Section 3Sec./Art. 3

Section 25 of the National Internal Revenue Code of 1997, as amended, is hereby further amended to read as follows:

SEC. 25.Tax on Nonresident Alien Individual.

(A) x x x

(B) x x x

(C) x x x

(D) x x x

(E) x x x

(F) x x x

(G)Alien Individuals Employed by an Offshore Gaming Licensee and Service Providers. Alien individuals regardless of residency and who are employed and assigned in the Philippines, regardless of term and class of working or employment permit or visa, by an offshore gaming licensee or its service provider as defined in Section 22(II) and Section 27(G) of this Code, shall pay a final withholding tax of twenty-five percent (25%) on their gross income as computed in the succeeding paragraph:Provided, however,That the minimum final withholding tax due for any taxable month from said person shall not be lower than Twelve thousand five hundred pesos (P12,500.00).

In computing the tax provided in this Section, gross income shall include, whether in cash or in kind, basic salary/wages, annuities, compensation, remuneration and other emoluments, such ashonorariaand allowances, received from such service provider or offshore gaming licensee:Provided,That all offshore gaming licensees and service providers shall submit to the Bureau of Internal Revenue the original copy of notarized contract of employment clearly stating therein the annual salary and other benefits and entitlements of the concerned alien.

The tax imposed herein shall be withheld and remitted in accordance with the provision of this Code and failure to do so shall be governed by this Code. In addition, the alien concerned may be subject to deportation and may be barred from reentering the Philippines, or blacklisted as a foreign employee by the Department of Labor and Employment, Bureau of Immigration, and other relevant agencies.

For the efficient assessment, verification, and administration of taxes imposed in this Section, the Bureau of Immigration, the Department of Labor and Employment, the Bureau of Internal Revenue, the Securities and Exchange Commission, the Philippine Amusement and Gaming Corporation, and any special economic zone authority, tourism zone authority, freeport authority, as provided for in their respective charters, shall issue joint and consolidated rules and regulations, including the issuance of a gaming employment license by the issuance of a gaming employment license by the concerned agency, for the implementation of free and efficient exchange of information among the said agencies in relation to the proper payment of taxes by persons covered under this Section.

For this purpose, the data sharing and reporting system as well as the joint inspection team created under Joint Memorandum Circular No, 1, Series of 2019, entitled, Rules and Procedures Governing Foreign Nationals Intending to Work in the Philippines shall be institutionalized.

All foreign employees of offshore gaming licensees and their service providers, regardless of nature of employment, shall have a tax identification number, All offshore gaming licensee and service providers that employ or engage a foreign national without the foregoing shall be liable for a fine of Twenty thousand pesos (20,000.00) for every foreign national without such tax identification number and, in proper instances, revocation of their primary and other licenses obtained from government agencies and/or perpetual or temporary ban in employing or engaging foreign nationals for their operations:Provided,That the foreign national concerned shall still pay, and the employer shall remit, any corresponding taxes, penalties, interests, and surcharges due in accordance with this Code.

Any income earned from all other sources within the Philippines by the alien employee referred under this Subsection shall be subject to pertinent income tax imposed under this Code.