- The Philippines may face additional tariffs from the US due to its digital tax law.
- US President Trump threatened countries with digital taxes with more tariffs on their exports to the US.
- The Philippines enforces a 12 percent VAT on nonresident digital service providers.
- Analysts suggest this could lead to reciprocal tariffs from the US.
- The US currently imposes a 19 percent tariff on Philippine goods.
- There is a risk of increased tariffs, though the impact might be minimal.
- The US may seek concessions on digital transaction taxes for its companies.
- Analysts advise the Philippine government to carefully consider the implications of lifting the VAT.
- The Department of Finance projects significant revenue from digital VAT collections.
Source: bworldonline.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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