April 04, 2020
COVID-19 Measures
The Philippine Government has enacted measures to help alleviate the effects of the enhanced quarantine period.
Among these is the Bayanihan to Heal as One Act (RA 11469), which provides among others:
1. a 30-day grace period for all loans
2. a 30-day grace period for residential rentals
The BSP and SEC have each issued circulars implementing the grace period for all loans. To be clear, interest will still accrue during the grace period; however, no penalty can be imposed on borrowers for the delayed payment during this period. Likewise, the accrued interest shall be amortized over the remaining term of the loan.
On April 4, 2020, DTI issued MC No. 20-12, which sets out the guidelines on the grace period for residential leases AND commercial leases for micro-, small-, and medium-scale enterprises.
MSMEs are advised to read the DTI circular in order to know their rights under the said issuance.
June 23, 2019
Energy Efficiency & Conservation Act
The Energy Efficiency and Conservation Act (RA 11285) was enacted into law on April 12, 2019. The law seeks to institutionalize energy efficiency and conservation as a national way of life. To achieve this, the Deparmten of Energy (DOE) will spearhead the creation of a National Energy Efficiency and Conservation Plan (NEECP).
What does the new law mean for private companies?
-
For manufacturers and distributors of energy-consuming products/devices/equipment, the DOE will conduct product examination, testing and verification, and prescribe energy labels for such products
-
For building owners & contractors, there will be energy efficiency requirements for new and retrofitted buildings
-
For the manufacturers and distributors of vehicles, there will be fuel economy performance labeling requirements
-
There will be a certification program (co-developed by DOE and TESDA) for energy conservation officers (CECO), energy managers (CEM) and energy service companies
-
Establishments with annual energy consumption of 500,000 kwh or more shall be required to (among others):
-
Implement an energy management system policy
-
submit an annual Energy Consumption and Conservation Report to the DOE and
-
employ a Certified Energy Conservation Officer (CECO) or Certified Energy Manager (CEM) (if annual consumption is more than 4M kWh)
-
-
DOE-certified energy efficiency projects will be included in the Investment Priority Plan and be entitled to BOI incentives
-
Concessional financial packages shall be made available by government financial institutions and other financial institutions for renewable energy and energy efficiency projects
Note: This article does not aim to provide legal advice nor shall it be construed as creating an attorney-client relationship with the reader. This article only provides salient provisions of the law, and is not designed to be an exhaustive or complete discussion of the law. Should you wish to learn more about this law, please get in touch with the partners in our firm.
May 31, 2019
Estate Tax Amnesty Rules
The Bureau of Internal Revenue has released the revenue regulations on the Estate Tax Amnesty.
The heirs of persons who passed away on or before December 31, 2017 can avail of the 6% estate tax amnesty rate.
The deadline to avail of the amnesty is 2 years from effectivity of the revenue regulations (expected to become effective before the end of June 2019).
January 03, 2018
Revised Withholding Tax on Compensation
Pursuant to the revised income tax rates under the Tax Reform for Acceleration and Inclusion (TRAIN, RA 10963), the Bureau of Internal Revenue issued RMC 1-2018 which sets out, among others, the new withholding tax table for compensation income.
The RMC also deals with the revised creditable withholding tax for self-employed individuals and professionals.
December 27, 2017
BSP Revised Rules on Foreign Loan
The Bangko Sentral ng Pilipinas (BSP) recently issued Circular No. 984, which amends the Manual of Regulations on Foreign Exchange Transactions (FX Manual).
Under the said circular, foreign currency loans which are not publicy guaranteed no longer require prior BSP approval. These foreign currency loans are now only subject to a notice requirement and subsequent registration.
In addition, BSP issued Circular 985 which allows unregistered private sector foreign loans to be registered within a six-month window from Jan. 15, 2018.
RESOURCES:
March 02, 2017
Microfinance NGOs
RA 10693
Under the Microfinance NGO Act, non-stock non-profit microfinance NGOs can be accredited by the Microfinance NGO Regulatory Council of the SEC.
Accredited microfinance NGOs are entitled to a preferential tax rate of 2% of gross receipts from their lending activities and insurance commissions, in lieu of all other national taxes.
RESOURCES:
Implementing Rules & Regulations
February 13, 2017
Anti-Age Discrimination Law
RA 10911
The Anti-Age Discrimination Law promotes the employment of individuals on the basis of abilities, knowledge, skills and qualifications.
The law prohibits employers from publishing the age requirements for employment, declining an employment application due to age,, impose early retirement due to age, require the declaration of age in the application process.
RESOURCES:
January 17, 2017
De Minimis Importations
In October 2016, the Bureau of Customs issued CAO 02-2016 which states that the importation of goods with De Minimis value shall not be subject to customs duties. At present, the de minimis value is P10,000.
Thus, if there is a book or other item of de minimis value that is mailed to you and the Post Office tries to impose a duty on such importation, you can cite CAO 02-2016.
◄
1 / 1
►