Bill Type
Short Title
PASSIVE INCOME AND FINANCIAL INTERMEDIARY TAXATION ACT
Text as Filed (File)
Third Reading Copy link (HRep)
Scope
Legislative Status
Legislative Status Date
Session Sequence No.
41
Session Type
Subjects
Document Certification
All Information (Senate Website)
Legislative History (Senate Website)
Committee Referral (Senate Website)
Committee Details
House Committee Report link
Legislative History
| House Bill/Resolution NO. HB08645 | |
| FULL TITLE : AN ACT AMENDING SECTIONS 22, 24, 25, 27, 28, 29, 30, 32, 34, 37, 38, 39, 42, 51, 52, 54, 56, 57, 73, 108, 121, 122, 123, 174, 176, 179, 181, 182, 183, 184, 185, 186, 187, 188, 189, 190, 191, 194, 195, 196, 197, 198, AND 199; AND REPEALING SECTIONS 127, 175, 177, 178, 180, 192, AND 193; ALL UNDER REPUBLIC ACT NO. 8424, OTHERWISE KNOWN AS THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, AND FOR OTHER PURPOSES | |
| SHORT TITLE : Amending Sections 22, 24, 25, 27, 28, 29, 30, 32, 34, 37, 38, 39, 42, 51, 52, 54, 56, 57, 73, 108, 121, 122, 123, 174, 176, 179, 181, 182, 183, 184, 185, 186, 187, 188, 189, 190, 191, 194, 195, 196, 197, 198, And 199; And Repealing Sections 127, 175, 177, 178, 180, 192, And 193; All Under Republic Act No. 8424, Otherwise Known As The National Internal Revenue Code Of 1997, As Amended | |
| ABSTRACT : Aims to achieve the following objectives: 1.) redesign financial sector taxation by making it simpler, fairer, and more efficient; 2.) provide neutrality in tax treatment across financial institutions and financial instruments; 3.) improve equity across investors and savers; 4.) minimize arbitrage opportunities; and 4.) promote capital market development and tax competitiveness within the context of financial globalization, increased capital mobility, and financial inclusion.Proposes the following reforms: 1.) reduction in the number of rates of withholding taxes; 2.) unifies the tax rates for interests, dividends, and capital gains; 3.) harmonizes business rates; 4.) removal or minimization of barriers to capital market development | |
| ALIAS NAME : "Passive Income and Financial Intermediary Taxation Act." | |
| PRINCIPAL AUTHOR/S : SUANSING, ESTRELLITA B., SUANSING, HORACIO JR. P., VILLAFUERTE, LUIS RAYMUND JR. F. | |
| DATE FILED : 2018-11-26 | |
| SIGNIFICANCE: NATIONAL | |
| CO-AUTHORS (Journal Entries) : | |
| 1. Castro (F.H.) (000 2019-02-08) | 2. Marcoleta (000 2019-02-08) |
| AUTHORS(Final/Third Reading) : | |
| 1. Suansing (E.) | 2. Suansing (H.) |
| 3. Villafuerte | |
| ACTIONS TAKEN BY THE COMMITTEE | |
| COMMITTEE REPORT NO. 00951 | |
| SUBMITTED ON 2018-11-26 | |
| SUBMITTED BY: WAYS AND MEANS | |
| RECOMMENDATIONS: Approval in substitution of House Bills Numbered 8252 and 8323 | |
| SUBSTITUTED BILLS: HB08252, HB08323 | |
| ACTIONS TAKEN BY THE COMMITTEE ON RULES | |
| REFERRAL TO THE COMMITTEE ON RULES ON 2018-11-26 | |
| DATE INCLUDED IN OB: 2018-11-26 | |
| DATE CALENDARED : 2018-11-26 | |
| SECOND READING INFORMATION | |
| PERIOD OF SPONSORSHIP : 2018-11-26, 2018-11-27 | |
| SPONSORED BY : Suansing (E.);Suansing (E.) | |
| PERIOD OF INTERPELLATIONS : 2018-11-27 | |
| INTERPELLATED BY : Tinio, Villarin | |
| DATE SPONSORSHIP/DEBATE CLOSED: 2018-11-27 | |
| FINAL LIST OF AUTHORS : Suansing (E.), Suansing (H.), Villafuerte | |
| DATE APPROVED ON SECOND READING : 2018-11-27 | |
| THIRD READING INFORMATION | |
| DATE COPY DISTRIBUTED TO MEMBERS: 2018-11-29 | |
| DATE APPROVED BY THE HOUSE ON THIRD READING :2018-12-03 | |
| HOUSE VOTES: YEAS:190 NAYS:7 ABSTAIN:.0 | |
| Voting Details Per Member(Legend:Y-Yes N-No A-Abstain X-Did Not Vote B-Absent D-N/A) | |
| D---Abad--(N/A) | Y---Abaya |
| Y---Abayon | Y---Abellanosa |
| X---Abu | X---Abueg |
| Y---Acharon | Y---Acop |
| B---Acosta--(Absent) | B---Acosta-Alba--(Absent) |
| Y---Adiong | X---Advincula |
| Y---Agarao | Y---Aggabao |
| D---Aglipay-Villar--(N/A) | D---Akbar--(N/A) |
| Y---Albano | B---Alcala--(Absent) |
| Y---Alejano | Y---Almario |
| Y---Almonte | Y---Alonte |
| Y---Alvarez (F.) | Y---Alvarez (M.) |
| B---Alvarez (P.)--(Absent) | X---Amante |
| Y---Amatong (I.) | Y---Andaya |
| D---Ang--(N/A) | Y---Angara-Castillo |
| B---Antonino--(Absent) | B---Antonio--(Absent) |
| Y---Aragones | Y---Arbison |
| Y---Arcillas | B---Arenas--(Absent) |
| X---Atienza | Y---Aumentado |
| B---Bag-ao--(Absent) | B---Bagatsing--(Absent) |
| Y---Baguilat | Y---Banal |
| Y---Barbers | Y---Barzaga |
| Y---Bataoil | Y---Batocabe |
| Y---Bautista-Bandigan | Y---Belaro |
| Y---Belmonte (F.) | Y---Belmonte (J.C.) |
| B---Belmonte (R.)--(Absent) | Y---Benitez |
| X---Bernos | Y---Bertiz |
| Y---Biazon | Y---Billones |
| Y---Biron | Y---Bolilia |
| Y---Bondoc | Y---Bordado |
| Y---Bravo (A.) | X---Bravo (M.) |
| N---Brosas | Y---Bulut-Begtang |
| B---Cagas--(Absent) | D---Calalang--(N/A) |
| Y---Calderon | B---Calixto-Rubiano--(Absent) |
| Y---Caminero | Y---Campos |
| Y---Canama | B---Cari--(Absent) |
| N---Casilao | B---Castelo--(Absent) |
| N---Castro (F.L.) | Y---Castro (F.H.) |
| B---Catamco--(Absent) | X---Cayetano |
| Y---Celeste | B---Cerafica--(Absent) |
| Y---Cerilles Enerio | B---Chavez--(Absent) |
| Y---Chipeco | B---Co--(Absent) |
| B---Cojuangco--(Absent) | B---Collantes--(Absent) |
| Y---Cortes | X---Cortuna |
| Y---Cosalan | B---Crisologo--(Absent) |
| Y---Cua | Y---Cuaresma |
| Y---Cueva | Y---Dalipe |
| D---Dalog--(N/A) | Y---Datol |
| Y---Daza | N---De Jesus |
| B---De Venecia--(Absent) | D---De Vera--(N/A) |
| Y---Defensor | Y---Del Mar |
| Y---Del Rosario | Y---Deloso-Montalla |
| B---Dimaporo (A.)--(Absent) | X---Dimaporo (M.K.) |
| B---Duavit--(Absent) | Y---Durano |
| B---Dy--(Absent) | N---Elago |
| B---Enverga--(Absent) | B---Erice--(Absent) |
| Y---Eriguel | Y---Ermita-Buhain |
| Y---Escudero | B---Espina--(Absent) |
| B---Espino--(Absent) | Y---Estrella |
| B---Eusebio--(Absent) | Y---Evardone |
| B---Fariñas--(Absent) | Y---Fernando |
| X---Ferrer J. | X---Ferrer L. |
| Y---Ferriol-Pascual | X---Floirendo |
| Y---Flores | B---Fortun--(Absent) |
| Y---Fortuno | B---Fuentebella--(Absent) |
| Y---Garbin | Y---Garces |
| X---Garcia (G.) | Y---Garcia (J.E.) |
| B---Garcia-Albano--(Absent) | B---Garin (O.)--(Absent) |
| B---Garin (S.)--(Absent) | Y---Gasataya |
| Y---Gatchalian | Y---Geron |
| Y---Go (A.C.) | Y---Go (M.) |
| B---Gomez--(Absent) | Y---Gonzaga |
| Y---Gonzales (A.P.) | Y---Gonzales (A.D.) |
| Y---Gonzalez | B---Gorriceta--(Absent) |
| Y---Gullas | Y---Hernandez (F.) |
| Y---Hernandez (P.) | Y---Herrera-Dy |
| Y---Hofer | Y---Jalosjos |
| B---Javier--(Absent) | Y---Kho |
| Y---Khonghun | B---Labadlabad--(Absent) |
| Y---Lacson | Y---Lagman |
| Y---Lanete | Y---Laogan |
| B---Lazatin--(Absent) | B---Leachon--(Absent) |
| Y---Lee | Y---Limkaichong |
| Y---Lobregat | Y---Lopez (B.) |
| Y---Lopez (C.) | Y---Lopez (M.L.) |
| X---Loyola | Y---Macapagal Arroyo |
| Y---Maceda | B---Madrona--(Absent) |
| Y---Aquino-Magsaysay | B---Nuñez-Malanyaon--(Absent) |
| Y---Malapitan | Y---Manalo |
| Y---Mangaoang | X---Mangudadatu (S.) |
| Y---Mangudadatu (Z.) | Y---Marcoleta |
| Y---Marcos | Y---Mariño |
| Y---Marquez | Y---Martinez |
| Y---Matugas | B---Mellana--(Absent) |
| Y---Mending | B---Mendoza--(Absent) |
| Y---Mercado | X---Mirasol |
| Y---Montoro | Y---Nava |
| Y---Nieto | Y---Noel |
| B---Nograles (J.J.)--(Absent) | D---Nograles (K.A.)--(N/A) |
| Y---Nolasco | B---Oaminal--(Absent) |
| B---Ocampo--(Absent) | Y---Olivarez |
| Y---Ong (H.) | B---Ong (E.)--(Absent) |
| Y---Ortega (P.) | Y---Ortega (V.N.) |
| Y---Pacquiao | Y---Paduano |
| Y---Palma | Y---Pancho |
| B---Panganiban--(Absent) | Y---Panotes |
| Y---Papandayan | Y---Pichay |
| Y---Pico | Y---Pimentel |
| Y---Pineda | Y---Plaza |
| Y---Primicias-Agabas | Y---Roa-Puno |
| Y---Quimbo | B---Radaza--(Absent) |
| Y---Ramirez-Sato | Y---Ramos |
| Y---Relampagos | X---Revilla |
| Y---Robes | B---Rocamora--(Absent) |
| Y---Rodriguez (I.) | X---Rodriguez (M.) |
| B---Roman--(Absent) | Y---Romero |
| Y---Romualdez | B---Romualdo--(Absent) |
| D---Roque (H.)--(N/A) | B---Roque (R.N.)--(Absent) |
| Y---Sacdalan | Y---Sagarbarria |
| X---Sahali | B---Salceda--(Absent) |
| Y---Salimbangon | X---Salo |
| Y---Salon | Y---Sambar |
| X---Sandoval | Y---Sangcopan |
| B---Santos-Recto--(Absent) | Y---Sarmiento (C.) |
| Y---Sarmiento (E.M.) | Y---Savellano |
| Y---Sema | Y---Siao |
| Y---Silverio | Y---Singson (E.) |
| Y---Suansing (E.) | Y---Suansing (H.) |
| Y---Suarez | Y---Sy-Alvarado |
| Y---Tambunting | B---Tan (A.)--(Absent) |
| B---Tan (M.)--(Absent) | Y---Tan (S.) |
| Y---Tejada | X---Teves |
| B---Tiangco--(Absent) | Y---Ting |
| N---Tinio | Y---Tolentino |
| Y---Treñas | Y---Tugna |
| X---Tupas | D---Turabin-Hataman--(N/A) |
| Y---Ty | B---Umali--(Absent) |
| Y---Unabia | B---Ungab--(Absent) |
| Y---Unico | Y---Uy (J.) |
| Y---Uy (R.) | Y---Uybarreta |
| Y---Vargas | B---Vargas-Alfonso--(Absent) |
| Y---Velarde | Y---Velasco, L.A. |
| Y---Velasco-Catera | Y---Veloso |
| Y---Vergara | B---Villafuerte--(Absent) |
| B---Villanueva--(Absent) | D---Villar--(N/A) |
| B---Villaraza-Suarez--(Absent) | Y---Villarica |
| B---Villarin--(Absent) | Y---Violago |
| Y---Yap (A.) | B---Yap (M.)--(Absent) |
| B---Yap (V.)--(Absent) | Y---Yu |
| Y---Zamora (M.C.) | Y---Zamora (R.) |
| N---Zarate | Y---Zubiri |
| DATE TRANSMITTED TO THE SENATE: 2018-12-04 | |
| ACTIONS TAKEN BY THE SENATE/HOUSE | |
| DATE RECEIVED BY THE SENATE: 2018-12-04 | |
| REMARKS : |
Senate Legislative History
Entitled: AN ACT AMENDING SECTIONS 2 2 , 24, 25, 27, 28, 29 , 30 , 3 2 , 34 , 37, 38, 39 , 42 , 51, 52, 54, 56, 57, 73 , 108, 121, 122, 123, 174, 176, 179, 181, 182, 183, 184,185, 186, 187, 188, 189, 190, 191, 194, 195, 196, 197, 198, AND 199; AND REPEALING SECTIONS 127, 175, 177, 178, 180, 192, AND 193; ALL UNDER REPUBLIC ACT NO. 8424 , OTHERWISE KNOWN AS THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, AND FOR OTHER [ THIRD REGULAR SESSION, 17TH CONGRESS ] [ 2018 ] Introduced by Representatives ESTRELLITA B. SUANSING, HORACIO JR. P. SUANSING and LUIS RAYMUND JR. F. VILLAFUERTE; Approved on Third Reading by the House of Representatives on December 3, 2018; 12/4/2018 Sent to the Senate requesting for concurrence; 12/6/2018 Read on First Reading and Referred to the Committee on WAYS AND MEANS; (The legislative history/plenary deliberations is prepared by the INDEXING, MONITORING AND LIS SECTION, LEGISLATIVE BILLS AND INDEX SERVICE; The data entry on committee meetings is prepared by the Committee Affairs Bureau)
Abstract
Aims to achieve the following objectives: 1.) redesign financial sector taxation by making it simpler, fairer, and more efficient; 2.) provide neutrality in tax treatment across financial institutions and financial instruments; 3.) improve equity across investors and savers; 4.) minimize arbitrage opportunities; and 4.) promote capital market development and tax competitiveness within the context of financial globalization, increased capital mobility, and financial inclusion.Proposes the following reforms: 1.) reduction in the number of rates of withholding taxes; 2.) unifies the tax rates for interests, dividends, and capital gains; 3.) harmonizes business rates; 4.) removal or minimization of barriers to capital market development']
Disclaimer
Note: Legislative history and other information accessed from Congress Legis. Information as of April 20, 2022.