“Shaping the Future of Taxation”: Global Tax Policies and Updates on CREATE MORE
The Asian Consulting Group (ACG), in partnership with the SwissCham Philippines, hosted an Executive Tax Briefing last 13 March 2024, at the ACG Tax Hub. This discussion, led by ACG Founder and CEO Mon Abrea, with strategic input from Senior Tax Associate Joy Hizole, featured a comprehensive discourse of recent global tax policies and updates on the CREATE MORE.
Mon Abrea, Founder and CEO of ACG, offered expert guidance into global tax developments and the CREATE MORE initiative. As the Philippines undergoes significant tax reforms—including the CREATE MORE Act, VAT expansion to digital services, and preparations for the global minimum tax—these changes are set to drive economic growth, enhance tax fairness, and align the country with global standards.
Abrea also emphasized the significance of the proposed risk-based audit system and the Bureau of Internal Revenue (BIR) audit processes and enforcement, accentuating their role in improving tax compliance and regulatory efficiency. He affirmed that stakeholders must take an active role in shaping policies, establishing that their insights and expertise contribute to informed and effective decision-making. He also urged them to actively engage with or influence policymakers to craft tax policies and regulations that foster a business-friendly environment.
Joy Hizole, Senior Tax Associate, provided a detailed analysis of the key provisions of the CREATE MORE Act and their alignment with the evolving tax landscape. She discussed salient features such as income tax-based incentives, RBE local tax, enhanced deductions, indirect tax incentives, application and processing timelines, transitory provisions, and the VAT-zero rating certificate application. Her insights equipped industry leaders with the knowledge needed to be cognizant of evolving tax trends and enhance compliance strategies.
The “Fireside Chat” conveyed key perspectives to the chamber members and attendees on the impact of the Global Minimum Tax (GMT) on Philippine businesses and its implementation. It also analyzed the value of operational efficiency and enhanced transparency within the Philippine tax system as implications were addressed.
Daniela San Agustin, Board of Director and Manufacturing Innovation Cluster Chairperson of SwissCham Philippines, concluded the event by emphasizing the country’s assets and prospects. She reinforced the value of showcasing the best of the Philippines and the need to integrate digital technology with workforce development, enabling adaptability to continue thriving in the business landscape.
In this progressing business community, SwissCham Philippines remains committed to fostering trade and investment between the Philippines and Switzerland through facilitating networking, market access, and economic collaboration. SwissCham continues to strengthen ties, identifies opportunities, and supports enterprises in navigating growth. These initiatives reflected a forward-thinking approach that balances economic growth with fiscal responsibility. As these reforms take effect, they are expected to not only strengthen government revenues but also enhance the Philippines' competitiveness, positioning it as a nexus for investment in an increasingly dynamic global economy.
