By Junex Doronio
NOTICING THE BOOMING ONLINE BUSINESSES, the Bureau of Internal Revenue (BIR) is eyeing to impose a 1% tax withholding on the gross sales of online vendors generating at least P250,001 in annual revenue.
Maharlika NuMedia gathered that the scope of this rule will also encompass food delivery services like Food Panda and GrabFood.
Airbnb and other online booking services for accommodations will also be included.
The BIR has also proposed to restrict unregistered online sellers from leading platforms like Lazada and Shopee.
Under this new BIR directive, the 1% withholding tax serves as a creditable tax against the merchant’s tax obligations, regardless of the mode of payment, including electronic wallets, cash, or credit cards. (ai/mnm)