UNDERSTANDING THE FIST LAW AND ITS IMPLEMENTING RULES & REGULATIONS

SMEs from:

• Bangko Sentral ng Pilipinas
• Bureau of Internal Revenue
• Securities and Exchange Commission

Discussion Outline:

a. BSP:

1. Basic principles and provisions
2. Sec. 3(e) - Participating FIs
3. Sec. 3(h), (i), and (j) - Definition of NPAs
4. Article III – Transfer of Assets to a FISTC

· Sec. 12 - Notice and Manner of Transfer of Assets

· Sec. 13, in relation to Sec. 3(k) - Nature of Transfer

· Sec. 14 – Issuance of Injunctive Relieve Against Transfer of Assets

1. Secs. 3(c), in relation to Sec. 12(b) - Issuance of COE
2. Sec. 20 - Redemption Periods
3. Sec. 24 - Penalties and sanctions applicable to BSP-Supervised Financial Institutions

b. SEC:

1. Article II - The FIST Corporation

Sec. 4 – Establishment of a FISTC

Sec. 5 – Powers of a FISTC

Sec. 6 – Period for Filing of Applications

Sec. 7 – Capitalization of a FISTC

Sec. 8 – Submission of a FISTC Plan

Sec. 9 – Approval, rejection, suspension or revocation of a FISTC Plan

Sec. 10 – Issuance of IUIs

Sec. 11 – Permitted Investors

1. Secs. 3(d) and 5(k) - The Data Package
2. Sec. 19 – Financial Consumer Protection Mechanism
3. Article VI – Accounting and Reporting Provisions

Sec. 21 – Books of Accounts and Records

Sec. 22 – Reports and Monitoring

1. Sec. 23 – SEC as Primary Implementing Agency
2. Sec. 24 - Penalties and sanctions applicable to SEC-supervised FIs

c. BIR:

1. Transactions covered under the FIST Act
2. Article IV – Incentives and Exemption Privileges

· Sec. 15 – Tax Exemptions and Fee Privileges

· Sec. 16 – Additional Tax Exemptions and Fee Privileges

· Sec. 17 – Net Operating Loss Carry-over of Participating FIs

· Sec. 18 – Abuse of Tax Exemptions and Privileges

1. Procedure for availing of the incentives and privileges

Schedule:

April 26, 2021 (Monday)

1:00 PM - 4:00 PM