<\/p>\n
THE SECURITIES and Exchange Commission (SEC) has suspended monthly penalties on late and nonfiling of reportorial requirements until year-end as a part of efforts to scale back compliance costs and improve the convenience of doing business.<\/span><\/p>\n The company regulator in a memorandum circular deferred the \u201cper thirty days of delay\u201d penalty within the submission of annual financial statements and general information sheets.<\/p>\n The previous system imposed escalating charges based on the length of delay, with each fraction of a month treated as a full month and penalties capped at 12 months for prolonged nonfiling.<\/p>\n \u201cThe suspension of the monthly penalty on a prospective basis constitutes a concrete and meaningful regulatory reform measure that directly reduces the compliance cost burden on all registered corporations, including micro, small and medium enterprises (MSME), and demonstrates the commission\u2019s commitment to a more business-friendly regulatory environment,\u201d it said within the circular.<\/p>\n The suspension will remain effective until Dec. 31 unless prolonged or modified by the commission.<\/p>\n The order covers all domestic and foreign corporations under SEC jurisdiction, including stock and nonstock and one-person corporations.<\/p>\n The SEC said corporations must still file annual financial statements and general information sheets inside prescribed deadlines under the Revised Corporation Code and existing rules, while base penalties for late or nonfiling remain in effect.<\/p>\n For pending monitoring cases, the SEC said monthly penalties would not be included in assessments, while corporations that already received final assessments but have yet to pay might be issued updated billing statements excluding the monthly charge.<\/p>\n Nonetheless, penalties that had been fully paid before the order took effect will not be refunded or credited.<\/p>\n \u201cAs we rejoice the Ease of Doing Business month this May, the SEC reaffirms its commitment to foster a strong and responsive business environment,\u201d SEC Chairman Francisco Ed. Lim said in a press release.<\/p>\n \u201cBy suspending the compounding monthly penalties, we’re providing corporations a chance to get back their good standing without the burden of mounting transaction costs, as a part of our goal of pushing corporations toward full compliance and sustainable growth,\u201d he added.<\/p>\n In a separate circular, the SEC also revised rules defining \u201cqualified buyers\u201d under the Securities Regulation Code by expanding the sorts of securities included in computing required investment portfolios.<\/span><\/p>\n Under the revised rules, individual investors should have either no less than P10 million in annual gross income for 2 straight years or total portfolio investments of no less than P10 million, including registered and exempt securities, together with relevant investment experience requirements.<\/span><\/p>\n For juridical entities, the brink stays at either P100 million in gross assets or P60 million in portfolio investments. \u2014 Alexandria Grace C. Magno<\/b><\/span><\/p>\n<\/p><\/div>\n <\/p>\n","protected":false},"excerpt":{"rendered":" BW FILE PHOTO\/ALDRINE BALLESTEROS THE SECURITIES and Exchange Commission (SEC) has suspended monthly penalties on late and nonfiling of reportorial requirements until year-end as a part of efforts to scale back compliance costs and improve the convenience of doing business. The company regulator in a memorandum circular deferred the \u201cper thirty days of delay\u201d penalty […]<\/p>\n","protected":false},"author":1,"featured_media":334956,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[30499,1085,464,20612,17694,4578],"class_list":["post-334955","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-filings","tag-late","tag-monthly","tag-penalties","tag-sec","tag-suspends"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/posts\/334955","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/comments?post=334955"}],"version-history":[{"count":2,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/posts\/334955\/revisions"}],"predecessor-version":[{"id":334958,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/posts\/334955\/revisions\/334958"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/media\/334956"}],"wp:attachment":[{"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/media?parent=334955"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/categories?post=334955"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ebiztoday.news\/index.php\/wp-json\/wp\/v2\/tags?post=334955"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}