Press Release
September 4, 2020

Gatchalian pushes for 'Internet Transactions Act' to protect consumers

Given the radical change in the country's business climate with more online businesses registering, Senator Win Gatchalian is pushing for the 'Internet Transactions Act' to put in place strict regulations to protect consumers from unethical and unscrupulous business practices on the internet.

Gatchalian's Senate Bill 1591 aims to update the country's regulatory environment to protect consumers on the goods and services being sold online.

Gatchalian recognizes that eCommerce makes transactions easier and faster while strengthening the country's digital economy. He, however, raised concern that consumers may be fooled into buying products to the detriment of their health. During a Senate inquiry on Thursday, the senator cautioned consumers of supplements they buy online, citing public health warnings from the Food and Drug Administration (FDA).

The Senator flagged the government regulatory body and online shopping platforms to get their acts together to easily track down those liable of unscrupulous online trading.

"This is a dilemma of the future. There are a lot of online platforms right now and they have the entire marketplace where suppliers can get all the products all over the world. Walang habol ang online buyers kung may problema sa nabili nilang produkto. They are left holding the bag. So, this is something that the bill wants to solve - to make online platforms liable so that they can keep track of the supplies they're selling in the marketplace," Gatchalian pointed out.

"What are they doing to stop this? Up to this time, this is still happening. Our kababayans are consuming all products they see online but obviously these online platforms are not doing enough," he added.

Gatchalian took note of the significant increase in the number of online businesses registering with the Department of Trade and Industry (DTI) from March 16 to August 31, or a total of 73,276 businesses registered. This is a sharp rise from the 1,753 online businesses that have registered with the agency before the strict community quarantine was imposed in the country.

According to Gatchalian, it is paramount to enact SBN 1591 to resolve key concerns in the country's eCommerce industry such as internet and logistics infrastructure, payment mechanisms, taxation, and online consumer complaints.

Meanwhile, Gatchalian expressed disappointment that the Bureau of Internal Revenue (BIR) has yet to roll-out a system that will allow businesses to register their operations online instead of applicants going physically to BIR offices.

The BIR has moved the deadline for online businesses to register their operations to September 30.

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'Internet Transactions Act' isinusulong ni Gatchalian para sa proteksiyon ng mga mamimili

Kasunod ng dumadaming bilang ng mga napapa-register na online business, isinusulong ni Senador Win Gatchalian ang kanyang panukalang batas na 'Internet Transactions Act' para magkaroon ng istriktong regulasyon na poprotekta sa mga mamimili mula sa mga mapanlinlang at kaduda-dudang transaksyion o bentahan sa internet.

Ang Senate Bill 1591 ay naglalayong baguhin ang regulasyon ng online transaction sa bansa at gawing patas para sa kapakanan ng mga mamimili lalo na't nakagawian na ng marami ang pagbili ng mga produkto sa online ngayong panahon ng pandemya.

Mas mabilis nga ani Gatchalian ang transaksiyon sa eCommerce, nagbabala naman ang senador na baka maakit ang mga tao na bumili ng mga produkto na maglalagay naman sa kanila sa kapahamakan. Sa isang pagdinig sa senado, inihalimbawa ni Gatchalian ang mga binibentang supplement sa iba't ibang online shopping platform na lingid sa kaalaman ng marami ay baka hindi pa aprubado ng Food and Drug Administration o FDA.

Nanawagan si Gatchalian sa Department of Trade and Industry (DTI) at sa mga online shopping platform na ayusin ang mga panuntunan para mapanagot ang mga tiwali.

"Walang habol ang online buyers kung may problema sa nabili nilang produkto. Kaya ito ang nais ayusin sa aking inihaing panukalang batas - na papanagutin ang mga gumagawa ng mga mapanlinlang na transaksiyon sa internet, lalo na't napakalawak ng merkado at padami nang padami ang mga nagpapa-register ng online business," ayon kay Gatchalian.

"Patuloy na nangyayari ang mga ganito. Ano ba'ng ginagawa ng mga online shopping platform para mahinto ang mga ganitong iligal na transaksiyon?," tanong ni Gatchalian.

Umabot sa 73,276 ang bilang ng mga online business na nagparegister sa DTI mula March 16 hanggang August 31, kumpara sa 1,753 na mga nagparegister bago mag-lockdown.

Ayon kay Gatchalian, ang Senate Bill 1591 o 'Internet Transactions Act' ay naglalayong masolusyunan ang mga problema sa eCommerce tulad ng imprastraktura sa internet, pagbubuwis nito at iba pang reklamo ng mga consumer sa online.

Samantala, dismayado ang senador sa Bureau of Internal Revenue o BIR dahil hanggang ngayon ay hindi pa pwedeng magparegister sa sistemang online ang mga negosyong nasa online.

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