FOREIGNERS MUST PAY TAXES: DOF

All foreign and Philippine-based gaming operators, including those with offshore licenses, are now required to register with the BIR

Manila -- The Department of Finance (DOF) and the Bureau of Internal Revenue (BIR) are working closely with other government agencies, including the justice and labor departments, to ensure that foreign nationals working in Philippine offshore gaming operations (POGO) comply with the country’s tax laws, particularly in the payment of income taxes.

Under Revenue Memorandum Circular (RMC) No. 78-2018, all foreign and Philippine-based gaming operators, including those with offshore licenses, are now required to register with the BIR as a prerequisite in the renewal of their Philippine Amusements and Gaming Corp. (PAGCOR) licenses. This mandates the BIR to identify and monitor tax payments including remittances of taxes withheld on foreign nationals working for them.

Finance Secretary Carlos Dominguez III said in a statement on Sunday that the list of foreign nationals working for service providers of POGO operators should be consolidated and reconciled by the various agencies and offices involved in screening, providing work permits and registering them here in the country.

These agencies include the Department of Foreign Affairs (DFA), which screens and issues visas to foreign nationals entering the country; the Department of Justice (DOJ), which oversees the Bureau of Immigration (BI) that, in turn, grants short-term special work permits (SWPs) to foreigners; the Department of Labor and Employment (DOLE), which issues alien employment permits (AEPs); PAGCOR, which has a list of its licensed POGO operators; Department of Trade and Industry (DTI), which oversees the country’s special economic zones (SEZs) where a few of these POGOs operate; and the Securities and Exchange Commission (SEC), which registers POGO agents.