Companies and Their HMOs Must Comply with Accounting Standards

The Philippine Star reported that the Insurance Commission (IC) released a circular requiring Health Maintenance Organizations (HMOs) to issue contracts compliant with Philippine accounting standards. The circular, which was intended for transparency purposes, shall apply to the annual as well as quarterly reporting periods beginning January 1, 2020. Companies should then make sure that by that time next year, HMOs contracts are compliant with the law. One of the principles that must be followed are contained in the Philippine Financial…

How Philippine SMEs Can Automate Accounting & Bookkeeping Practices

Developments in technology have opened more avenues for businesses to improve their processes. Of course, emerging technologies also affect the accounting industry. That’s why Noe Quiñanola, PRC Board of Accountancy chairman, said in an interview that accountants must learn new digital skills through further education. Basically, automation helps in reducing time in tasks as well as improve accuracy; hence, accountants become more efficient and productive. Going back to Philippine SMEs, the time to go digital is now, and here are…

PRC: Accountants Should Embrace Digital and Tech Skills

Today’s era has completely shown that technology can go hand in hand with the workforce. All thanks to the willingness of the people to adapt to artificial intelligence and other emerging technologies, business processes were streamlined. Looking at the accounting industry in the Philippines, it’s clear that technology and software play a significant role in efficiency and productivity. Even the Professional Regulatory Commission (PRC) said that accountants should embrace digital and tech skills. Those are already clear indications of the…

Accounting Tips for Ecommerce Businesses and Online Payments

When it comes to businesses that recently became an e-commerce, online payments are unexplored territory. Don’t worry, start making your accounting tasks for your ecommerce business smooth sailing with these simple tips.   Tip #1: Choose an accounting software As an ecommerce business owner, accounting software is essential in tracking online transactions, making it easier for your bookkeeping tasks. Accounting software will also let your records stay up to date as well as accessible anywhere you go.   Get one…

What You Need to Know About BIR’s Computerized Accounting System

The Philippine government, through the Bureau of Internal Revenue (BIR), requires those who fall under the large taxpayer classification to operate using a Computerized Accounting System (CAS). This is by virtue of the Revenue Regulations No. 9-2009 issued by the BIR, as an agency tasked to collect more than half of the government’s total revenues.   Who are the Large Taxpayers? The criteria used to determine which business establishment falls under the large taxpayer classification will be detailed below. It…

What SME Businesses Need to Know About the New Tax Amnesty Act of 2019

Republic Act No. 11213, otherwise known as the Tax Amnesty Act of 2019 provides tax amnesty on delinquencies as well as estate tax amnesty. Since we prepared this article to show what’s in it for SME businesses, allow us to focus exclusively on tax amnesty on delinquencies. In a nutshell, through such amnesty which covers all national internal revenue taxes, businesses with long overdue tax liabilities will finally be given a clean slate. This is because the taxes previously deemed…

How to Avoid Unwanted Tax Season Trouble

Tax time is mandatory, and no one is above it. Every year, businesses in the Philippines are required to submit tax returns to the Bureau of Internal Revenue (BIR). Filing taxes enable them to know if they owe additional taxes or eligible for tax returns. For those who don’t pay their taxes, it’s against the law to do so. In the Philippines, tax evasion cases, once proven guilty, can lead to a fine between ranging from ₱30,000 to ₱100,000, different…

SEC PRFS for Small Businesses – Simplified

Already existing in the Philippines as early as 2005, the Philippine Financial Reporting Standards (PFRS) helps businesses in terms of business decision making, data comparisons, and increase in accuracy on financial statements. PFRS was adapted from the International Financial Reporting Standards (IFRS) for the country to have a standard when it comes to financial reporting practices. Ever since the existence of PFRS, businesses registered with the Securities and Exchange Commission (SEC) are required to integrate PFRS and use it as…

Explaining The Philippine Tax Amnesty Act of 2019

The Philippine Tax Amnesty Act of 2019, also known as the Republic Act 11213 (RA 11213), allows taxpayers to avail the benefits of the Estate Tax Amnesty law. The Philippine President Rodrigo Duterte signed the act on February 14, 2019, and it already started effect on June 15, 2019.   On May 30, 2019, the released Revenue Regulations 6-2019 (RR 6-2019) that states the act will “provide the taxpayers a one-time opportunity to settle estate tax obligations through an estate…

How to Streamline Your Bookkeeping for Efficiency

Bookkeeping is both important and time-consuming. For small business owners, entering expenses on books takes so much of their time and focus that should be allocated to other pressing business matters. Unfortunately, bookkeeping is an integral part of a business. It helps in monitoring expenses as well as serves as a record when it’s time to pay taxes. One wrong declaration of costs can already lead to fees and legal trouble. So, what should be done to avoid errors in…