The House of Representatives has approved a bill that imposes value added tax (VAT) on foreign or non-resident digital service providers. Albay Representative Joey Salceda, the panel's chairperson, said that foreign digital service providers are earning income in the Philippines and are paying taxes in their home countries, and the government wants a share of that. "Otherwise, it would be disadvantageous to our local digital service providers which pay VAT," he said. Salceda said that VAT on foreign digital services is expected to raise PHP 9 billion in government revenues. Gabriela party-list Representative Arlene Brosas, however, pointed out that imposing VAT will mean additional expenses to consumers and prefers to tax corporations rather than consumption-based services. Salceda responded by saying that service providers are already passing it on when they pay VAT in other countries. How to activate GPRS for Globe and TM (Touch Mobile) For a complete listing of compatible MMS & GPRS phone handsets — send Nokia, Sony Ericsson, LG, Cherry Mobile, HTC or Samsung (your handset model) to 2365. Send an MMS message for only Php 5.00 to activate the service. Read more in our articles including "House approves bill that imposes VAT on foreign digital service providers" and "How to activate Globe GPRS".
The House of Representatives has approved a bill that imposes value added tax (VAT) on foreign or non-resident digital service providers. Albay Representative Joey Salceda, the panel's chairperson, said that foreign digital service providers are earning income in the Philippines and are paying taxes in their home countries, and the government wants a share of that.
"Otherwise, it would be disadvantageous to our local digital service providers which pay VAT," he said. Salceda said that VAT on foreign digital services is expected to raise PHP 9 billion in government revenues. Gabriela party-list Representative Arlene Brosas, however, pointed out that imposing VAT will mean additional expenses to consumers and prefers to tax corporations rather than consumption-based services.
Our coverage of vat philippines includes: "House approves bill that imposes VAT on foreign digital service providers"; "How to activate Globe GPRS"; "How to activate Smart GPRS". Each article provides unique insights and information.