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When I started practicing in tax law, the rules in determining fair market value of shares of stocks were quite simple. We were instructed to rely on the book value of the shares of stock based on the latest audited financial statement of the company which issued the shares. There were certain adjustments, of course, but generally, the book value is quite reliable.

It is a common practice among Filipinos to consult a doctor or go to the hospital only when the disease has reached a serious stage. This sometimes puts the patient at risk of being diagnosed only when the illness already requires intensive care, or worse, when it is too late to save the patient’s life.

Now that the annual tax filing season is over, it is about time to revisit your tax planning strategy for the next year. This becomes more relevant since the deadline for the first quarter income tax return is fast approaching. Tax planning involves weighing various tax options to determine the most beneficial way to conduct a business. One should bear in mind that tax planning aims not only to save on taxes but also to reduce or eliminate tax exposures during tax examinations. These days, the Bureau of Internal Revenue (BIR) is very aggressive in its campaign to increase collections, and it is crucial to employ the right tax planning strategies.

“Culture eats strategy for breakfast,” said leadership guru, Peter Drucker. Certainly a polarising statement; it seems strange that culture could be so important for success. Surely clear strategy, good products, market positioning, world-class execution and sound financial management are the keys to success? Yes and no. All of these elements of course have an impact, yet culture seems to transcend them all. Culture is the environment in which all human systems operate. In the same way that variables in the environment critically affect a plant's growth (sun, position, rain, etc) so the culture of an organisation dictates its growth.

The year 2016 will be a period in history when we see the changing of the guards. We should be ready for the new administration at the end of next month. And in a parallel world of corporate finance, the listed or public companies in the country shall witness changes in their Independent Directors (IDs) if they start implementing the new rules regarding these officials. In December 2011, the Securities and Exchange Commission (SEC) issued Memorandum Circular (MC) 9, which, among others, limits the term of the independent directors to a total of 10 years, with two years of a “cooling-off” period between two terms of five consecutive years for listed, public and mutual fund companies. As 2016 is the fifth year of effectivity for the Circular, we should start seeing its implementation in the coming months.

With the conclusion of the 2016 Presidential elections yesterday, will Filipinos’ hopes for lower income taxes finally see light under the new administration? Despite the growing clamor of the public and endorsements of income tax cuts from both houses of the Congress and business groups, the current administration stood firm against these reforms.

Going through audited financial statements nowadays is like reading through a long technical paper. It has become more difficult for management to prepare, more cumbersome for auditors to audit, and more complicated for users to understand for their management and investment decisions.

As a private business owner, growth opportunities present themselves virtually every day. The thing is, not all of these growth opportunities are financially feasible. It’s essential, therefore, to reserve your time and resources for the opportunities that have the greatest chance of propelling your business forward—and to find the right funding partner to make those opportunities a reality. By following these three steps, you have a better chance of achieving just that.