculated by deducting cost from the higher of the selling price or the fair market value of the shares sold. Unlike valuation…
By: Euney Marie J. Mata-Perez on September 19,2019 The House of Representatives of this 18th Congress approved on third and final reading House Bill 4157 or the Citira (Corporate Income Tax and Incentive Rationalization Act), Package 2 of the government’s Comprehensive Tax Reform…
By: Kathlene Guiang on September 12,2019 Under the 1987 Philippine Constitution, the grant of franchise, certificate, or any other form of authorization for the operation of a public utility is limited to Filipino citizens and to entities at least 60 percent of whose capital is owned and controlled by Filipino…
By: Euney Marie J. Mata-Perez on September 5,2019 With the passage of the Revised Corporation Code (RCC), it is now important for corporations to determine whether or not they qualify as “corporations vested with public interest”. If they so qualify, they will be subject…
By: Mark Anthony P. Tamayo on August 29, 2019 Under Republic Act 10963, or the Tax Reform for Acceleration and Inclusion Act (Train), the excise tax rates (which went up from last year’s rates) on diesel, bunker fuel and gasoline will further increase in 2020. A…
By: Euney Marie J. Mata-Perez on August 22,2019 With the passage of Republic Act 11346, which increases the excise tax on tobacco products to P45 per pack by 2020 from the current P35, Congress is quickly working on the passage of the other…
By: Euney Marie J. Mata-Perez on August 15,2019 The news is replete with discussions on the refiling of the proposed bills for the other TRAIN Packages with the 18th Congress. However, there seems to be no discussion yet on any proposed amendment to the…
By: Nica Marsha Gasapo on August 8,2019 The Securities and Exchange Commission (SEC) issued the Amended Guidelines and Procedures on the Use of Corporate and Partnership Names (Amended Guidelines) through SEC Memorandum Circular (MC) 13, Series of 2019. The amended guidelines introduce amendments to…
By: Euney Marie J. Mata-Perez on August 1, 2019 There is a specific rationale behind the imposition of value-added tax (VAT). VAT was not intended to be imposed on every transaction or transfer. Its imposition must bear some relevance to the taxpayer’s role…
By: Samantha L. Poblacion on July 25,2019 There have been several major developments in the virtual currency space since our article, entitled “Regulating the Virtual Currency Space”, which was published on July 8, 2018. In the said article, we mentioned that the Securities and Exchange Commission…
By: Euney Marie J. Mata-Perez on July 18, 2019 Editor’s note: An earlier version of this article cited the wrong case number for Commissioner of Internal Revenue vs. Maersk Global Service Centres (Philippines), Ltd. The correct case number should be CTA EB Case…
By: Aziza Hannah Bacay on July 11,2019 Our present government has been pushing to liberalize foreign ownership restrictions to drive growth. Among the sectors the government is looking at to liberalize is the retail trade. It is also looking at introducing amendment to the Public Service Act (Commonwealth Act No. 146)…
By: Samantha L. Poblacion on July 5, 2019 In pursuit of its mandate to enact the implementing rules and regulations (IRR) of the Tax Amnesty Act (otherwise known as Republic Act 11213), the Bureau of Internal Revenue (BIR) released the IRRs for availment of amnesty on estate and delinquent taxes.
By: Euney Marie J. Mata-Perez on June 27, 2019 In last week’s article, we mentioned that it has been almost 10 years since the passage of (RA 9856), or “An Act Providing the Legal Framework for Real Estate Investment Trust and for Other Purposes” (REIT Act). However, up to this…
By: Euney Marie J. Mata-Perez on June 20, 2019 First of 2 parts) It has been almost ten years since the passage of Republic Act No. 9856, or An Act Providing the Legal Framework for Real Estate Investment Trust and for Other Purposes (REIT Act of 2009). However, up to…
By: Nica Marsha Gasapo on June 13, 2019 On May 27, 2019, House Bill (HB) 9106 (HB 9106) entitled “An Act Granting Additional Privileges to Persons with Disabilities,” was approved on third reading by members of the House of Representatives of the 17th Congress, and transmitted to the Senate on…
CLICK THIS LINK TO REGISTER SPEAKERS: Atty. Euney Marie J. Mata-Perez Atty. Mark Anthony P. Tamayo Atty. Gerardo Maximo V. Francisco TOPICS: The Tax Reform Package by Atty. Euney Mata-Perez Updates on the recent developments in the implementation of the TRAIN Law Salient features of the recently enacted Tax Amnesty…
By: Euney Marie J. Mata-Perez on June 6, 2019 MTF Tax and Legal Seminar Before I discuss today’s topic, I would like to invite everyone to our CPD-accredited legal and tax seminar scheduled on July 17, 2019. Please check our website, www.mtfcounsel.com or email us at info@mtfcounsel.com if interested. Topics…
By: Atty. Medienne Isabelle M. Castillon On May 30, 2019, the Securities and Exchange Commission (SEC) requested the public to comment on the latest version of the General Information Sheet (GIS) which requires the disclosure of beneficial owners. Pursuant to SEC Memorandum Circular No. 17, Series of 2018, the latest…
By: Euney Marie J. Mata-Perez on May 30, 2019 A corporation is an artificial person with a juridical personality separate from its stockholders, directors, and officers. With this personality, corporations enjoy the benefits of succession, limited liability protection, centralized management and generally free-transferability…
By: Euney Marie J. Mata-Perez on May 23, 2019 To promote good governance and protect minority stockholders, the Securities and Exchange Commission (SEC) recently issued Memorandum Circular No. 10, Series of 2019, promulgating the Rules on Material Related Party Transactions for Publicly-Listed Companies. The rules became effective on April 27,…
By: Euney Marie J. Mata-Perez on May 16, 2019 The Asia-Oceana Tax Consultants’ Association, as represented by its President, Atty. Euney Marie J. Mata-Perez, attended as an observer of the first Conference of the Belt and Road Initiative Tax Administration Cooperation Forum (BRITACOF) hosted by the State Taxation Administration of…
By: Euney Marie J. Mata-Perez on May 16, 2019 China’s Belt and Road Initiative (BRI) is a development strategy adopted by the Chinese government involving infrastructure development and investments in various countries and international organizations in Europe, Asia, Middle East, Latin America and Africa. “Belt” refers to the overland routes…
By: Samantha L. Poblacion on May 10, 2019 The Philippine startup community awaits with bated breath for the approval of the Innovative Startup Bill. According to a senate press release in May 2018, the bill will provide support to innovative and tech startups, which pertain to businesses that provide unique…
By: Nica Marsha Gasapo on May 2, 2019 Yesterday, May 1, was Labor Day and April was Autism Awareness Month. For today’s article, we will discuss Philippine laws geared toward the welfare and integration of persons with disability (PWDs). These laws seek to destroy social barriers that prejudice the rights…
By: Mark Anthony P. Tamayo on April 25, 2019 (Last of three parts) In last week’s article, we briefly discussed Republic Act (RA) No. 8752 (Anti-dumping Act) and RA No. 8751 (Countervailing Duty Act) as trade protection instruments, which can be used against unfair trade practices. In this article, we…
By: Mark Anthony P. Tamayo on April 18, 2019 (Second of three parts) In last week’s article, we discussed briefly Republic Act (RA) No. 8800 (Safeguard Measures Act) as a protection tool to address the unexpected surge in imports that cause (or threaten to cause) serious injury to the domestic…
By: Mark Anthony P. Tamayo on April 11, 2019 First of three parts The multifaceted systems of controls and taxes on traded goods were believed to be in existence over three centuries ago, when travelling merchants offered, on their own accord, customs fees to monarchs and sovereign rulers for the…
By: Richelle Dianne R. Patawaran on April 4, 2019 The Revised Corporation Code (RCC), which took effect on Feb. 23, 2019, recently introduced significant changes to the conduct of corporate meetings and in effect imposed additional obligations on the corporate secretary in the conduct of such meetings. One such change…
By: Euney Marie J. Mata-Perez on March 28, 2019 Republic Act No. 11232 or the Revised Corporation Code (RCC) has expanded the role and increased the powers of the Securities and Exchange Commission (SEC). Senator Franklin Drilon, the main author of the law, said during the very well-attended joint forum…
By: Richelle Dianne R. Patawaran on March 21, 2019 With the 2019 Philippine general election less than two months away, and with the recent passage of the Revised Corporation Code (RCC), we take this opportunity to revisit the issue of whether political contributions by corporations are allowed under the law.
By: Euney Marie J. Mata-Perez on March 14, 2019 In ranking the ease of doing business (EODB) of economies, the World Bank (WB) also evaluates a country’s protection of the interests of minority investors. In this regard, it considers two indices, namely, 1) conflicts of interest regulation, and 2) shareholders’…
By: Samantha Poblacion on March 7, 2019 The past month rendered an important and interesting decision from the Philippine Competition Commission (PCC). On Feb. 12, 2019, the PCC denied the prospective acquisition by Universal Robina Corp.-Balayan (URC) of the sugarcane milling and refinery assets of Central Azucarera Don Pedro Inc.…
By: Euney Marie J. Mata-Perez on February 28, 2019 Finally, the Revised Corporation Code or Republic Act No. 112321 (RCC) was signed into law by the President on February 20, 2019 and published in the Official Gazette on Feb. 21, 2019. It will thus become effective on March 8, 2019.…
By: Euney Marie J. Mata-Perez on February 21, 2019 A year ago today, we published our first article in this column, entitled “A Good Beginning” (https://mtfcounsel.com/2018/02/22/a-good-beginning). It was the beginning of a journey and, after publishing a total of 52 articles, we continue to write. We are grateful to, and…
MTF Managing Partner, Atty. Euney Marie J. Mata-Perez, was one of the panelists during the Ease of Doing Business (EODB) Forum held on January 30, 2019 at the Ateneo Professional Schools Auditorium, Rockwell, Makati, Philippines. Atty. Mata-Perez, along with other local experts, were invited to discuss the implications of Republic…
By: Atty. Euney Marie J. Mata-Perez In response to the thrust of the Asia-Oceana Tax Consultants’ Association to have more exchange of information among its members in the Asia-Pacific region, the Tax-Accountancy Association Union of Republic of Chinese Taipei (TAAUT) held a regional tax conference last January 21, 2019 in…
By: Euney Marie J. Mata-Perez on February 14, 2019 Private corporations are created by fiction of law, and they owe their existence to the law establishing them. In our jurisdiction, such law is the Corporation Code. Upon the issuance by the Securities and Exchange Commission (SEC) of its certificate of…
By: Euney Marie J. Mata-Perez on February 7, 2019 In response to the thrust of the Asia-Oceana Tax Consultants’ Association (AOTCA) to have more exchange of information among its members in the Asia-Pacific region, the Tax-Accountancy Association Union of Republic of Chinese Taipei (TAAUCT) held a regional tax conference last…
By: Mark Anthony P. Tamayo on January 31, 2019 Last of two parts In last week’s article, we discussed briefly the coverage of a post clearance audit (PCA) under customs administrative order (CAO) 01-2019 and the potential issues that may be raised by the post clearance audit group (PCAG) of…
By: Mark Anthony P. Tamayo on January 25, 2019 (First of two parts) The regulation on the guidelines of the Post Clearance Audit (PCA) and Prior Disclosure Program (PDP) has finally been signed by the Department of Finance (DOF) Secretary last Jan. 9, 2019. Embodied under Customs Administrative Order (CAO)…
By: Euney Marie J. Mata-Perez on January 17, 2019 All corporations are now required to disclose their ultimate beneficial owners. This requirement is no longer limited to publicly-listed corporations. In Securities and Exchange Commission’s (SEC) Memorandum Circular No. 17, Series of 2018, SEC…
By: Euney Marie J. Mata-Perez on January 10, 2019 It is now clear that the proposed Tax Amnesty Act (TAA) will be passed soon. The report of the Bicameral Conference Committee which harmonized the provisions of the tax amnesty bills (House Bill Nos. 4814 and 8554 and Senate Bill No.…
By: Euney Marie J. Mata-Perez on January 3,2019. Happy new year! The year 2018 was an interesting year in the tax arena. Republic Act 10963 or the Tax Reform for Acceleration and Inclusion (Train) Law, amending the National Internal Revenue Code (Tax Code), became…
The annual yuletide festival is certainly the most joyous time of the year. Not only do we celebrate the birth of our Lord but it is also the time to reconnect with friends, acquaintances and most specially, family and relatives. It is traditionally a season of gift giving, remembering dearly…
By: Euney Marie J. Mata-Perez on December 20, 2018 The Senate and the House of Representatives have ratified a bicameral conference committee report that harmonized provisions of tax amnesty bills (House Bills 4814 and 8554 and Senate Bill 2059 [SB 2059]) passed by both houses of Congress.
By Euney Marie J. Mata-Perez on December 13, 2018 Advent is the time for giving. Thus, it is a good time to be reminded of the taxes imposed on donations and the tax benefits of making them.
By: Euney Marie J. Mata-Perez on December 6, 2018 Senate Bill 1979 (in relation to House Bill 4800) proposes to impose a royalty tax on both metallic and non-metallic mining operations conducted outside mineral reservations, whether large scale or small scale, at three percent of the market value of the…
By: Euney Marie J. Mata-Perez on November 29, 2018 Medical and hospitalization costs in the Philippines are not cheap and could be daunting for ordinary employees. Thus, to cover these costs, many employers obtain group health insurance plans or “health cards” for their employees or contribute to health and hospitalization…