BIR Wants Online Services Including Media Streamers & Online Sellers to Pay Income Tax
The Bureau of Internal Revenue is planning to tax online services such as media streaming platforms and online sellers.
On Wednesday (June 17, 2020), a BIR official said that the tax bureau is planning to tax big online merchants and media streamers. The statement was based on Memorandum Circular 60-2020 informing all people doing business and earning money in any form to register their businesses.
However, Deputy Commissioner for Operations Arnel Guballa clarified that the program is targeting big online merchants such as Netflix, Amazon, and Alibaba. Guballa explained that BIR is not after small online sellers.
“Ang gusto talagang habulin ng BIR ay ‘yung malalaking merchants or sellers sa online kagaya ng Netflix, Amazon, Alibaba. Doon po talaga kami papunta sa malalaki, hindi po sa mga kababayan natin na maliliit,” Guballa said.
The official also said that online sellers who were earning less than P250,000 per year shall be exempted from paying income tax. The agency just wants to have data regarding the total number of people engaged in online selling.
“Ang gusto lang po namin malaman, makita ang data ng total population na engaged sa online selling, kahit maliliit pero not necessarily we will tax the marginal income players,” the official added.
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