Sunday 1 April 2012

PIA News Dispatch - Sunday, April 1, 2012

President Aquino issues EO for speedy release of VAT TCCs

President Benigno S. Aquino III has issued Executive Order No. 68 which halts the issuance of value-added tax (VAT) tax credit certificates (TCCs), with the adoption of a monetization program aimed at expediting the release of tax credit claims of local and foreign companies transacting business in the country.

Executive Secretary Paquito N. Ochoa Jr. said on Sunday the President signed EO No. 68 on March 27, instructing the Departments of Budget and Management (DBM) and Finance (DoF), and the Bureaus of Internal Revenue (BIR) and Customs (BoC) to jointly craft the implementing rules and regulations for the VAT TCC monetization program.

“The DBM has cited studies that indicate that the Philippines is the only country in the ASEAN region using TCCs to refund VAT claims and took the longest time to issue and allow its utilization compared with other countries like Indonesia, Thailand, and Vietnam,” Ochoa explained.

According to the Executive Secretary, such a situation has spawned complaints from local and foreign companies doing business in the country because of the slow processing of TCCs that impede their liquidity.

“We believe that with the issuance of EO No. 68, we will be able to provide a speedy solution to the liquidity concerns of VAT-registered taxpayers, thereby contributing to the goal of President Aquino and his administration of making the county more friendly for business and improving the overall investment climate in the country,” Ochoa pointed out.

Under EO No. 68, the monetization program covers outstanding VAT TCCs, issued pursuant to the Tax Code and Tariff and Customs Code of the Philippines (TCCP) to qualified VAT-registered entity.

The presidential directive gives the taxpayers two options to claim the cash equivalent of their outstanding TCCs: 1) collect in advance from a trustee bank a discounted cash value of their TCCs; and 2) collect the full cash value of their TCCs upon a certain maturity date to be determined by the BIR and BoC.

President Aquino tasks the DBM to ensure that the funding requirement for the monetization program is included in the national budget from 2012-2016.

The DOF, on the other hand, has been directed by the Chief Executive to instruct the BIR and BoC to verify all outstanding VAT TCCs and perform other functions to ensure the smooth and immediate processing of credit claims.

The BIR and BoC will issue the notice of payment schedule to qualified taxpayers upon verification of their outstanding VAT TCCs.

EO No. 68 designates government financial institutions (GFIs) as trustee banks for the conversion to cash of the outstanding VAT TCCs. It notes that a special trust account shall be established by the GFIs for the purpose.

The Commission on Audit (COA), meanwhile, is authorized under the EO to examine all transactions related to the monetization of the outstanding VAT TCCs.

TCCs for VAT refund only be issued by the BIR and BoC on the request of the VAT taxpayer, pursuant to Section 112 (A) of the Tax Reform Act as amended and Section 106 (e) of TCCP as amended. (PCOO)

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Ochoa to DOJ prosecutors: Ensure efficient criminal justice system to lure investors

Executive Secretary Paquito N. Ochoa Jr. has exhorted prosecutors from the Department of Justice (DOJ) to complement the administration’s efforts in restoring investor confidence and managing the economy by ensuring an efficient criminal justice system.

Speaking at the 24th National Convention of the Prosecutors’ League of the Philippines recently, Ochoa underscored the need for the DOJ and its prosecution arm, the National Prosecution Service (NPS), to help establish the Philippines as “a nation where justice and the rule of law prevails” to make it more attractive to investors.

“We have to do our share to inspire confidence among businessmen, who want a return on their investment, and seek security for their persons and their properties,” Ochoa stressed.

As the country’s economic revival making the headway, Ochoa said it was important for those in the criminal justice system to step up in order to match the plans and programs of President Benigno Aquino III and his economic managers.

“While it is their job to encourage foreign investors to bring business into the country, it is the job of those involved in law enforcement, like the DOJ and NPS, to discourage international criminal syndicates from operating in this country and victimizing our people,” Ochoa added.

Ochoa likewise urged prosecutors to emulate the President’s example and brand of leadership in providing justice and accountability to the Filipino public.

He noted the President’s clear foresight and political will to attain a vision of “a country where people are held accountable for their crimes; a government that is dead-set at putting closure to the controversies that have eroded the credibility and legitimacy of our institutions; an administration that will ensure a level playing field for foreign and local businessmen; and a nation whose people abide by and uphold the rule of law.”

“The President has chosen to lead by example and has been unequivocal about ensuring that our people obtain justice, so those tasked to enforce our laws – including those in the prosecutorial service – must be emboldened to ensure that those who break our laws do not profit from their crimes, but are made to pay for them,” Ochoa said.

“The Prosecution Service and DOJ must take its cue from the President, and must exhibit the same qualities the Chief Executive has shown in his campaign for reforms. You must be uncompromising in the pursuit of justice and must be unrelenting in your efforts to ensure that the victims of crimes, regardless of rank or station, obtain justice.”

At the same time, Ochoa cited tremendous achievements of various government agencies in terms of international crime-fighting and prevention.

Ochoa said the Presidential Anti-Organized Crime Commission (PAOCC), which he heads, had been vigorously coordinating and aligning the efforts of government agencies tasked to combat organized criminal activities.

The Executive Secretary said the initiative of the Inter-Agency Council Against Trafficking – composed of PAOCC, DOJ, Philippine Center for Transnational Crime, Commission on Filipinos Overseas, Department of Labor and Philippine Overseas Employment Agency – resulted in the rescue of more human trafficking victims during the last two years. This accomplishment was the main reason why the United States removed the Philippines from its “Tier 2 Watchlist” last year, he said.

According to Ochoa, much credit goes to the DOJ and Justice Secretary Leila de Lima, who has taken the lead in the government’s anti-human trafficking efforts.

“The DOJ played a major role in the success of our anti-human trafficking efforts as it tied together the efforts of numerous agencies to thwart human trafficking syndicates and build solid cases that led to the convictions of the criminal elements responsible,” Ochoa said.

He added: “This should serve as the model by which the DOJ and the NPS can get involved in law enforcement efforts – from investigation and pursuit of criminal elements, all the way to evidence gathering and the successful prosecution of the masterminds behind the terrible crimes committed against our people.”

With these successes in combating crimes, Ochoa said the only message the Aquino administration wanted to convey to the international community was “our doors are open for business, but they are closed to crime.”

“For legitimate businessmen who wish to invest in our country and want a good return on their investment, we will roll out the red carpet and make lives easier for them; for criminals who want to engage in profit from illegal activities within our borders, we will make business bad for them and will use all the resources of the state so that they are caught, tried and punished for their crimes,” Ochoa said.

“In these efforts, know that you have the support of a President who believes in walking the straight path, righting the wrongs in our country, and upholding the rule of law to provide an environment that will spur inclusive economic growth and genuine national development,” he added. (PCOO)

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Philippine-Cambodia joint discussion to strengthen bilateral cooperation

PHNOM PENH, Cambodia
: The Philippines and Cambodia have agreed to work together through the Joint Commission for Bilateral Cooperation (JCBC) to strengthen ties on investment, education, security, tourism and many other areas.

The two countries have restarted their joint bilateral conference which was stalled 10 years ago, according to Philippine Ambassador to Cambodia Noe Wong.

Interviewed recently by the Radio TV Malacanang (RTVM), Wong said the two countries started their dialogue last December to discuss investment, trade, tourism, culture and services, and transnational crime.

“Ang pag-usapan is to hasten or facilitate the signing of the existing memorandum of agreement on special air services which is scheduled after the Association of Southeast Asian Nations (Asean) Summit before the end of April,” Wong said regarding the special talks on air agreement between the Philippines and Cambodia.

“All these things are moving really fast, that’s why I said it’s getting stronger. A very, very concrete result out of that JCBC are direct flights because wala po tayong direct flight ever since from Manila or from the Philippines to Cambodia.”

Because of the special air services agreement, Cebu Pacific will start its maiden flight from Manila to Xiamen this April 19, which is expected to benefit Filipinos working or staying in Cambodia, Wong said.

It will also pave the way for Cambodians to appreciate the Philippines particularly opportunities in tourism and investment, he added.

The Philippine-based carrier will have three flights a week--Tuesdays, Thursdays and Sundays, from Manila to Siam Reap and Siam Reap to Manila, according to Wong.

He also mentioned Philippine companies that have already put their investment in Cambodia as a result of the talks such as San Miguel Corp., United Laboratories, Purefoods, Mega sardines, and Splash.

“This is actually the result of the first trade and investment mission that we held last 2010, and because of these, Philippine products were able to get into the market here,” Wong said.

“During that time, there was no direct flight yet. So, can you imagine if there’s a direct flight, it will really hasten the influx of investors from both countries,” he added.

President Benigno S. Aquino III will arrive here Monday evening to join fellow Asean leaders in the 20th Asean Summit and for the Asean’s 45th anniversary celebration.

The President will stay in Cambodia until April 4, Wednesday. (PCOO)

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ASEAN leaders may discuss attaining 'one ASEAN community'

PHNOM PENH, Cambodia: The leaders of the Association of Southeast Asian Nations (Asean) will probably discuss attaining one Asean community by 2015 when they meet here starting Tuesday for the 20th Asean Summit, the Philippine Ambassador to Cambodia said.

President Benigno S. Aquino III is expected to arrive Monday evening here at Cambodia’s capital to participate in the 20th Asean Summit and its 45th anniversary celebration.

“I am very, very sure, it will just revolve around the Asean purpose of attaining ‘One Asean Community.’ When you say One Asean Community, tatlo ang pillars niyan: Asean Political Security Community; Asean Economic Community; and Asean Socio-Cultural Community,” Philippine Ambassador to Cambodia Noe Wong told Radio TV Malacanang (RTVM) in a recent interview.

There are blueprints on how to attain one single community for the Asean, and Wong said Cambodia, as chairman, with the support and cooperation of the member states of Asean, will lead the way on how to achieve the goal towards 2015.

There is no clear agenda for the forthcoming 20th Asean Summit, Wong said, and it is up to Cambodia, the current summit chair to decide on agenda to be taken up.

But for the President’s formal schedule, he, together with other Asean leaders, will meet the representatives of the Asean Inter-Parliamentary Assembly (AIPA) at the Peace Palace after the summit opening on Tuesday. They will also have a meeting with Civil Society Organizations as well as with the Asean Youth Representatives.

After the summit, the President will join his counterparts for the 8th Brunei-Indonesia-Malaysia-Philippines East Asian Growth Area (BIMP-EAGA) Summit.

He is also scheduled to meet the members of the Filipino community here in Cambodia on Wednesday at the Hotel Sofitel before he goes back to Manila. (PCOO)

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Philippines, Cambodia working together to combat transnational crime

PHNOM PENH, Cambodia
: The Philippines and Cambodia are working together through the Joint Commission for Bilateral Cooperation (JCBC) to combat transnational crimes within their borders, the Philippine Ambassador to Cambodia said recently.

Philippine Ambassador to Cambodia Noe Wong told Radio TV Malacanang in an interview that both countries have agreed to finish the pending memorandum of understanding (MOU) involving the Philippine National Police (PNP) and the Cambodian National Police to combat transnational crime through the JCBC.

Organized crime rings in Asia and Africa are real menace in the region. They are involved in everything from prostitution and human and drug trafficking, as well as pornography, financial scams, computer crimes, genocide and terrorism.

Most of these organized gangsters have ties to South Korea, Thailand, the Philippines, Cambodia, Laos, and Vietnam.

Aside from fighting crime, Filipino and Cambodia officials also agreed to amend the existing sub-provisions of the existing agreement on cultural and educational relations.

They also strengthened talks on human development and exchange of experts on agriculture, capacity building through education, and many others. Both countries are also working for an agreement on special air services.

President Benigno S. Aquino III is set to arrive here in Phnom Penh Monday evening to join fellow Association of Southeast Asian Nations (Asean) leaders in the 20th Asean Summit and the 45th anniversary celebration of the regional bloc.

The President is also scheduled to meet the members of the Filipino community here in Cambodia before he goes back to Manila on Wednesday. (PCOO)

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Filipinos well-off in Cambodia, says ambassador

PHNOM PENH, Cambodia: Filipinos working here in Cambodia encounter less problems compared to those employed in other countries, the Philippine ambassador to Cambodia said recently.

“Kami dito sa embassy, medyo hindi kami problematic as far as the OFWs (overseas Filipino workers) here are concerened, unlike in other embassies; Middle East, Hong Kong, and so on, and so forth,” Ambassador Noe Wong told the Radio TV Malacanang in an interview.

“It is a reflection of how well-off or gainfully employed yung mga Pilipino dito like…ang mga places where they work like garments, casinos, hotels and restaurants and banks.”

The difference is that in Cambodia, most Filipinos work in supervisory functions not ordinary workers, Wong said. Many of them work as managers in garments manufacturing, food services and beverage, he added.

The nature and character, the human resource of Filipinos are the basic qualities that make them a little bit above some other Asean people, he said.

Their caring attitude and fluency in the English language are real advantages over other nationalities, he said.

“So, those are some qualities but, of course, talagang yung human resources natin is one thing that really makes us different, it makes a difference,” Wong continued.

Filipino teachers can also seize the opportunity to teach English in Cambodia as many Cambodians aspire to learn the language to catch up with globalization, Wong said.

Currently, there are almost Filipino 400 teachers in Cambodia employed at international schools.

To extend government assistance and give Filipino workers here an opportunity to register, Wong said they have employed mobile consular services to the borders of Thailand, Cambodia and Vietnam.

There are currently 4,497 Filipinos officially registered at the Philippine Embassy in Cambodia but the total figure, including those undocumented could reach around 6,000, Wong said.

Aside from professionals working in private companies, there are those who are employed in international groups like the United Nations Children’s Fund, United Nations Development Programme, and religious and advocacy groups.

President Benigno S. Aquino III is arriving here in Cambodia Monday evening to attend the 20th Association of Southeast Asian Nations (Asean) Summit and the 45th anniversary of the organization. (PCOO)

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Aquino joins formal 20th ASEAN Summit opening

PHNOM PENH, Cambodia
: President Benigno S. Aquino III will join fellow leaders of the Association of Southeast Asian Nations (Asean) when the 20th Asean Summit opens on Tuesday, April 2.

The regional organization, which was founded August 8, 1967 in Bangkok, Thailand, is also celebrating its 45th anniversary.

The opening of the summit, the Asean’s 45th anniversary celebration as well as the formal meetings will be held here in Phnom Penh at the Peace Palace at 9:30 am.

Joining the Asean leaders will be Asean ministers and their spouses, the Asean secretary general and deputy secretary general, as well as other delegates and invited guests.

Cambodian Prime Minister Hun Sen, who is the chairman of this year’s summit, will deliver a message during the summit opening and anniversary celebration. After that the leaders will start the summit plenary session.

Then a lunch will be hosted by Prime Minister Hun Yen for the visiting Asean leaders.

At 2 pm, the leaders will meet the representatives of the Asean Inter-Parliamentary Assembly (AIPA) at the Peace Palace.

Then a meeting with Civil Society Organizations will follow at 3 pm also at the Peace Palace.

After meeting the inter-parliamentary representatives, the Asean leaders will meet with Asean Youth Representatives at 4 in the afternoon. Two youth representatives from each of the Asean countries will join the meeting.

At 6:30 pm, the leaders will have a Royal Audience at the Royal Palace with His Majesty Norodom Sihamoni, the king of Cambodia. A state banquet, hosted by King Norodom Sihamoni will follow at 7 pm.

The Asean leaders and minister will be joined by their spouses during the state banquet.

In concluding his activities on Tuesday, President Aquino is scheduled to meet with members of the Philippine press at 9:20 in the evening at Hotel Sofitel here in Phnom Penh. (PCOO)