Makati Chamber MSME members who are in the retail sector are actively pursuing the expansion of their company to internet in order to attract more customers, as existing sales outlets are disrupted by the suspension of market activities owing to the coronavirus pandemic. This reported new taxation policy may or may not adversely affect their efforts.
Here’s what we (PCCI-Makati) know:
In a briefing, BIR Deputy Operations Commissioner Arnel S.D. Guballa reported that the BIR is “papunta na” in that direction and is researching what certain countries are doing with respect to value-added tax on these facilities, the online marketplaces.
The Bureau of Internal Revenue (BIR) announced Wednesday that it is setting the framework for regulating internet web providers and stores, including subscription sites such as Netflix.