online sellers – Author Carlo Carrasco

DTI Defers Mandatory Trustmark Due To Backlash From Online Merchants

October 18, 2025October 17, 2025carlocarrasco

In response to backlash from online merchants, the Department of Trade and Industry (DTI) officially deferred the mandatory Trademark, according to a Manila Bulletin news report. Trustmark will be voluntary until December 31, 2025.

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

After facing backlash from online merchants, the Department of Trade and Industry (DTI) will no longer mandate the E-Commerce Philippine Trustmark, instead making the requirement voluntary until the end of the year.

In a statement, the DTI said the move was announced by Trade Secretary Cristina Roque during a town hall meeting about the trustmark’s implementation on Wednesday, Oct. 15.

Roque said that hearing directly from stakeholders made the agency want to improve the trustmark to make it more “useful, fair, and helpful for both businesses and consumers.”

“After all, our shared goal is to make e-commerce in the Philippines safer and more trustworthy for everyone,” she said.

The secretary—and the DTI as a whole—has been on the receiving end of outrage among online merchants, who have been labeling the trustmark as an additional burden.

The DTI even disabled the comment feature on its Facebook page after being bombarded with criticism on every post, even those unrelated to the trustmark.

The trustmark, aligned with the Internet Transactions Act, serves as a digital badge to ensure that online platforms and merchants are compliant with fair e-commerce practices. It is designed to help consumers identify legitimate businesses, protecting them against unfair trade practices, scams, and other fraudulent activities.

Under the new policy, the DTI said that the trustmark will be voluntary until Dec. 31. So far, the DTI is still finalizing supplemental guidelines for this policy, including fees that depend on the size or type of business, among other details.

By early 2026, the department is expected to evaluate whether the trustmark registration will remain voluntary.

Let me end this post by asking you readers: What is your reaction to this development? What do you think the Trustmark of DTI is more of a hassle than a benefit for online sellers? Do you think the Trustmark should be scrapped entirely? What do you think should be done to help consumers find legitimate online merchants?

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

Mandatory Trustmark for E-Commerce in the Philippines

September 21, 2025September 12, 2025carlocarrasco

Business in the Philippines with established presence online will be required to get registered for E-Commerce Philippine Trustmark (Trustmark) as the Department of Trade and Industry (DTI) announced that digital verification system for e-commerce will be mandatory, according to a Manila Bulletin news report.

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

The digital verification system in e-commerce to ensure reliability of online transactions will no longer be voluntary and instead now mandated for every merchant and platform, according to the Department of Trade and Industry (DTI).

The DTI launched the E-Commerce Philippine Trustmark to serve as a digital badge issued to online businesses that comply with fair e-commerce practices.

In July, the department said the trustmark was only “voluntary,” with merchants only “encouraged to apply to build consumer trust.”

The trustmark is designed to help consumers identify legitimate online merchants, thereby safeguarding them from unfair trade practices and threats of scams and other fraudulent activities.

Under Department Administrative Order (DAO) No. 25-12, the DTI said the trustmark will now be mandatory and also serve as the permit for e-commerce merchants and online platforms to use the internet for conducting their business.

“Issuance of the trustmark shall signify that the products, goods, or services sold online by the holder comply with applicable standards and good e-commerce practices,” the DTI said in the order.

The DTI, headed by Secretary Cristina Roque, said the mandatory registration is a direct response to the recent surge in consumer concerns. Between January and August, the agency reported over 13,000 complaints related to online transactions.

As indicated under DAO No. 25-12, all online merchants, e-retailers, e-marketplaces, or digital platforms availing of the Philippine market over the internet shall apply for and obtain the (Trustmark) by Sept. 30

The DTI said this is to ensure that the merchant or platform is permitted to “use the internet for conducting e-commerce.”

While the order did not explicitly detail potential violations for not having a trustmark, it noted that those who have submitted an application on or before Sept. 30 must clearly state on their page that their trustmark is still pending evaluation and approval.

To apply for the trustmark, interested applicants must submit an application form accompanied by a sworn undertaking to comply with all applicable laws, rules, and regulations.

E-commerce merchants must meet key regulatory standards, including full business disclosure, protection of consumer data, and an internal redress mechanism to address consumer complaints.

As embodied under the order, the DTI emphasized that Trustmark does not exempt the holder from compliance with other applicable laws or regulations.

Let me end this post by asking you readers: What is your reaction to the recent developments? If you are operating a local business with presence online, do you think the mandatory registration for the Trustmark is hassle?

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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Deadline For E-Commerce Trustmark Registration In The Philippines Set On September 30, 2025

September 20, 2025September 11, 2025carlocarrasco

Here in the Philippines, businesses that have established their presence online are supposed to get themselves registered for the E-Commerce Philippine Trustmark (Trustmark) and they have until September 30, 2025, to do it, according to a news article by Philippine News Agency (PNA).

To put things in perspective, posted below is an excerpt from the PNA news article. Some parts in boldface…

Businesses with online presence are given until Sept. 30, 2025 to register for the E-Commerce Philippine Trustmark (Trustmark), a move aimed to address consumer concerns, the Department of Trade and Industry said Thursday.

Online merchants are mandated by the DTI, in a Department Administrative Order, to register for the Trustmark to increase consumers’ confidence on the electric commerce (e-commerce) space and in compliance to Republic Act 11967, otherwise known as the Internet Transactions Act of 2023.

“The mandatory registration is also a direct response to the surge in consumer concerns, with DTI recording over 13,000 complaints related to online transactions from January to August 2025,” DTI said in a press release Thursday.

Under the Internet Transactions Act of 2023, consumers may file damage claims against the erring online businesses before the court or the DTI. Penalties have been set, with the third and subsequent violations penalized PHP1 million.

DTI said it has already issued digital badges to several major entities that include Shopee Philippines, Inc. (Shopee), Bytedance Philippines Inc. (TikTok Shop), Lalamove Philippines, Inc. (Lalamove), and LG Electronics Philippines, Inc. (LG).

The others are Asahi Electrical Manufacturing Corporation (Asahi), Cherenz Global Mfg., Inc. (TOUGHMAMA), Concepcion Midea, Inc. (Midea), Concepcion Carrier Air Conditioning Company (Carrier), First Digital Finance Corporation (Billease), Mailtag Ortigas Corporation (DHL Express), Pan-Eurasia Sales Marketing Corporation (Dowell, Edamama and Tefal), QuadX Inc. (Gogo Xpress and ShippingCart), and Tosot Philippines Corporation (Tosot).

Let me end this post by asking you readers: What is your reaction to the recent developments? Do you think Trustmark will is good for both the legitimacy of businesses as well as the safety of consumers? Do you own a business with online presence?

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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Wanted Man Apprehended After Getting Spotted During Online Live Selling

September 19, 2025September 11, 2025carlocarrasco

Believe it or not, a man who was wanted for carnapping and estafa was arrested by the police in Pampanga after he was recognized during an online live selling session, according to a GMA Network news report. The suspect wore a face mask, a cap and sunglasses during the live selling.

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

A man wanted for estafa and carnapping was arrested after he was recognized by authorities in an online live-selling video.

According to Emil Sumangil’s exclusive report in “24 Oras” on Wednesday, the informant identified the suspect via the live video through the shape of his face and tattoo on the arm.

“Siya ay naka-face mask, naka-sumbrero, at naka salamin na hindi typikal sa paningin ng ating mga kababayan kapag sila ay nagbebenta o nagla-live selling,” said Philippine National Police Highway Patrol Group spokesperson Police Lt. Nadame Malang.

(He was wearing a face mask, a ballcap, and a pair of sunglasses on, which are not a typical appearance for those doing live sellings.)

Authorities were able to trace the location of the live selling at Lubao, Pampanga, which also led to the arrest of the suspect.

The PNP-HPG said the suspect was charged for estafa for fraudulent selling of anime figurines worth P800,000 to P900,000.

One of the alleged victims, who is now based in Australia, shared photos with GMA Integrated News that will prove his transactions with the suspect.

“Nangako po siya na babayaran ako through post dated checks, so nag-isyu po siya ng anim na post dated checks sa akin. Unfortunately po, lahat po ‘yun tumalbog,” he said.

(He promised that he would pay me through post dated checks which he did by issuing six. Unfortunately, all of them bounced.)

“Tinaguan na po kami, hindi na po siya totally nagre-reply sa mga messages ko,” the victim said, adding that there are 40 other victims.

(He hid from us and he was not totally replying to my messages.)

The PNP-HPG called on the other victims to coordinate with them.

Let me end this post by asking you readers: What is your reaction to this recent development? Does this development make you concerned that there could be crime suspects among the many people who sell online live? Does the arrest of the suspect turn you off from attending online selling sessions? If you recently bought products from online selling sessions, were the good legitimate? Do you know anyone who became a victim of the suspect in the above news story?

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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BIR expecting to collect billions from online sellers with withholding tax

August 9, 2024August 2, 2024carlocarrasco

With the 1% withholding tax on online sellers already in effect, Bureau of Internal Revenue (BIR) expects to collect billions of Pesos from the said sellers although they could not give an estimate on how much could be collected, according to a GMA Network news report.

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

The Bureau of Internal Revenue (BIR) is expecting to collect billions of pesos in taxes from the growing e-marketplace industry after it subjected online sellers under the withholding tax system.

“Itong withholding tax on online transactions, dahil effective na ‘yan, inaasahan natin na malaki rin ang maitutulong nito,” BIR Commissioner Romeo Lumagui Jr. told reporters at the sidelines of the agency’s 120th anniversary celebration in Pasay City on Thursday.

(The withholding tax on online transactions, since this has been effective, we expect it could help immensely.)

Lumagui said the BIR cannot yet give an estimate how much it can collect from imposing withholding tax on online sellers.

“But, we’re expecting that ‘yung revenues natin diyan would be in the billions,” he said.

The BIR’s plan to impose withholding tax to merchants in e-marketplaces took effect on July 15, 2024.

Under its Revenue Regulation (RR) No. 16-2023, one-half of the gross remittances of e-marketplace operations and digital financial services providers to the sellers or merchants for goods or services paid through their platform shall be subject to a 1% creditable withholding tax.

The BIR, however, said the 1% withholding tax shall not be collected “if the annual total gross remittances to an online seller for the past taxable year has not exceeded P500,000” and “if the cumulative gross remittances to an online seller in a taxable year has not yet exceeded P500,000.”

The withholding tax is the amount withheld by a business in payments of goods or services directly remitted to the government on behalf of suppliers or employees.

The BIR defines “gross remittances” as the total amount received by an e-marketplace operator or digital financial services provider from a buyer or consumer for the goods and services sold by or paid to the seller or merchant through the platform of the e-marketplace operator.

Let me end this piece by asking you readers: What is your reaction to this recent development? Do you think the 1% withholding tax on online sellers will help the BIR collect tens of billions of Pesos more by the end of this year?

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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BIR’s withholding tax on online sellers in effect

July 23, 2024July 16, 2024carlocarrasco

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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Online sellers arrested in Parañaque City for qualified theft

July 22, 2024July 13, 2024carlocarrasco

Recently in the city of Parañaque, two individuals who engaged in selling online were arrested by the local police for qualified theft, according to a Manila Bulletin news report. It turns out that the suspects were found selling hair growth serum which were stolen from someone.

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

Two online sellers were arrested by members of the Parañaque City police for theft after they were found selling stolen hair growth serum on Tiktok last July 9.

Parañaque City police chief Col. Melvin Montante reported to the Southern Police District (SPD) the arrest of alias Zerimar, 29, manager and a resident of 8th Avenue, Caloocan City; and Raymark, 21, packer and a stay-in employee at Hosuku Inc. at a condominium located in Roxas Boulevard, Barangay Baclaran, Parañaque City.

Montante said the owner of Hosuku hair growth serum, alias Yuji, 29, a businessman and a resident of Ayala Alabang Village, Muntinlupa City, discovered that his hair growth serum product was being sold at a Tiktok account called “Parktikal” for a cheaper price and was registered under the name of alias Jerick, reportedly the common-law husband of Zerimar.

He said the victim inspected his warehouse located at Lot 5A Street, Agueda Queensway, Pascor Drive, Barangay Santo Nino, Parañaque City at around 5:35 p.m. and discovered one box of his product containing 300 pieces of 30ml bottles of the hair growth serum worth P105,000 at the locker of Zerimar.

The victim told the police that prior to the inspection of his warehouse, he also saw Raymark bring the box of stolen items inside the locker of Zerimar who was her cousin.

Let me end this post by asking you readers: What do you think about this recent development? If you are a resident of Parañaque, do you think there could be thieves selling stolen products online while secretly residing in your local community?

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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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 engagement, commerce and other relevant updates, join the growing South Metro Manila Facebook group at https://www.facebook.com/groups/342183059992673

BIR extends deadline for online businesses to transition to new withholding tax system to July 14, 2024

April 29, 2024April 16, 2024carlocarrasco

Recently the Bureau of Internal Revenue (BIR) announced that July 14, 2024, is the new deadline for online businesses to transition to the new withholding tax system, according to a GMA Network news report. Previously the deadline was April 15, 2024 and online businesses with annual earnings of over P500,000 were to be covered by the 1% withholding tax.

To put things in perspective, posted below is an excerpt from the GMA news article. Some parts in boldface…

The Bureau of Internal Revenue (BIR) announced Tuesday that it has extended the deadline for online merchants to transition to the new withholding tax system by 90 days.

According to the agency, Revenue Memorandum Circular No. 55-2024 extended the transitory period for compliance with Revenue Regulations (RR) No. 16-2023 until July 14 after considering the private sector’s request on the implementation.

“This 90-day extension of the transitory period under RR No. 16-2023 shows the BIR’s commitment in listening to the voice of the private sector,” BIR Commissioner Jun Lumagui said in a statement.

“This is part of my administration’s thrust on Excellent Taxpayer Service. We hear the thoughts of the private sector, and if the same is reasonable, then we make policy adjustments for the benefit of the Filipino people,” added Lumagui.

Under RR No. 16-2023, one-half of the gross remittances of e-marketplace operations and digital financial services providers to the sellers or merchants for goods or services paid through their platform shall be subject to a 1% creditable withholding tax.

The BIR said that the online transactions industry has experienced growth during and after the coronavirus pandemic but it appeared that many online sellers were not paying their share in taxes.

RR No. 16-2023 was signed by Lumagui and Finance Secretary Benjamin Diokno in December 2023.

Let me end this piece by asking you readers: What is your reaction to this recent development? Do you think that the new deadline will give all online businesses here in the Philippines enough time to transition into the new withholding tax system?

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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BIR clarifies that small online sellers are exempted from 1% withholding tax

February 6, 2024January 30, 2024carlocarrasco

In response to growing concerns related to the recent implementation of the 1% withholding tax on online merchants with annual earnings of over P500,000, the Bureau of Internal Revenue (BIR) clarified that small online sellers are exempted from it, according to a BusinessWorld news report.

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

THE BUREAU of Internal Revenue (BIR) on Monday clarified that small online sellers are exempted from the payment of the creditable withholding tax imposed on online marketplaces but would still need to register their business.

“Small-scale online sellers are exempted from withholding tax. The BIR is sympathetic to small businesses in its approach to taxing online sellers/merchants,” BIR Commissioner Romeo D. Lumagui, Jr. said in a statement.

BIR Revenue Regulations No. 16-2023, which took effect on Jan. 11, imposes a withholding tax of 1% on one-half of the gross remittances by e-marketplace operators and digital financial service providers to the sellers or mer-chants for the goods and services paid or sold through their platforms or facilities.

The BIR said that the withholding tax is not imposed if the annual total gross remittances to an online seller for the past taxable year has not exceeded P500,000; if the cumulative gross remittances to an online seller in a taxable year has not yet exceeded P500,000 or if the seller is duly exempt from or subject to a lower income tax rate pursuant to any existing law or treaty.

“For those who are above the threshold of P500,000 annual gross remittance, it is only fair that they will be subjected to withholding tax. We have to be fair to the retail sector and brick and mortar stores who are regularly pay-ing their taxes,” Mr. Lumagui said.

The tax covers marketplaces for online shopping, food delivery platforms, platforms to book lodging accommodations, and other similar online service or product marketplaces.

E-marketplace operators and digital financial service providers were given a 90-day transitory period to comply with the order.

The BIR in a separate circular said all online sellers and merchants need to register with the BIR and submit documentary requirements, even if their annual gross remittance is below the P500,000 threshold.

The circular also noted that sellers and merchants are not allowed to receive payments through a personal account and instead must use a BIR-registered account.

“If you have a business, you have to register and pay your taxes. It doesn’t matter if it’s an actual store or an online store. It is your responsibility to pay taxes like everyone else,” Mr. Lumagui said.

In a press conference last week, Mr. Lumagui told reporters that the measure will help the BIR better gauge the impact of the digital economy.

“We gave the online platforms a grace period of 90 days. With that, we are still checking on which are already capable of complying… During our discussions with online platforms, they’re cooperative. With this development, we’re hoping to get the entire picture on online transactions,” he said.

In 2022, the digital economy contributed P2.08 trillion or equivalent to 9.4% of the gross domestic product.

A report by Google, Temasek Holdings and Bain & Company showed that the Philippines’ digital economy is projected to reach as high as $150 billion by 2030.

The BIR also earlier clarified that the withholding tax is not a “new” tax as it is just a measure that will allow for an advance payment of income tax.

Let me end this piece by asking you readers: What is your reaction to this recent development? Do you think the newest clarification made by the BIR will end the confusion or concerns regarding the 1% withholding tax? If you are aspiring to sell items online, does the 1% withholding tax discourage you?

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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Withholding tax on online sellers could address revenue leakages

January 18, 2024January 12, 2024carlocarrasco

With the 1% withholding tax on online sellers already in effect, there is potential that the said tax could address revenue leakages, according to a BusinessWorld news article.

To put things in perspective, posted below is an excerpt from the BusinessWorld news article. Some parts in boldface…

THE GOVERNMENT should ensure that it will be able to properly implement and monitor the collection of withholding tax on online sellers.

The Bureau of Internal Revenue (BIR) recently issued Revenue Regulations (RR) No. 16, which imposes a withholding tax on the gross remittances made by electronic marketplace operators and digital financial service providers to merchants.

Analysts said that the implementation of the withholding tax on online sellers will allow the BIR to better track transactions in the digital economy.

“The implementation of a 1% withholding tax on online sellers is intended to expand the tax base by addressing potential revenue leakages in the growing online retail industry,” China Banking Corp. Chief Economist Domini S. Velasquez said in a Viber message.

“Ideally, the withholding tax system should streamline the tax payment process for online sellers and should have no substantial impact on prices under the assumption that retailers are paying correct taxes,” she added.

Eleanor L. Roque, tax principal of P&A Grant Thornton, said that the measure provides the BIR an additional mechanism to “ensure that taxes are paid by the business owners since their income will also be reported by their withholding agents.”

Ms. Velasquez noted that the imposition of the withholding tax may also mitigate some instances of noncompliance by online sellers.

“This measure is expected to increase government revenues and promote transparency among companies engaged in online retail trade,” she added.

Ms. Roque said that the tax will be an “additional administrative burden” on electronic marketplaces.

“These entities will have to put controls in place to identify remittances to online sellers that are subject to withholding taxes,” she said in a Viber message.

Under BIR regulation, a withholding tax of 1% will be imposed on one-half of the gross remittances by e-marketplace operators and digital financial service providers to the sellers or merchants for the goods and services paid or sold through their platforms or facilities.

However, the tax is not imposed if the annual total gross remittances to an online seller for the past taxable year has not exceeded P500,000; if the cumulative gross remittances to an online seller in a taxable year has not yet exceeded P500,000 or if the seller is duly exempt from or subject to a lower income tax rate pursuant to any existing law or treaty.

The regulation covers marketplaces for online shopping, food delivery platforms, platforms to book lodging accommodations, and other similar online service or product marketplaces.

Let me end this piece by asking you readers: What is your reaction to this recent development? Do you think the withholding tax on online sellers will solve government revenue leakages?

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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