Emperador Inc (EMI) has detailed the process for collecting and remitting the Philippine stock transaction tax (STT) that applies to sales of its shares on the Singapore Exchange Securities Trading Limited (SGX-ST).
The company confirmed that sales of EMI shares on the SGX-ST are subject to a 0.1% STT on the gross selling price or gross value in money, payable by the seller. This reduced rate, down from 0.6%, will take effect on Jul, 1 2025 under Republic Act No. 12214, also known as the Capital Markets Efficiency Promotion Act.
Singapore brokers must withhold the STT at settlement and remit the amount to the Philippines Bureau of Internal Revenue. They may do so through BDO Securities Corporation, appointed by Emperador as the receiving and remitting agent, or via alternative channels such as affiliated Philippine brokers.
The following Singapore brokers have been onboarded with BDO Securities: CGS-CIMB Securities (Singapore) Pte. Ltd.; Citigroup Global Markets Singapore Securities Pte. Ltd.; CLSA Singapore Pte. Ltd.; Daiwa Capital Markets Singapore Limited; DBS Vickers Securities (Singapore) Pte. Ltd.; iFAST Financial Pte. Ltd.; Instinet Singapore Services Pte. Ltd.; JP Morgan Securities Singapore Private Limited; KGI Securities (Singapore) Pte. Ltd.; Lim & Tan Securities Pte. Ltd.; Macquarie Capital Securities (Singapore) Pte. Limited; Maybank Securities Pte. Ltd.; OCBC Securities Pte. Ltd.; Philip Securities Pte. Ltd.; Tiger Brokers (Singapore) Pte. Ltd.; UBS Securities Pte. Ltd.; and UOB Kay Hian Private Limited. DBS Vickers currently does not offer EMI share trading to retail clients.
If a broker ends its arrangement with the receiving agent or if the agent ceases to act, brokers must provide an alternative method to ensure ongoing compliance with Philippine tax requirements; otherwise, their clients may be unable to trade EMI shares on the SGX-ST.
Emperador advises investors to seek professional advice on the tax, legal and other implications of trading its shares and to check with their brokers regarding any additional fees linked to the STT remittance process.