Other Royalty Payments Documentation Requirements
- Section 53-B of Circular No. 1062 removes the mandatory submission of financial statements audited by an independent CPA for all amounts.
- Certification by an independent CPA is now only required for royalty or fee remittances exceeding USD 5,000.
Producer's Share and Television Film Rentals
- Section 54 of Circular No. 1062 deletes the previous requirement to provide a detailed computation of how the share or rental amount was derived.
- Instead, only a statement of remittable share rentals certified by an independent CPA is required.
- The previous necessity to submit audited balance sheets and profit and loss statements for the year in which income accrued is eliminated.
Management Fees Remittance Procedure
- Section 55 of Circular No. 1028 mandates that only remittances amounting to USD 5,000 or more require a statement of fees certified by an independent CPA.
- This streamlines and limits documentation for management fee foreign currency remittances.
Foreign Airlines and Shipping Company Revenues Documentation
- Section 59 of Circular No. 1028 deletes several previously required documents:
- Copy of bill of lading for peso freight collections certified by a shipping agent or company's representative.
- Central Bank authority documents for shipments without Letters of Credit (L/C).
- Information regarding balance sheet accounts where obligations were lodged.
- List of passenger tickets issued.
- Reports on tax exemptions granted to non-resident passengers.
- These deletions simplify documentary requirements for foreign airlines and shipping companies handling revenue collections.
Effective Date and Authority
- The amendments take effect immediately upon issuance.
- Issued by the Monetary Board Resolution No. 988 on November 17, 1989.
- Officially adopted on December 12, 1989, signed by Governor Jose B. Fernandez, Jr.