Monthly Archives: August 2015

Economy, Government, International, Law Enforcement

DOLLAR REMITTANCES TO THE PHILIPPINES WILL BE TAXED 35 PERCENT

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imageMANILA, Philippines (The Adobo Chronicles® ) –  It seems like the Philippine government has waged an all-out war against its own citizens — especially overseas Filipino workers (OFW) and their families.

First, the Bureau of Customs announced new rules on balikbayan boxes, including opening them for inspection when they arrive at the Philippine port of entry. (Balikbayan boxes are those corrugated boxes used by OFWs to ship goods and gifts to their loved  ones in the Philippines. Until recently balikbayan shipments have been tax-free. )

Today, Commissioner Kim Henares of the Bureau of Internal Revenue (BIR) announced that dollar remittances from OFWs will be subject to a 35 percent ‘gift tax.’

The Philippines ranks as the fourth biggest recipient of remittances worldwide with an estimated $24-billion inflow annually,  according to a World Bank (WB) study. Remittances accounted for 12 percent of the Philippines’ Gross Domestic Product (GDP) the report said.

The Philippines trailed India , China and Mexico in terms of remittances received.

Henares said that the BIR is always looking for ways to earn tax revenue in order to sustain the Aquino administration’s anti-corruption policy of ‘Daang Matuwid’ (straight path).

“Strictly speaking, dollar remittances would be considered income for Filipino families and individuals on the receiving end of the money and should therefore be subjext to tax,” Henares said.

Updating: Henares Responds

Human Interest, International, Politics

DONALD TRUMP SAYS NEWBORN PANDA IN NATIONAL ZOO IS AN ANCHOR BABY

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UPDATE: A second cub was born to Mei Xiang, making two baby pandas that Donald Trump wants to be deported for being ‘anchor babies.’

WASHINGTON, D.C. (The Adobo Chronicles® ) – At least he is consistent with his views on immigration and birthright citizenship.

Recently, Donald Trump laid out his immigration policy wherein he maintained that children born in America of undocumented immigrants should not be automatically considered U.S. citizens.

And that includes Chinese pandas born in the National Zoo.

Today, the National Zoo in Washington says there’s one more panda in the world after its female giant panda gave birth to a cub on Saturday.

Zoo spokeswoman Pamela Baker-Masson confirmed  that Mei Xiang gave birth to the cub at 5:35 p.m. If the cub survives, it would be the 17-year-old panda’s third surviving offspring. Mei Xiang’s first cub, Tai Shan, was born in 2005. Her second cub, Bao Bao, turns 2-years-old on Sunday.

Mei Xiang is on loan to the zoo from China and is therefore not a U.S. citizen.

Trump believes that in accordance with his immigration view, the newborn panda is an anchor baby and should therefore not be considered an American citizen.

Trump wants Mei Xiang’s entire family to be immediately deported.

Business, Government, International

FILAM SHIPPING COMPANIES SUSPEND BALIKBAYAN BOX SERVICE IN PROTEST OF PHILIPPINE CUSTOMS NEW REGULATION

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Contents of a typical balikbayan box
Contents of a typical balikbayan box

SAN FRANCISCO, California  (The Adobo Chronicles® ) – The Pilipino American Shippers’ Association (PASA) announced today that its members are suspending the shipping of all balikbayan boxes to the Philippines effective immediately. That could mean less corned beef, SPAM, chocolates and designer shoes or clothing for the families of Overseas Filipino Workers (OFW). PASA includes top shippers like Forex, Atlas and LBC.

The move is in protest of the Philippine Bureau of Customs’ recent announcement that it will be inspecting balikbayan boxes arriving in the country from OFWs.

Until recently, OFWs could send balikbayan boxes to their loved ones in the Philippines, free of inspection or taxes.

New customs regulations require that the contents of a balikbayan box must not exceed US$500.00 in value. Canned goods, grocery items and other household effects must not exceed a dozen a kind, while apparel, whether used or new, must not exceed 3 yards per cut. Only one consignment per sender during a one-month period is allowed,” Customs Commissioner Bert Lina reminded Filipinos abroad.

Lina gave the reminder to warn smugglers who exploit the use of balikbayan boxes to circumvent the law. He also said that the BOC is allowed by law to check the boxes.

“Home appliances are not allowed unless these are consigned to returning Filipino residents and overseas contract workers….We will seize these prohibited shipments and revoke registrations of forwarders or consolidators if we find any violations,” Lina said.

OFWs used social media to express their anger over the announcement by BOC.

In the meantime, the Bureau of Internal Revenue (BIR) is reportedly preparing to issue new regulations that would impose a 30% tax on dollar remittances from OFWs.

“The BIR needs to find new ways to raise revenue and taxing dollar remittances from Filipinos living abroad would be a great way to meet the agency’s revenue goals,” BIR Commissioner Kim Henares said.