VP Binay scores big with businessmen

Jojo Binay’s promise that Bureau of Internal Revenue chief Kim Henares will be out “within 30 minutes” once he assumes the office of the president has struck a high note of enthusiasm among many businessmen, some of whom have been complaining about what they described as arbitrary and whimsical changes in tax rules and regulations.

The unclear provisions in the memorandums and circulars issued by the BIR have actually been the cause of a lot of confusion not only among businessmen, but among bankers as well, for instance the memos involving the creditable withholding tax on interest incomes. It can be recalled a furor arose over RR 14-2012 and RMC 84-2012 because it left many confused on the coverage of the 20 percent CWT, and who or what are exempt.

In April last year, confusion also reigned because of the BIR’s decision to computerize the filing of income taxes without first testing the online system to see the glitches that could happen, critics said. Many tax filers were so stressed trying to beat the deadline, cursing the BIR and its chief for imposing something that added to their burden because they would be fined an additional P1,000 if they failed to file on time. For one, the BIR used a Windows system that was not compatible with Mac computers. Many also said it took ages to download the e-forms, with some having to do it over again just when they are about to complete the download because the wifi connection got lost.

A lot of small and medium scale entrepreneurs who could hardly turn in a profit as well as salaried professionals emailed Spy Bits saying they applaud the promise of the vice president because of perceptions the tax chief has been selective in choosing her targets, going after the small fry while allowing big time tax cheats and evaders to get away unscathed. Many could still recall the ad showing a teacher carrying a doctor on her shoulders which received a flurry of protests as it pictured lawyers, doctors and other professionals as cheats who pay less taxes than schoolteachers.

Many also say they have been subjected to unfair and excessive assessments, and some, who refused to be identified, claim they were victims of the BIR’s shame campaign – surprised to find their names in newspapers as tax cheats without receiving any notice from the Internal Revenue.

In fact, that “Open letter to Kim Henares” is starting to circulate again, with many copy pasting the intro that goes – “I do not doubt your sincerity to collect taxes from every Filipino, living or dead. I do not even doubt your integrity in making sure that you are able to collect the proper taxes from everyone. I am, however, questioning your motives and arbitrary choice in the personalities you choose to prosecute.”

The tax chief also received flak for saying she would tax 2015 Miss Universe Pia Wurtzbach following a bill filed by Congress to exempt the beauty queen from paying taxes. Murmurs are also coming from soldiers following the recent RMC  (Revenue Memorandum Circular) issued by Henares saying that military officials will also have to pay taxes on the additional allowances they receive.

On the other hand, there are those who say they understand the BIR chief because she is just following the rules. However, they also agree that some of the issuances seem to be bordering on the whimsical, with one even commenting that memos or circulars seem to be dependent on the current mood of the tax chief.

The fact is, there really is a growing clamor for tax reforms, and many just want the rules and regulations to be more simple and uncomplicated so that people can easily comply with them.  It would seem VP BInay has hit the right chord among many Filipinos when he said he is for tax reforms, promising to exempt people earning P30,000 or less a month from paying income taxes.

PhilJets set to acquire first Bell 505 Ranger X helicopter

Fast growing boutique aviation company PhilJets recently signed a letter of intent (LOI) for the purchase of a Bell 505 Ranger X helicopter for a client with the company to operate the four-passenger-seat, single-engine, turbine helicopter that will be outfitted for corporate and VIP transport.

PhilJets Group founder and CEO Thierry Tea said his company is thrilled their clients would be “the first in the country to have the new Bell 505,” adding the performance capabilities of the chopper would complement the range of their expanding fleet. “We will have seven bigger size single engine helicopters this year, and the 505 is good for clients looking at a size bigger than the R44 but smaller than the Ecureuil AS350B2. Our customers wanted it, and we are responding to their needs,” the young CEO disclosed.

The LOI was signed between Tea and Bell Helicopter’s vice president of global sales and marketing Patrick Moulay during the recent Singapore Airshow.

Presidentiables at Arangkada forum

The fifth annual Arangkada Philippines forum happening today at the Marriott Grand Ballroom promises to be interesting with the presence of presidentiables that include Senators Grace Poe and Miriam Defensor Santiago who will be grilled on their views along the forum theme “A Bolder and More Inclusive Decade.” The group is also set to release its seven policy notes on each of the “7 Big Winner Sectors” with recommendations on how to move the sector forward in the short, medium and long term. According to senior adviser John Forbes, the forum will gather a stellar group of experts who will lead the discussion on various topics. 

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