07-03-2019, 08:30 AM
DOF issues guidelines for imposing local taxes, fees on professionals
The Department of Finance (DOF) has issued a new set of guidelines to local government units (LGUs) on imposing and collecting taxes and other charges on professionals to ensure a fair, uniform and proper implementation of tax laws and in line with ongoing efforts to streamline government transactions to further improve the ease of doing business.
Among the salient features of Local Finance Circular (LFC) 001-2019, which was signed by Secretary Carlos Dominguez III last June 12, 2019, is the exemption of professionals from paying business permit fees for the operation of their offices or clinics.
Under the guidelines, while professionals still need to secure business permits from LGUs, such should be at no cost at all during the registration or renewal of the operation of their clinics or offices, given that such permits cannot regulate the practice of their profession. This is because regulations over the practice of professions are within the exclusive domain of the respective agencies or regulatory boards empowered by law to supervise and regulate professions, the DOF said.
Reference Links (for the complete DOF publication):
https://www.dof.gov.ph/index.php/dof-iss...essionals/
The Department of Finance (DOF) has issued a new set of guidelines to local government units (LGUs) on imposing and collecting taxes and other charges on professionals to ensure a fair, uniform and proper implementation of tax laws and in line with ongoing efforts to streamline government transactions to further improve the ease of doing business.
Among the salient features of Local Finance Circular (LFC) 001-2019, which was signed by Secretary Carlos Dominguez III last June 12, 2019, is the exemption of professionals from paying business permit fees for the operation of their offices or clinics.
Under the guidelines, while professionals still need to secure business permits from LGUs, such should be at no cost at all during the registration or renewal of the operation of their clinics or offices, given that such permits cannot regulate the practice of their profession. This is because regulations over the practice of professions are within the exclusive domain of the respective agencies or regulatory boards empowered by law to supervise and regulate professions, the DOF said.
Reference Links (for the complete DOF publication):
https://www.dof.gov.ph/index.php/dof-iss...essionals/