Tuesday, October 3, 2023
manilastandard.net
ADVERTISEMENT
  • About
  • News
    • Top Stories
    • National
    • World News
    • Pinoy Abroad
    • Features
  • Opinion
    • Editorial
    • Columns
    • Soundbytes
  • LGUs
    • NCR
    • Luzon
    • Visayas
    • Mindanao
  • Business
    • Corporate
    • Economy & Trade
    • Stocks
    • Money
    • Agri & Mining
    • Power & Tech
    • IT & Telecom
  • Sports
    • Basketball
    • Volleyball
    • Fightsports
    • Active
    • Sports Plus
    • One Championship
    • Columns
  • Entertainment
    • TV & Movies
    • Celebrity Profiles
    • Music & Concerts
    • Digital Media
    • Columns
  • Lifestyle
    • Food
    • Culture & Media
    • Fashion
    • Health and Home
    • Leisure
    • Shopping
    • Columns
    • Young Life
  • Special Pages
    • Pets
    • Tech
      • Gadgets
      • Computers
      • Business
      • Tech Plus
    • On the Road
      • Sedan
      • SUV
      • Truck
      • Bike
      • Accessories
      • Motoring Plus
      • Commuter’s Corner
    • Home & Design
      • Residential
      • Commercial
      • Construction
      • Interior
    • Spotlight
    • Cravings
    • Environment & Sustainability
    • Agriculture
    • Pop.Life
      • Newsmakers
      • Hangouts
      • A-Pop
      • Post Its
      • Performances
      • Malls & Bazaars
      • Hobbies & Collections
    • Events
      • Seminars
      • Exhibits
      • Community
    • Biyahero
      • Travel Features
      • Travel Reels
      • Travel Logs
    • Gallery
      • Photos
      • Videos
  • Advertise with Us
No Result
View All Result
  • About
  • News
    • Top Stories
    • National
    • World News
    • Pinoy Abroad
    • Features
  • Opinion
    • Editorial
    • Columns
    • Soundbytes
  • LGUs
    • NCR
    • Luzon
    • Visayas
    • Mindanao
  • Business
    • Corporate
    • Economy & Trade
    • Stocks
    • Money
    • Agri & Mining
    • Power & Tech
    • IT & Telecom
  • Sports
    • Basketball
    • Volleyball
    • Fightsports
    • Active
    • Sports Plus
    • One Championship
    • Columns
  • Entertainment
    • TV & Movies
    • Celebrity Profiles
    • Music & Concerts
    • Digital Media
    • Columns
  • Lifestyle
    • Food
    • Culture & Media
    • Fashion
    • Health and Home
    • Leisure
    • Shopping
    • Columns
    • Young Life
  • Special Pages
    • Pets
    • Tech
      • Gadgets
      • Computers
      • Business
      • Tech Plus
    • On the Road
      • Sedan
      • SUV
      • Truck
      • Bike
      • Accessories
      • Motoring Plus
      • Commuter’s Corner
    • Home & Design
      • Residential
      • Commercial
      • Construction
      • Interior
    • Spotlight
    • Cravings
    • Environment & Sustainability
    • Agriculture
    • Pop.Life
      • Newsmakers
      • Hangouts
      • A-Pop
      • Post Its
      • Performances
      • Malls & Bazaars
      • Hobbies & Collections
    • Events
      • Seminars
      • Exhibits
      • Community
    • Biyahero
      • Travel Features
      • Travel Reels
      • Travel Logs
    • Gallery
      • Photos
      • Videos
  • Advertise with Us
No Result
View All Result
manilastandard.net
No Result
View All Result
Home Business Economy & Trade

Salceda’s digital economy tax bill to raise P29.1-b new revenues to fill Covid-19 gap

Manila Standard BusinessbyManila Standard Business
May 21, 2020, 9:20 pm
in Economy & Trade
Reading Time: 2 mins read
A A
Share on FacebookShare on TwitterShare on Email

House Ways and Means chair Joey Sarte Salceda (Albay, 2nd district) filed a tax bill to better capture the value created by the digital economy in the country’s tax system, and plug loopholes caused by ambiguities as to what kind of taxes digital services are liable to.

Salceda the bill aimed to simplify the tax collection procedures in the digital economy. It will make e-commerce platforms like Lazada as withholding agents for VAT on imports from its sellers, mostly overseas-based.

It wil require digital services providers like Facebook, Google and Netflix to be domiciled before offering their services so they become subject to value added tax (VAT) and corporate income tax (CIT).

The tax measure, HB 6765, titled An Act Establishing a Fiscal Regime for the Digital Economy, is estimated to yield as much as P29.1 billion annually in incremental revenues. It seeks to amend Sections 57, 105, 108, and 114 of the National Internal Revenue code.

“No new taxes here, we just want them to pay their fair share. Assuming you’re a company with a setup in the Philippines, and you do video-streaming or music-streaming services, you will definitely pay taxes. If you are a digital network operating in the country and get paid for the advertising services you provide, you are supposed to be subject to VAT,” he said.

“Google and Facebook, however, are not subject to VAT for their advertising incomes. ‘Ang laki po ng kinikita nila sa mga Pilipino, pero ni isang kusing ng VAT, wala. (They earn huge amounts from Filipinos but they pay not even a centavo for VAT,” he added.

Salceda noted that “internet marketplaces like Lazada and Shopee were growing very rapidly, due partly to COVID-19, but there may be some tax compliance issues among its partners too.

“We are unable to capture that tax resource because our current definitions do not include them as withholding agents. “Simply put, these are not new taxes. These are tax administration measures we hope will capture the value more fairly, (to help ensure business equality in the Philippines), especially today when local businesses are struggling due to Covid-19, and there are these companies that are making a killing because of isolation, but are not paying enough taxes,” Salceda said.

The lawmaker said HB 6765 aims to make “network orchestrators” like Grab, Angkas, and other similar services as “withholding agents” for income taxes, to ease the burden of their partners of having to pay their own taxes, while also encouraging tax compliance.

The bill will also clarifying that services rendered electronically in the course of trade or business are liable to Value-Added Tax.

Tags: CITcorporate income taxdigital economyRep. Joey Sarte Salcedatax billvalue-added taxVAT
ADVERTISEMENT
Manila Standard Business

Manila Standard Business

Related Posts

WB reduces PH growth forecast to 5.6%

byJulito G. Rada
October 2, 2023, 9:10 pm
0
8
World Bank OKs $600 million ‘reform’ loan

The World Bank on Monday reduced its 2023 growth forecast for the Philippines to 5.6 percent from the 6-percent estimate...

Read more

Industry group expects franchising revenues to grow 13% to P30.5b in 2023

byOthel V. Campos
October 2, 2023, 8:55 pm
0
8
Industry group expects franchising revenues to grow 13% to P30.5b in 2023

An industry group expects franchising revenues to rise 13 percent in 2023 to P30.5 billion from P27 billion in 2022,...

Read more

Moody’s Analytics expects inflation to slow down to 5.2% in September

byJulito G. Rada
October 2, 2023, 8:45 pm
0
8
Q1 economic growth likely slowed to 1.8% – Moody’s

Moody’s Analytics, which operates independently of Moody’s Investors Service credit rating agency, said Monday it expects a slower inflation rate...

Read more

PH exports avocados to South Korea after nearly 15 years of discussions

byOthel V. Campos
October 2, 2023, 8:35 pm
0
8
PH gains Korean market access for fresh Hass avocado

The Philippines launched its first export shipment of fresh avocados to South Korea on Sept. 30, 2023 in a ceremonial...

Read more

World Bank cuts 2023 growth forecast for the Philippines to 5.6%

byJulito G. Rada
October 2, 2023, 11:20 am
0
8
World Bank OKs $600 million ‘reform’ loan

The World Bank on Monday slashed its 2023 growth forecast for the Philippines to 5.6 percent from the 6-percent estimate...

Read more

‘PH to stay fastest growing economy in Asia this year’

byJulito G. Rada
October 1, 2023, 9:35 pm
0
8
New DOT secretary promotes inclusive and sustainable tourism

Finance Secretary Benjamin Diokno said over the weekend the Philippines will remain one of the most resilient economies in the...

Read more

Print Edition

View More

Recent Posts

  • EU seeks to protect sensitive tech from Chinese buyers
  • Hardline US Republican launches bid to oust House speaker
  • UN approves Haiti force after year of pleas
  • EU pledges lasting support at ‘historic’ Kyiv meeting
  • PH, US, allies kick off 11-day naval drills
  • President, VP’s approval ratings see steep drop in third quarter
  • Senate, House performing well, Pinoys say in Pulse Asia survey
  • ‘Jenny’ seen reaching peak intensity today

Advertisement

Latest News

President, VP’s approval ratings see steep drop in third quarter

byCharles Dantes
October 3, 2023, 1:05 am
0
8
President, VP’s approval ratings see steep drop in third quarter

The approval ratings of the country’s two top officials dropped noticeably in the third quarter of the year, the latest...

Read more

Senate, House performing well, Pinoys say in Pulse Asia survey

byManila Standard
October 3, 2023, 1:00 am
0
8
Senate, House performing well, Pinoys say in Pulse Asia survey

More than half of Filipino adults approve of the performance of the Senate and the House of Representatives, a third-quarter...

Read more

‘Jenny’ seen reaching peak intensity today

byRio N. Arajaand1 others
October 3, 2023, 12:55 am
0
8
‘Jenny’ seen becoming typhoon by Monday

Typhoon “Jenny” intensified while moving northwestward over the Philippine Sea, the state weather bureau said yesterday. It is expected to...

Read more

Napoles dodges plunder rap, but guilty of 9 counts of direct bribery

byMaricel Cruz
October 3, 2023, 12:50 am
0
8
Food stamps tack eyed via ADB aid

Convicted plunderer Janet Lim Napoles was acquitted by the Sandiganbayan in a plunder case together with a former party-list lawmaker....

Read more

6 Navotas cops facing charges for teen’s slay

byManila Standard
October 3, 2023, 12:45 am
0
8
Soriano named comms adviser

State prosecutors have filed criminal charges against six Navotas police officers implicated in the death of 17-year-old Jerhode “Jemboy” Baltazar....

Read more

Advertisement

ADVERTISEMENT
Facebook Twitter Instagram Youtube

ABOUT US

Manila Standard

Manila Standard website (manilastandard.net), launched in August 2002, extends the newspaper’s reach beyond its traditional readers and makes its brand of Philippine news and opinion available to a much wider and geographically diverse readership here and overseas.

Digital Edition

In tone and content, the online edition mirrors the editorial thrust of the newspaper. While hewing to the traditional precepts of fairness and objectivity, MS believes the news of the day need not be staid, overly long or dry. Stories are succinct, readable and written in a lively style that has become a hallmark of the newspaper.

Download – Today’s Paper

Search

No Result
View All Result

6th Floor Universal Re Bldg., 106 Paseo De Roxas cor. Perea Street, Legaspi Village, 1226 Makati City Philippines

Trunklines: 832-5554, 832-5556, 832-5558

© 2021 Manila Standard - Designed and Developed by Neitiviti Studios.

No Result
View All Result
  • About
  • News
    • Top Stories
    • National
    • World News
    • Pinoy Abroad
    • Features
  • Opinion
    • Editorial
    • Columns
    • Soundbytes
  • LGUs
    • NCR
    • Luzon
    • Visayas
    • Mindanao
  • Business
    • Corporate
    • Economy & Trade
    • Stocks
    • Money
    • Agri & Mining
    • Power & Tech
    • IT & Telecom
  • Sports
    • Basketball
    • Volleyball
    • Fightsports
    • Active
    • Sports Plus
    • One Championship
    • Columns
  • Entertainment
    • TV & Movies
    • Celebrity Profiles
    • Music & Concerts
    • Digital Media
    • Columns
  • Lifestyle
    • Food
    • Culture & Media
    • Fashion
    • Health and Home
    • Leisure
    • Shopping
    • Columns
    • Young Life
  • Pets
  • Tech
    • Gadgets
    • Computers
    • Business
    • Tech Plus
  • ON THE ROAD
    • Sedan
    • SUV
    • Truck
    • Bike
    • Accessories
    • Motoring Plus
    • Commuter’s Corner
  • Home & Design
    • Residential
    • Commercial
    • Construction
    • Interior
  • Spotlight
  • Cravings
  • Environment & Sustainability
  • Agriculture
  • Pop.Life
    • Newsmakers
    • Hangouts
    • A-Pop
    • Post Its
    • Performances
    • Malls & Bazaars
    • Hobbies & Collections
  • Events
    • Seminars
    • Exhibits
    • Community
  • Biyahero
    • Travel Features
    • Travel Reels
    • Travel Logs
  • Gallery
    • Photos
    • Videos
  • Advertise with Us

© 2021 Manila Standard - Designed and Developed by Neitiviti Studios.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Install Manila Standard Web App

Install App