- Both the Senate and the House of Representatives have approved the imposition of value added tax on digital services
- The bill aims to clarify the VAT liability of nonresident digital service providers in the Philippines
- The bill empowers the Commissioner of the BIR to block or suspend services of providers who violate VAT provisions
- Digital services consumed in the Philippines will be considered performed or rendered in the country
- Non-resident digital service providers will be liable for assessing, collecting, and remitting the value added tax
- Online marketplaces will be liable to remit VAT on transactions of non-resident sellers under certain conditions
- 5 percent of incremental revenues will be earmarked for the development of creative industries for 5 years
- The bill will be sent to President Ferdinand Marcos, Jr. for signature
Source: news.abs-cbn.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
