PACC Breakfast Conversation: PH 102: From Train Law to Tax Amnesty Law
February 07, 2019
The Philippine American Chamber of Commerce (PACC) to Hold Forum on Philippine Tax Reform and Developments
By: Attorney Betheena Dizon
PACC, Special Projects Officer
Tax reform has been one of the Duterte administration’s 10-point agenda launched upon the Philippine President’s assumption of power in 2016. Indeed, the Department of Finance together with Congress partnered to overhaul the Philippine Tax Code, where the last substantial amendment was made way back in 1997. The tax authorities divided the tax reform program in several packages with focus on the following: reduction of personal income tax rates, decrease in corporate income tax rate with rationalization of fiscal incentives, harmonizing of passive income withholding tax rates, and tax amnesty.
Package 1 or better known as the Tax Reform for Acceleration and Inclusion (TRAIN) Law took effect on January 1, 2018. The TRAIN Law reduced personal income tax rates, standardized estate and donor’s tax into a single rate, indexed the excise tax on fuel to inflation, and introduced a new set of excise taxes. On the other hand, Packages 2 and 4, which deal with corporate income taxes and passive income withholding tax rates, respectively, are now pending in Senate for deliberation after these were passed by the House of Representatives in late 2018.
But of particular development as of the moment is the general and estate tax amnesty bill which was passed by Congress also in late 2018 and is now awaiting the President’s signature for approval. The tax amnesty bill provides a good opportunity for all taxpayers with unpaid taxes to settle their obligations with the Government and start a new clean slate tax-wise by paying an amnesty tax to be determined according to their net worth or net assets.
Interestingly, the tax amnesty also covers estate tax amnesty. Congress has recognized that there are substantial assets, specifically, significant tracts of land that remain idle and unutilized due to unpaid estate taxes. In order to free up these idle assets for economic development, the estate tax amnesty proposal offers the settlement of unpaid estate taxes by paying amnesty tax according to the mechanics identified by the Government.
To update the Filipino American businesses and the broader community of these initiatives in the Philippines, the Philippine American Chamber of Commerce (PACC) in New York will be holding a Breakfast Conversation entitledPH 102: From TRAIN Law to Tax Amnesty Law – Updates on Philippine Tax Reforms, on February 7, 2018. Individuals and corporations interested to learn more about this issue are encouraged to attend. For details, please email PhilAmChamberNY@gmail.com or visit www.philamchamberny.org
PACC Meeting with Senator Sherwin Gatchalian
December 26, 2018
PACC Breakfast Conversation: PH 101 - Investing and Doing Business in the Philippines
November 15, 2018
The Philippine American Chamber of Commerce (PACC) held its bi-monthly Breakfast Conversation Series on 15 November 2018 at 200 Madison Avenue, New York City. Entitled “PH 101: Investing and Doing Business in the Philippines,” the event showcased the Philippines as an investment destination with guests from Gulapa & Baclay LLP, Gulapa Law Manila, and Philippine Long Distance Telephone Company (PLDT) US providing insight on the discussions.
Charmaine Haw-Lim, Managing Partner of Gulapa Law Manila, explained various available investment vehicles in the Philippines, with emphasis on investments on infrastructure projects, in line with the Philippine Government’s “BUILD BUILD BUILD” program. She further gave a brief overview on the applicable laws in the Philippines that would have to be considered when planning an investment in the Philippines.
Oliver Baclay from Gulapa & Baclay LLP tackled the intellectual property aspect of doing business in the Philippines, while mentioning its relevance to the current trade tensions between the US and China. He discussed the protection given to intellectual property under Philippine laws, emphasizing the significant level of protection available under Philippine laws to intellectual property. Mr. Baclay also provided a rundown on the business registration process in the Philippines.
Mr. Albert Del Rosario (Head of Product and Marketing) and Mr. Rich Ortega (Managing Director), from PLDT US, meanwhile, discussed the IT infrastructure in the Philippines. Emphasis was made on the growing IT business in the Philippines as well as the available IT services, noting that further improvements are being made to address concerns on slow internet speed in the Philippines.
More than forty business leaders and professionals attended the event.
A networking and photo op session followed the event.
The Breakfast Conversation Series is a regular event sponsored by the PACC as an avenue to discuss economic and commercial issues both in the United States and in the Philippines. Past discussions included Real Estate Developments in New York and a Global Economic Briefing. This was the third and final Breakfast Conversation event for 2018.
PACC Meeting with Consul General Claro Cristobal
August 13, 2018
Meet Up Series
October 18, 2018
Great Turnout at our Meet Up Series event !
PACC at Unity Gala
May 11, 2018
PACC Meet Up Series
May 15, 2018
PACC Christmas party
December 18, 2017
PACC Officers at PCGNY General Assembly
February 08, 2018
PACC meeting with CEZA Director at PCGNY
November 02, 2017
PACC officers meeting with Cagayan Export Zone Authority (CEZA) Head Raul Lambino and Deputy Administrator Ray Roquero and Geoffrey Cabalza and Ambassador Tess Dizon De Vega, Philippine Consulate General of NY.
PACC meeting with PLDT
November 04, 2017
Philippine Investment Forum
March 03, 2016
Philippines Business & Investment Forum
Over the past five years, the Philippines has gone from being known as the “sick man” of Asia to the region’s stellar performer, lauded by international investors and analysts as one of the most promising countries for future growth and investment.
As evidence, in 2013 the three major international credit rating agencies – Standard & Poor’s, Moody’s and Fitch - all raised the Philippines’ sovereign debt to an investment grade rating, the first time it has achieved this status. The country’s GDP grew at an average of 6.3 per cent from 2010-2014, the highest five-year average in the past 40 years. The International Monetary Fund now predicts that the economy will grow 6.7% in 2015, even as China, the Philippines’ largest import partner, will see its slowest growth in a quarter century.
In order for the country to realize its potential over the next decade, the current consumer-driven expansion will have to change to investment-led growth. Although last year ́s $6.2 billion in foreign investment was the highest figure ever, more international investment is required in strategic areas such as infrastructure, manufacturing, energy, agriculture, education and healthcare.
The Philippines Business & Investment Forum in New York will bring together influential leaders from the Filipino government and private sector, along with their U.S. and relevant international counterparts for an in-depth analysis of the Philippine economic and political situation and the opportunities it holds for investors, both in capital markets and in industry.
Philippine Trip - July 21 to August 8, 2016
Couture, Culture & Change Fashion Show
October 01, 2016