Philippines to implement ‘crypto' tax framework by 2028
Getting your Trinity Audio player ready...
The Philippine government has committed to adopt an international reporting framework for digital currency assets by 2028, aligning with global efforts to curb cross-border tax evasion and illicit financial flows. The move underscores the country's Department of Finance's (DoF) push to strengthen fiscal transparency as digital currencies become more mainstream in the country.
'We need faster and stronger systems for collaboration if we are to beat tax evasion and illicit transactions,' Ralph Recto, Finance Secretary, said in a statement. 'The government must ensure that crypto-asset users are paying their fair share of taxes and that no illicit financial activity goes unpunished.'
Joining 67 jurisdictions in global tax transparency initiative Source: Department of Finance/Facebook
During the 8th Asia Initiative Meeting held in Malé, Maldives, Finance Undersecretary Charlito Martin Mendoza formalized the country's commitment to adopt the Crypto-Asset Reporting Framework (CARF), developed by the Organisation for Economic Co-operation and Development (OECD).
The CARF is designed to standardize the automatic exchange of tax information on crypto-assets across jurisdictions. The framework ensures that individuals and entities engaging in cross-border digital asset transactions cannot hide income or gains from tax authorities.
The Philippines joins 67 jurisdictions, 10 of which are in Asia, that have pledged to implement the CARF by either 2027 or 2028. The timing of the country's commitment aligns with the end of President Ferdinand Marcos Jr.'s six-year term, during which fiscal discipline and transparency have been recurring themes.
'This is a timely commitment as digital currency becomes one of the preferred means for transactions,' Recto noted.
Digital currency growth and risks in the Philippines
Recto previously stated that Filipinos have invested an estimated PHP6 trillion ($107 billion) in digital currencies, more than double the combined size of the country's business process outsourcing and offshore gaming sectors.
'In the Philippines, a lot of Filipinos have already invested in crypto. Something like 6 trillion pesos worth of investments in crypto is being done,' Recto told Bloomberg in an interview earlier this year. He attributed this growth to a tech-savvy, youthful population and the widespread use of digital wallets, noting that 90 million Filipinos now use such tools to save, invest, and transact.
However, third-party data paints a more measured picture. Blockchain analytics firm Chainalysis estimated the Philippines' 2024 crypto flows at $43.1 billion, down from $66 billion in 2023. The firm attributed the apparent 40% drop to revised methodologies for tracking decentralized finance (DeFi) activity. Despite the discrepancy, the numbers underscore the importance of tax authorities keeping pace with the rapid adoption of digital currencies. The decentralized and borderless nature of digital assets presents challenges for enforcement and taxation.
Boosting exchange of information ahead of CARF rollout
The DOF also reported on parallel efforts to improve tax transparency and compliance mechanisms. At the Asia Initiative Meeting, the department shared the country's progress in adopting the Convention on Mutual Administrative Assistance in Tax Matters (MAAC), a multilateral tool for tax assessment and collection cooperation.
It also outlined the steps taken to prepare for the Enhanced Monitoring Process, the strengthening of the Exchange of Information (EOI) on request, and the adoption of the Common Reporting Standards (CRS).
The Asia Initiative aims to enhance international cooperation on tax transparency and combating illicit financial flows. The Philippines became a member in 2023 and has since been working to align with globally agreed-upon standards.
The meeting also marked the launch of the 2025 Tax Transparency in Asia Report, which details regional progress made in applying tax transparency frameworks throughout 2024.
Globally, efforts in tax transparency have proven effective. From 2009 to 2024, at least €24 billion ($27 billion) in additional revenue has been identified through EOI, offshore investigations, AEOI (Automatic Exchange of Financial Account Information), and related disclosure programs. In 2024 alone, €1.9 billion ($2 billion) in undeclared income was identified through these means.
Raising revenue without tax hikes
The CARF commitment comes as the Marcos administration reiterates its intention not to introduce new taxes. Instead, it aims to increase state revenue through improved collection and enforcement.
This policy direction already has been bearing results, according to the government agency. In April 2024, revenue collection reached PHP522.1 billion ($9 billion), bringing the total for the first four months to PHP1.5 trillion($26 billion). Of this, 94% came from taxes, thanks to an 11.49% increase in tax revenues.
The DOF says the digital currency framework complements these efforts by plugging gaps in areas where tax evasion risks are highest.
Watch: The Philippines is moving toward blockchain-enabled tech
title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Geeky Gadgets
44 minutes ago
- Geeky Gadgets
Samsung Galaxy Watch 8 Classic: First Look at the Leaked Design!
Samsung has officially revealed its Galaxy Watch 8 lineup through detailed renders, showcasing the Galaxy Watch 8, Watch 8 Classic, and Watch Ultra 2025. This latest series blends refined aesthetics, innovative health tracking, and the advanced One UI 8 Watch software. While the updates may not redefine the smartwatch landscape, they demonstrate Samsung's commitment to enhancing user experience through meaningful, incremental improvements. The video below from TechTalkTV gives us more details on the device. Watch this video on YouTube. Refined Design Across the Galaxy Watch 8 Lineup The Galaxy Watch 8 series introduces a cohesive design language while offering distinct models to cater to diverse preferences. Each watch in the lineup is tailored to meet specific style and functional needs: Galaxy Watch 8 Classic: Maintains a traditional, polished design with a new strap style that has sparked mixed reactions among users. This model appeals to those who value timeless elegance. Maintains a traditional, polished design with a new strap style that has sparked mixed reactions among users. This model appeals to those who value timeless elegance. Galaxy Watch 8: Features a clean, cushion-shaped case, ideal for users who prefer a minimalist and modern aesthetic. Features a clean, cushion-shaped case, ideal for users who prefer a minimalist and modern aesthetic. Galaxy Watch Ultra 2025: While it doesn't undergo a complete redesign, it introduces a fresh color option, broadening its appeal to a wider audience. All models are equipped with a vibrant 1.5-inch AMOLED display, making sure sharp visuals and consistent performance across the lineup. This focus on display quality enhances the overall user experience, whether you're checking notifications or tracking fitness metrics. Size Options for Personalized Fit Samsung has emphasized customization by offering size options that cater to different wrist sizes and style preferences. This ensures that users can find a watch that fits both their physical and aesthetic needs: Galaxy Watch 8 Classic: Available in a 47mm size, making it an excellent choice for those who prefer a larger, more prominent smartwatch. Available in a 47mm size, making it an excellent choice for those who prefer a larger, more prominent smartwatch. Galaxy Watch 8: Offers two size options, providing flexibility for users who want a more tailored and comfortable fit. This variety allows the Galaxy Watch 8 series to appeal to a broad range of users, from those who favor bold, statement-making designs to those who prefer subtle, understated styles. One UI 8 Watch: Enhanced Software Features The introduction of One UI 8 Watch software marks a significant step forward for the Galaxy Watch 8 series, particularly in the realm of health tracking and personalized guidance. This software update brings a host of new features designed to improve daily life and wellness: Bedtime Guidance: Analyzes sleep patterns and suggests optimal sleep times, helping users establish healthier routines and improve overall sleep quality. Analyzes sleep patterns and suggests optimal sleep times, helping users establish healthier routines and improve overall sleep quality. Vascular Load Monitoring: Tracks blood vessel strain during sleep, providing insights into cardiovascular health and potential risks. Tracks blood vessel strain during sleep, providing insights into cardiovascular health and potential risks. Running Coach: Offers real-time feedback and personalized training plans, making it an invaluable tool for fitness enthusiasts aiming to enhance their performance. Offers real-time feedback and personalized training plans, making it an invaluable tool for fitness enthusiasts aiming to enhance their performance. Antioxidant Index Measurement: An innovative experimental feature from Samsung Labs that evaluates carotenoid levels, offering insights into the body's ability to combat oxidative stress and aging. These features, particularly the Vascular Load and Antioxidant Index tools, underscore Samsung's dedication to integrating advanced health technologies into its wearables. By focusing on actionable insights, the Galaxy Watch 8 series enables users to take control of their health and wellness. Streamlined Navigation with a Modernized Interface One UI 8 Watch also introduces a refreshed interface that builds upon the design principles of its predecessor, One UI 7. The updated interface features pill-shaped tiles that enhance navigation, allowing users to access essential information quickly and effortlessly. This streamlined design not only improves usability but also adds a sleek, contemporary feel to the smartwatch experience. The intuitive layout ensures that users can easily interact with their device, whether they are checking notifications, monitoring health metrics, or customizing settings. This focus on usability reflects Samsung's commitment to creating a seamless and enjoyable user experience. Health Tracking and Design Refinements Take Center Stage The Galaxy Watch 8 series prioritizes refinement over radical innovation, focusing on enhancing existing technologies and designs. The emphasis on advanced health tracking, combined with polished aesthetics and customizable options, ensures that the lineup appeals to a wide audience. Whether you're seeking a fitness companion, personalized sleep guidance, or a stylish accessory, the Galaxy Watch 8 series offers a well-rounded package. By balancing functionality with style, Samsung has crafted a smartwatch lineup that caters to diverse needs and preferences. From the timeless elegance of the Watch 8 Classic to the minimalist design of the Watch 8 and the subtle updates of the Watch Ultra 2025, this series delivers a comprehensive and versatile smartwatch experience. Here are more detailed guides and articles that you may find helpful on the Galaxy Watch 8. Source & Image Credit: TechTalkTV Filed Under: Android News, Gadgets News, Top News Latest Geeky Gadgets Deals Disclosure: Some of our articles include affiliate links. If you buy something through one of these links, Geeky Gadgets may earn an affiliate commission. Learn about our Disclosure Policy.
Geeky Gadgets
2 hours ago
- Geeky Gadgets
Is This the Galaxy Z Fold 7 Ultra 5G Final Design? What Leaks Suggest
The Samsung Galaxy Z Fold 7 Ultra 5G is set to redefine the foldable smartphone landscape, combining advanced technology with a sleek, functional design. Scheduled for release in July 2024, this highly anticipated device is expected to deliver a seamless blend of innovation and practicality. However, recent leaks have sparked discussions about its design, particularly the prominent rear camera bump, which could influence its otherwise slim and elegant profile. The video below from Miror Pro gives us more details on the leaked design. Watch this video on YouTube. Breaking New Ground with a Slimmer Design Samsung continues to push the boundaries of foldable phone design with the Galaxy Z Fold 7. Measuring just 9 mm thick when folded and an impressive 4.5 mm when unfolded, it is poised to become the slimmest book-style foldable in Samsung's portfolio. This remarkable achievement is made possible by a reengineered hinge mechanism, which is a cornerstone of the device's design. The redesigned hinge not only reduces the phone's overall bulk but also enhances its durability and usability. It ensures smoother transitions between smartphone and tablet modes, catering to users who prioritize portability without compromising on screen size. For professionals and multitaskers, this innovation offers a practical solution for on-the-go productivity. The Galaxy Z Fold 7's lightweight build and refined engineering make it a standout choice for those seeking a balance between form and function. Triple Camera System: A Double-Edged Sword The Galaxy Z Fold 7 features a triple rear camera system housed within a prominent camera island. While this setup is expected to deliver exceptional imaging capabilities, its design has sparked mixed reactions. The noticeable camera bump, while functional, may detract from the device's ultra-slim aesthetic and could affect its ergonomics, particularly when placed on flat surfaces. Despite these concerns, the camera system is anticipated to excel in several key areas: High-resolution imaging for capturing detailed photos and videos for capturing detailed photos and videos Advanced zoom capabilities for distant subjects for distant subjects Improved low-light performance for enhanced night photography For photography enthusiasts and professionals, these features could make the Galaxy Z Fold 7 a compelling option. The device's ability to deliver high-quality visuals may outweigh concerns about its physical design, particularly for users who prioritize camera performance. 5G Connectivity and High-Performance Hardware The Galaxy Z Fold 7 is designed to use the full potential of 5G technology, offering ultra-fast connectivity for a wide range of applications. Whether streaming high-definition content, engaging in online gaming, or multitasking across apps, the device promises a seamless and responsive experience. This commitment to innovative connectivity ensures that the Galaxy Z Fold 7 remains relevant in an increasingly connected digital landscape. Under the hood, the phone is expected to feature a powerful processor paired with ample RAM, allowing it to handle demanding tasks with ease. This combination of hardware ensures smooth performance, whether you're working remotely, editing videos, or enjoying immersive multimedia content. The Galaxy Z Fold 7 is built to cater to users who demand both speed and efficiency from their devices. Anticipated Launch and Market Impact Samsung is set to unveil the Galaxy Z Fold 7 at its Unpacked event in July 2024, alongside the Galaxy Z Flip 7. This event will likely serve as a platform to showcase Samsung's latest advancements in foldable technology, reinforcing its position as a leader in the market. The Galaxy Z Fold 7 is expected to be a flagship offering, representing the pinnacle of Samsung's innovation in the foldable smartphone segment. For consumers, the launch of the Galaxy Z Fold 7 presents an opportunity to explore the next generation of foldable devices. Its combination of a slim profile, advanced hinge mechanism, and high-performance hardware positions it as a strong contender in the premium smartphone market. However, the device's design choices, particularly the camera bump, may influence its reception among users who prioritize aesthetics and ergonomics. Balancing Innovation and Practicality The Samsung Galaxy Z Fold 7 Ultra 5G represents a bold step forward in the evolution of foldable smartphones. Its slim design, enhanced hinge mechanism, and powerful camera system highlight Samsung's dedication to innovation and user experience. However, the prominent camera bump introduces a potential trade-off, raising questions about the device's overall practicality and appeal. As the July 2024 launch approaches, the Galaxy Z Fold 7 will undoubtedly attract significant attention. Whether it successfully balances innovative features with user-friendly design remains to be seen. For now, it stands as a testament to the possibilities of foldable technology, offering a glimpse into the future of smartphones and the evolving needs of modern users. Gain further expertise in the Samsung Galaxy Z Fold 7 by checking out these recommendations. Source & Image Credit: Miror Pro Filed Under: Android News, Mobile Phone News, Top News Latest Geeky Gadgets Deals Disclosure: Some of our articles include affiliate links. If you buy something through one of these links, Geeky Gadgets may earn an affiliate commission. Learn about our Disclosure Policy.
Reuters
2 hours ago
- Reuters
India rate panel hopes to boost consumption, investment with large rate cut, minutes show
MUMBAI, June 20 (Reuters) - A big rate cut would assure stakeholders of India's focus on economic growth and aid in faster transmission while boosting investment and consumption, members of the monetary policy committee wrote in the June policy minutes published on Friday. Two weeks ago, the Reserve Bank of India cut its key repo rate by a larger-than-expected 50 basis points and slashed the reserve ratio for banks. It also changed its monetary policy stance to "neutral" from "accommodative", stating that room for further cuts was limited. "It is expected that the front-loaded rate action, along with certainty on the liquidity front, would send a clear signal to the economic agents, thereby supporting consumption and investment through lower cost of borrowing," RBI Governor Sanjay Malhotra wrote. All six members of the committee concurred that the fall in inflation in recent months had opened up policy space to support growth. However, only one of them - external member Saugata Bhattacharya - argued for pacing the rate cuts. "Continuing elevated uncertainty remains, to my mind, the primary reason to exercise caution in pacing monetary policy easing," wrote Bhattacharya, who voted for a 25-bp reduction. The RBI's assurance of continuing large durable liquidity support is likely to have a more dominant effect on further monetary transmission compared to a deep cut in the repo rate, he added. Retail inflation fell to 2.82% in May, the lowest in more than six years, staying below the central bank's 4% target for the fourth straight month as food prices eased. It is expected to largely remain subdued during the year. "..as monetary policy works with a lag, under the current circumstances, a 50-bp cut is preferable to two 25-bp cuts for faster and greater transmission," executive director and MPC member Rajiv Ranjan wrote in his minutes. Despite being one of the fastest-growing large economies, India can grow faster based on favourable demographics, conducive shift in regulatory policies, significant infrastructure enhancement, and leveraging on the macroeconomic stability achieved during the past decade, said RBI Deputy Governor Poonam Gupta, who was part of the MPC for the first time.
