Until such time as existing tax treaties and tax laws are revised and revisited to account for digital economy, the Courts must apply the laws as they currently are (Saint Wealth LTD. v. Bureau of Internal Revenue, GR 252965, December 7, 2021). Know more:
Until such time as existing tax treaties and tax laws are revised and revisited to account for the digital economy, the Courts must apply the laws as they currently areThe Supreme Court made this pronouncement when it declared that there was no basis to impose tax on offshore-based gaming operators.
Why am I mentioning this? Because these observations will remain as we are not expecting any change soon. At least for VAT, there is a move to modify the law to include digital transactions in the coverage of our VAT system. The final version of the law is not yet clear, but definitely it would include non-resident providers transacting with consumers in the Philippines. But for income tax, there is none.
Compared to traditional services, there may indeed be a challenge in determining the source of income for digital transactions and other business activities transacted online or electronically. But again, applying thecase, as long as the property, activity or service is not located or done in the Philippines, then the country has no right to impose tax.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Work suspended in some courts due to Egay — SCWork in some courts for Tuesday, July 25, has been suspended due to the effects of Super Typhoon EgayPH, according to the Supreme Court (SC).
Read more »
Feast of Saint James the Great on July 25Roman Catholics celebrate Tuesday, July 25, the feast day of Saint James the Great (Santiago Mayor), one of the twelve apostles of Jesus Christ.
Read more »
Former Brazilian President Bolsonaro fades from the spotlight | Eléonore Hughes | The Associated PressRIO DE JANEIRO—Former Brazilian President Jair Bolsonaro is fading from the spotlight, showing the courts’ power over the electoral system and the political shortcomings of the increasingly powerless former leader. Brazil’s top electoral court ruled last month that Bolsonaro is ineligible to run for any political office until 2030 for…
Read more »
French players' union backs Mbappe amid PSG contract rowRelations between Kylian Mbappe and Paris Saint-Germain have been tense since the French football star said he would not renew his contract.
Read more »