Retailers are pushing for a level playing field between brick and mortar players with foreign online sellers as they begin to recover to pre-pandemic levels.
Roberto Claudio, president of the Philippine Retailers Association (PRA) yesterday said the group supports a bill imposing taxes on internet transactions through Senate Bill 250 which “will pave the way for a more equitable business landscape in the Philippine retail industry, benefiting both local and international online players.”
“One significant challenge we face is the (unequal) level playing field created by online foreign merchants. Ensuring that online retailers adhere to the same laws and ordinances that traditional stores abide by is crucial. Matters such as taxation, duties, product standards, intellectual property, price tags, official receipts, and truth in advertising among others, must be upheld consistently across all online marketplaces. Addressing this concern is of paramount importance to our retail community,” Claudio told the 29th National Retailers Conference and Exhibition at the SMX Convention Center yesterday.
Claudio also said PRA is pushing for a value-added tax refund system for tourists to encourage shopping among travelers. A proposed bill on the refund system is set to undergo floor deliberation in the Senate within the coming weeks, with plans for industry-wide implementation slated for the first quarter of 2024.
“Throughout this year, we have witnessed a significant resurgence in the retail sector. Our businesses are not only recovering but experiencing substantial growth as we reopen more stores. Customers are eagerly returning to stores and malls, reigniting vibrant shopping experiences. Notably, revenge shopping and travel have played significant roles in driving growth since last year, and our aim is to sustain this momentum and reach even higher levels of growth,” Claudio said.
He added: “Our primary focus lies in creating an equitable playing field for both online
and brick-and-mortar stores while positioning the Philippines as a top tourist destination in Asia.
