Tag: business owners

BIR’s withholding tax on online sellers in effect

BIR’s withholding tax on online sellers in effect

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With the extension of the deadline over, the Bureau of Internal Revenue’s (BIR) withholding tax on online sellers who conduct business on electronic marketplaces (example: Lazada) came into effect recently, according to a Manila Bulletin business new report.

To put things in perspective, posted below is an excerpt from the Manila Bulletin news report. Some parts in boldface…

The Bureau of Internal Revenue (BIR) has started implementing the withholding tax requirement for online sellers who conduct business on electronic marketplaces like Lazada and Shopee.

In a statement, BIR Commissioner Romeo D. Lumagui Jr. said there will be no further extensions for online merchants to comply with the new withholding tax system outlined in Revenue Regulations (RR) No. 16-2023.

Under the BIR regulations, e-marketplace operators are mandated to withhold one percent creditable tax on half of the total payments sent to sellers or merchants for products or services sold through their platform.

“Electronic Marketplace Operators will begin imposing Withholding Tax against their sellers/merchants starting July 15, 2024. We have already extended this by 90 days. No further extensions will be given,” Lumagui said.

Last April, the BIR extended the RR No. 16-2023 deadline until July 14, 2024.

“No more extensions will be given after the previous 90-day extension under [Revenue Memorandum Circular] RMC No. 55-2024,” the BIR noted.

The previous extension was given to allow e-marketplace operators to comply with the requirements of the BIR and adjust to the provisions of RR 16-2023 before the withholding tax is imposed.

Lumagui also clarified that withholding tax is not a new tax, noting it is a system where taxes are collected in advance and later offset against the seller’s total income tax liability.

“The BIR aims to level the playing field between brick-and-mortar stores, which are regularly complying with their tax obligations, and online marketplaces,” Lumagui said.

“Whether their business is operated online or through physical stores, sellers and merchants have to pay their taxes,” he added.

Meanwhile, the BIR has given digital financial services providers more time to switch to the new withholding tax system.

Let me end this piece by asking you readers: What is your reaction to this recent development? If you have been selling through the electronic marketplaces, do you think the 1% withholding tax will be a big challenge in the long-term? Have you prepared your business for the withholding tax?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

Muntinlupa City to help sari-sari store owners with program

Muntinlupa City to help sari-sari store owners with program

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Recently in the progressive City of Muntinlupa, the City Government announced that it will implement a notable program that will benefit owners of sari-sari stores and other micro-retailers through a special program, according to a Manila Bulletin news report.

To put things in perspective, posted below is the excerpt from the Manila Bulletin news report. Some parts in boldface…

The Muntinlupa City government will implement the iSTAR Program aiming to provide skills to sari-sari (variety) store and other micro-retailing business owners.

The Muntinlupa City Council approved Resolution 2023-293 authorizing Mayor Ruffy Biazon to enter into a memorandum of understanding with the Technical Education and Skills Development Authority (TESDA) for the implementation of the iSTAR Program or the upgraded version of the Sari-Sari Store Training and Access Resources (STAR) Program.

According to the resolution, the iSTAR Program “aims to provide access to skill training, resources, and peer mentoring to sari-sari store and carinderia owners and operators all over the country.”

Under the iSTAR Program, “sari-sari stores, traditional food outlets or karinderias and other Micro-retailing business owners will be provided with digital basic entrepreneurship training and access to business resources.”

The MOU aims to “provide both men and women residents of the city business and training to improve their finances and standard of living and at the same time, giving the community easy access to basic goods and commodities.”

Let me end this piece by asking you readers: If you are a Muntinlupa City resident, what is your reaction to this development? If you own a sari-sari store or a micro-retailing business, would you take part in the iSTAR program?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram at https://www.instagram.com/authorcarlocarrasco

For more South Metro Manila community news and developments, come back here soon. Also say NO to fake news, NO to irresponsible journalism, NO to misinformation, NO to plagiarists, NO to reckless publishers and NO to sinister propaganda when it comes to news and developments. For South Metro Manila community developments, member engagements, commerce and other relevant updates, join the growing South Metro Manila Facebook group at https://www.facebook.com/groups/342183059992673

Business Permit Renewal processing in Muntinlupa City to last until January 29, 2021

Business Permit Renewal processing in Muntinlupa City to last until January 29, 2021

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The annual Business Permits Renewal process in Muntinlupa City commenced in a bigger venue with strict health measures in place to comply with IATF safety protocols.

Mayor Jaime Fresnedi assures business locators in the city that health protocols are strictly observed in the 2021 Muntinlupa Business Permit Renewal Hub located at the Center Court of Muntinlupa Sports Center, Brgy. Tunasan.

Fresnedi inspected the venue with Local Economic Investment Promotions Officer Gary Llamas, City Administrator and Business Permits Licensing Officer Allan Cachuela, and other local officials during the opening of the renewal event last January 4.

Strict health standards and distancing protocols are implemented which include sterilization and disinfection of submitted documents using UV box, body temperature check, installation of alcohol sprays, and monitoring of ‘sneeze guards.’.

The public is advised to wear face mask with face shield and bring their own ballpen for their safety and convenience.

Business taxpayers are also instructed to download the StaySafe app on their mobile device to scan the QR Code at the entrance of the Renewal Hub for contact tracing purposes. The City Government partnered with Staysafe.PH through City Ordinance No. 2020-181 to implement a “No QR Code, No Entry Policy” in all establishments for mandatory contact tracing starting January 2021.

Further, senior citizens will not be allowed entry into the Renewal Hub, unless they are business owners renewing their permits in compliance with IATF guidelines. A One-Stop Shop arrangement in the Business Permit Renewal Hub has been installed in the venue for the convenience of taxpayers.

Business taxpayers can pay using Debit Cards in the Renewal Hub. Mobile ATMs and a Closed-Circuit Television System are also installed across the venue. Free shuttle service is provided for clients going to the venue with pick-up points located at Muntinlupa City Hall Quadrangle in Putatan.

The 2021 Business Permit Renewal will run from January 2 to 29, 2021 and BPLO Muntinlupa will serve clients from Mondays to Fridays, 8:00 AM to 5:00 PM. Currently, there are 15,144 registered business in the city. Earlier, BPLO Muntinlupa also encouraged business taxpayers to renew their business permits online through the Business E-payment SysTem (BEST).

Muntinlupa BEST is an online platform that will allow locators in Muntinlupa City to accomplish business permit applications and transactions through any internet-enabled device.

Top Ten “Early Bird” Taxpayers in the 2021 Muntinlupa Business Permit Renewal receive cerficates of recognition and grocery packages from the City Government. Mayor Jaime Fresnedi (5th from left) and City Administrator Engr. Allan Cachuela (left) greeted early taxpayers and extended his gratitude to the business owners for renewing their businesses in the city last January 4. The business renewal event will run until January 29 at Muntinlupa Sports Complex, Tunasan. (source – Muntinlupa PIO)

Taxpayers can access the online platform via www.muntinlupacity.gov.ph and accomplish transactions including application for New Business Permit, Renewal of Business Permit, Application Status Inquiry, Billing and Payment, and Payment History.

Mayor Fresnedi thanked the business owners for their punctuality in paying their dues and renewing their businesses in the city despite challenges brought about by the pandemic. The local exec also encouraged other locators to skip “rush days” of registration nearing the deadline.

He vowed to assist local entrepreneurs in the city through various social and economic programs and services for their recovery.

The list of requirements is posted in the city’s website www.muntinlupacity.gov.ph. For inquiries, you may call BPLO Muntinlupa at 8317-9964 or email at bplo.muntinlupa@yahoo.com.

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The above information was provided by the City Government of Muntinlupa for the purpose of public information and transparency. Some parts were edited for this website.

For more South Metro Manila community news and developments, come back here soon. Also say NO to fake news, NO to irresponsible journalism, NO to misinformation, NO to plagiarists, NO to reckless publishers and NO to sinister propaganda when it comes to news and developments. For South Metro Manila community developments, member engagements, commerce and other relevant updates, join the growing South Metro Manila Facebook group at https://www.facebook.com/groups/342183059992673