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TRAIN Law: Updating the Certificate of Registration

LIKE its fast-moving namesake, the effects of the TRAIN (Tax Reform for Acceleration and Inclusion) Law or Republic Act. No. 10963 continue to have impact on professionals and entrepreneurs.
The Bureau of Internal Revenue (BIR) has issued several regulations to implement the TRAIN Law, such as requiring certain compliance reports and submissions from taxpayers. These regulations have raised new concerns with taxpayers since non-compliance will have corresponding fines and administrative penalties.
Among the requirements of the BIR is for income payees to submit to their income payors a sworn declaration of their gross receipts/sales together with a copy of their Certificate of Registration (COR). Previously, sole proprietors, professionals or mixed-income earners whose gross receipts exceeded P1,919,500.00 were required to register as value added tax (VAT) covered persons. As such, the covered professionals and entrepreneurs must obtain a COR that reflects that they are VAT-registered taxpayers.
With the TRAIN Law, the ceiling for VAT registration has been increased to P3,000,000.00. Interestingly, this new threshold determines the difference between withholding tax rates of 5% and 10%.
Specifically, under Revenue Regulations (RR) No. 14-2018, if the gross income of the professional for the current year does not exceed P3 million, the withholding tax rate is 5%. If gross income is more than P3 million or the income payee is VAT-registered (regardless of amount), the withholding tax rate is 10%.
Moreover, except for VAT-registered taxpayers, the P3 million mark has also been identified as a point of reference for self-employed individuals or professionals availing of 8% tax in lieu of the graduated income tax rates under the TRAIN Law.
In particular, wholly self-employed individuals or professional practitioners whose gross sales and/or receipts do not exceed P3 million and/or are not VAT-registered taxpayers were given the option to avail of an 8% tax on their gross sales or gross receipts and other non-operating income in excess of P250,000 in lieu of the graduated income tax rates under the Tax Code.
As the P3 million threshold determines both the applicable withholding tax rate for individual professionals and the necessity of registration as VAT-registered taxpayer, the BIR has issued RR No. 11-2018, as amended. It provides that income payees have the responsibility to submit a Sworn Declaration of their gross receipts/sales together with a copy of the COR. The documents submitted will be used by income payors as the basis to determine the applicable withholding tax rate to individual payees in cases of payment of professional fees.
This requirement serves a practical purpose for the BIR as it abbreviates the process of determining the applicable tax rate. For example, a VAT-registered person will automatically be subjected to the 10% withholding tax rate.
Reference to Section 236 of the Tax Code reveals that the lawmakers have long considered the possibility that changes in taxpayers’ registered tax type and details may occur. In fact, under Section 236, taxpayers have the obligation to update their registration whenever applicable. The BIR, in Revenue Regulation (RR) No. 07-2012, or the Amended Consolidated Revenue Regulations on Primary Registration, Updates, and Cancellation, has also promulgated guidelines in the event of changes in the registered tax types and details of taxpayers. It provides that registered taxpayers are required to update their registration information with the Revenue District Office where they are registered whenever there is any change in tax type and details. Examples of updates include, but are not limited to, change of surname, change of address within same district office, or exemption status.
For this reason, taxpayers who opt to avail of the 8% income tax rate in lieu of the graduated income tax rates under the TRAIN Law must submit an updated COR considering that there is a change in their registered tax type.
However, under RR No. 8-2018, all existing VAT registered taxpayers, whose gross sales/receipts and other non-operating income in the preceding year did not exceed the VAT threshold of P3 million, have the option to update their registration to non-VAT. If qualified VAT registered taxpayers opt to update their registration to Non-VAT, it would be likely that they must also submit an updated COR to reflect the option that they made.
The obligation of updating one’s COR is not a new requirement considering that the previous Tax Code mandated the update if the status of a taxpayer changes. In fact, this requirement was also reiterated by the taxing authority in several issuances. We should all note that, in addition to bringing about tax reform for the country, the changes brought about by the TRAIN Law remind taxpayers to become more aware of their tax responsibilities at all times.
This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. The views and opinion expressed above are those of the author and do not necessarily represent the views of SGV & Co.
 
Rosalie T. Lapuz is a Director at SGV — Financial Services Tax.

Q2 Growth: Old or New Normal?

THE one bright spot for the Philippines in the second half of the 21st century is its growth. The average growth rate of GDP in the last six years was 6.5%, which exceeded the 4.8% average growth under the Arroyo administration and thus was considered the “new normal.” The Duterte administration aimed to maintain or even exceed the new normal. The first full year of the Duterte administration managed a 6.7% GDP growth which exceeded the 6.5% norm. TRAIN 1, a feat of sorts, was signed in January 2018. One could, with reason, entertain the thought that the Duterte watch is poised to set a “new” normal of perhaps close to 7%. But the 6% GDP growth in Q2 is a three-year low and has renewed the conversation of revert to the old. Not because the 6% growth is to be sneezed at but because by mid-2018 the rainclouds are starting to gather. Inflation in July is 5.7%, and the BSP has responded with increases in the interest rate. The GDP growth for S1 is now 6.3%, which means that the economy has to grow at 7.1% in S2 to equal last year’s 6.7% or grow at 6.7% in S2 to reach the new normal level of 6.5%. Either 6.7% or 7.1% in S2 is now a tall order, given the contractionary pressure from the interest rate rise, the disruptions and floods due to inclement weather, the possible adverse fallout from TRAIN 2 on DFIs and ENDO and the looming headwinds from the tariff wars. Firms may prefer to batten their hatches and wait for sunnier days.
The 6% GDP growth itself owes to the no-growth in the Agriculture output (0.02%) despite no marked weather problem in Q2; a rising trade deficit due to slowing down of exports (13%) and a rising imports (19.7%) also mattered; the latter no doubt related to BUILDx3. There is no observable blip in consumption spending in S1, which could have been expected from TRAIN 1 personal income tax cut. The salient consumption blip came rather in the last quarter of 2017 (6.2%) which anticipated the TRAIN 1 vehicular tax increase. We hope that this dip is a one-off.
But the aspect that is worrying in the Q2 growth is the performance of the drivers: Manufacturing grew at 5.6% while Services grew at 6.6%. In other words, Services was driving the GDP! By contrast, in Q1 2018, Manufacturing grew at 8% while Services grew at 7%; likewise, in the first full year of Duterte’s watch, Manufacturing grew at 8.8% and services grew at 6.8 %. Manufacturing was the driver of GDP during the last six years.
Why is the change in the driver of interest? Because Services, not Manufacturing, was always the driver of GDP in Philippine growth of the old normal going all the way back to Marcos. It was the unique achievement of the Aquino administration that Manufacturing drove GDP (see Figure 1) below. This is the signature of the new normal.
The deeper reason is that this signature of the new normal makes for inclusive growth. It is now a canon in the annals of low-income country development that when Manufacturing drives growth, growth tends to be inclusive; when Services drives growth, it tends to be non-inclusive (see, e.g., Daway, Ducanes, and Fabella, 20161)! The relationship between growth drivers and inclusion is illustrated by the experience of the Philippines, China and Vietnam. Figure 2 gives the average growth of Manufacturing and Services from 1990 to 2010 for these countries.
Note that both in China and Vietnam Manufacturing led Services in growth; the opposite held in the Philippines. Now, contrast the poverty reduction performance of the same countries in the same period (Figure 3). The poverty reduction performance of both China and Vietnam dwarfs that of the Philippines for the same period.
This is consonant with the regression result of above-cited (Daway, Ducanes and Fabella, 2016). When Manufacturing drives GDP growth, growth tends to be inclusive. Thus, it is prudent to beware of Services being the engine of growth in low income countries! That is what happened in Q2 2018. Old habits die hard.
If the Duterte administration’s announced intention to renew Manufacturing especially in the regions sees fulfillment, it would leave inclusion as its legacy. The dip in Manufacturing in Q2 is a reminder that growth in the new normal is still fragile and its roots shallow. There are storm clouds in the global horizon which are beyond our control. The trepidation triggers in our own backyard are, however, our own making: the rising murkiness in the investment climate due to the CHA-CHA, especially the version issued by the Consultative Committee, the added uncertainty from TRAIN 2 and the ill-wind from ENDO. Q2 growth may be the first blush of this trepidation; investors may be deciding to stay on the sidelines and wait for more clarity and clemency.
The stakes are high. If we lose the investment battle, we lose the war. n
1 “Quality of Growth and Poverty Incidence in Low Income Countries,” available at https://www.academia.edu/34094141/Quality_of_Growth_and_Poverty_Incidence_The_Role_of_Manufacturing
 
Raul V. Fabella is a retired professor of the UP School of Economics and a member of the National Academy of Science and Technology. He gets his dopamine fix from hitting tennis balls with wife Teena and bicycling.

Low-carbon path

A previous piece showed that our greenhouse gas reduction commitment to the Paris climate treaty meant a gradual 2.02% annual reduction in fossil-based electricity generation, for a total reduction of 23.3% by 2030 compared to 2017 levels. The annual reduction required by this low-carbon path is only half the 4% natural attrition rate of coal plants, if they are retired at the end of their 25-year useful life. This provides the country with some flexibility.
Our commitment gives the Duterte administration a fossil-based generation ceiling of around 64,280 GWh by 2022, which was our level of fossil-based generation in mid-2016. Thus, if the Duterte administration, by the end of its term, brings down our fossil-based generation to the same level as the level when it assumed office, we can meet our Paris commitment.
WHAT ABOUT OUR GROWING ELECTRICITY REQUIREMENTS?
We definitely do not want to sacrifice national development and our power needs for the sake of meeting our Paris commitment. So, the real question is: if we took the low-carbon path and reduced our fossil-based generation by 2% per year, can renewable energy (RE) and energy efficiency cover the balance?
This piece will show that as of 2017, enough RE projects have already been approved by the DoE to cover the balance, with a few years to spare.
Thus, with the right policies, we can meet our growing electricity requirements and our Paris commitment too.
Let us first determine what this balance is.
Using the DoE’s load factor method in the DoE’s Power Development Plan 2016-2040, we estimate the DoE generation target to be around 118,000 GWh by 2022 and 182,000 GWh by 2030. Since a low-carbon scenario limits the Duterte administration to at most 64,280 GWh (54%) of fossil-based generation by 2022, this means that the balance of 53,720 GWh (46%) must be covered by RE.

CAN THE DUTERTE ADMINISTRATION PRODUCE 53,720 GWH FROM RE BY 2022?
As of end-2017, some 1,075 private sector RE projects had been submitted to the DoE. Of these, 869 projects had been approved (Table 1), while 206 were still pending.
The approved projects totaled 23,760 MW, good for an annual generation of more than 58,000 GWh based on very conservative capacity factor assumptions (35% hydro, 35% OTEC, 63% geothermal, 23% wind, 14% solar, and 27% biomass). As long as all approved RE projects as of 2017 are implemented on time, we can generate more than enough electricity for our national development goals and exceed our Paris commitment at the same time, with several years to spare.
Including the 206 RE projects still awaiting approval raises the potential annual generation to 68,000 GWh, far exceeding our low-carbon target of 53,720 GWh RE by 2022. Remember that these are just RE projects approved as of 2017. The Duterte administration has four more years to exceed its low-carbon targets.
With a further 10% reduction in electricity demand through energy efficiency, subsequent administrations can go for even more ambitious carbon cuts or GDP growth rates in the future.
OTHER BENEFITS OF A LOW-CARBON PATH
This low-carbon path will also 1) help the Philippines access climate-related international grants and financing; 2) reduce local pollution; 3) pull down the price of electricity as solar, wind and battery prices decline steadily; 4) open the country’s industrialization program to sunrise industries offering green investments and green jobs; 5) democratize the electricity sector as more rooftops are solarized; 6) improve the resilience as well as efficiency of our energy infrastructure through distributed generation; and 7) reduce financial and project risk through expansion in smaller increments.
RE PROJECT DELAYS DUE TO ENERGY SPECULATION AND RED TAPE
Sadly, some RE developers have dilly-dallied in finishing their projects. They are apparently more interested in reselling their service contracts to latecomers.
Worse, some of these speculators are also building coal plants, whose outputs are contracted out to electric utilities through long-term power supply agreements. And these plants are completed with little delay, especially today, with DoE’s EO 30 fast-tracking “projects of national significance.” Thus, RE projects are locked out of potential markets, while we are locked in for the next decade or more to coal plants which cause global warming, local pollution, volatile prices and other problems.
To foil these energy speculators, the DoE must insist on iron-clad contracts, clear milestones, performance bonds, and hefty penalties for delays in RE projects.
The red-tape problem, a common complaint, can be solved: the DoE should do the pre-feasibility studies and project specifications, collect all the necessary signatures, and package the projects itself. It can then auction off the packaged projects to the most qualified bidders who bid to finish them on time at the lowest cost.
DISMAL RESULTS FROM THE RE ACT
The Renewable Energy Act of 2008 is ten years old this year. Its implementation has been dismal.
The feed-in-tariff (FIT) system for big players was hobbled from the beginning by an ill-conceived high-risk “race-to-finish” approach which required developers to finish their RE project first before they can learn if they qualify for FIT or not. FIT participants regularly complain of delayed payments.
The net metering provision for small players was recast by electric utilities into an unattractive net billing system and saddled with barriers like permitting requirements, impact studies and unnecessary charges.
Other provisions like the renewable portfolio standards, renewable energy certificates and green energy options have languished, unimplemented after ten years.
Pres. Duterte should step in to ensure that Filipinos are not denied the full benefits from renewable technologies that are increasingly enjoyed by people in countries with better pro-RE policies.
 
Roberto Verzola is a Senior Fellow of Action for Economic Reforms. The German foundation Friedrich Ebert Stiftung published in 2017 his book Crossing Over: The Energy Transition to Renewable Electricity (second edition, PDF is online). He is currently president of the non-profit Center for Renewable Energy and Sustainable Technology (CREST).

Celebrating 70 years of diplomatic ties between the Philippines and Argentina

By José Néstor Ureta
TODAY, we celebrate 70 years of diplomatic relations with the Philippines that have seen, particularly since the return of democracy in both our countries, a path of constant growth in the ties between our peoples.
Since Aug. 27, 1948, Argentina and the Philippines have held numerous agreements on cultural cooperation, sports, trade, investment, political consultations and cooperation between both diplomatic academies. Other agreements are also in advanced stages like educational cooperation, exchange in tax matters and agricultural cooperation.
The Philippines is a special friend in Southeast Asia. The affinity between our countries goes back to our common colonial history. Hispanic culture and the Catholic faith continue to act in the idiosyncrasy and values of our peoples, notwithstanding the geographic distance of a hemisphere separating us.
We consider culture and education to be vital tools to promote mutual knowledge and bilateral cooperation. This year, our Embassy in Manila develops an important cultural agenda with various activities in the areas of film, dance, literature, photography and music.
Argentina gives great importance to South-South Cooperation. In this respect, we celebrate the excellent relationship between both countries, which has materialized in different and successful technical cooperation projects in recent years in the agricultural, forestry and livestock sectors, through the Argentine Fund for South-South and Triangular Cooperation (FO.AR). We hope to expand this cooperation in such critical areas as child mortality, gender-related violence and natural disasters.
We celebrate the excellent cooperation in agricultural sector. We must continue to work closely and explore new fields, such as production of organic rice, milk, dairy products and ecological fishing.
Economic cooperation and commercial exchange, although important, have not yet reached their full potential. There is plenty of room to increase and diversify trade flows between both countries.
We give importance to the relationship between our respective Diplomatic Academies, materialized from the cooperation agreement between our “Instituto del Servicio Exterior de la Nación (ISEN)” (Argentine Foreign Service Institute) and the Philippine Foreign Service Institute (FSI), signed in 2011. We promote the reciprocal diffusion of academic articles under the current agreement and we consider, first and foremost, the exchange of young diplomats from both countries.
We also consider sports cooperation as a tool to promote greater knowledge among our peoples and increase exchanges of sports technicians, athletes and also promote a positive agenda that can encourage work opportunities related to sports, within the framework of the bilateral MOU signed on Sept. 14, 2012. The promotion of soccer for children in peripheral regions of Manila developed by the Argentine Embassy is an example of the value we give to foster understanding and the development of activities that bring us closer in this area.
Tourism is one of the most important areas to raise awareness among our cultures and increase personal contacts. Even when our destinations are unknown to the general public, among the ASEAN countries, the Philippines is the largest source of tourists in Argentina and the flow of Argentine tourists in the Philippines is increasing. We must continue our efforts to impart to each other the exceptional natural beauty, architectural and cultural properties of both countries.
We consider ASEAN a key region in the growth dynamics of Asia in recent decades. Through a diverse, fruitful and mature relationship maintained with its member countries, Argentina identified a wide margin to advance in the relationship with ASEAN, both in terms of international policy issues and in relation to the increase and diversification of our trade with the region. In this regard, Argentina is particularly grateful for the support of the Philippines for signing my country’s accession to the Treaty of Amity and Cooperation in Southeast Asia (TAC) in Singapore on Aug. 2, 2018.
At the same time, I would like to highlight the special importance that MERCOSUR gives to ASEAN. Both regional blocs have worked hard to intensify interregional dialogue through the exchange of information and points of view of their respective integration processes. We need to deepen common efforts to identify areas of common interest for our future dialogues.
Another framework that finds us united with the Philippines in our joint cooperation is FOCALAE (FEALAC). Argentina considers FOCALAE (FEALAC) as a forum of great relevance in its relationship with the Asia-Pacific, in particular to promote dialogue between two geographically distant regions and that present a great cultural diversity. We are strongly committed in continuing to cooperate at both the public and private levels in the different subjects dealt with by the various working groups, as well as in the identification of new projects of interest.
The Philippines is a nation that we feel very close to, with which we share a similar aspiration and determination to build a better and fairer future for our peoples, within a framework of peace, prosperity and international security.
Argentina is firmly on the path to strengthen bilateral ties, so I reaffirm our country’s commitment to intensify our best efforts so that this cooperation can be transformed into a deep partnership based on trust, solidarity and complementarity.
The conditions are given, we must take advantage of them for the benefit of our peoples.
 
José Néstor Ureta is Argentina’s ambassador to the Philippines.

What does ‘move on’ really mean?

SYNTAX and grammar insinuate that “move on” is a verb in the imperative mood (a command), which is why there is a frightening ocean of meaning that separates the speaker from the spoken-to, by the very utterance of this. “Move on” is best just a resolution to be whispered to oneself as one would acknowledge one’s own wrong choices or actions, and plan what to do next. But it is an arrogant breach of personal boundaries when someone else tells another to “Move on,” especially if that other has been the victim of that someone who has caused pain and loss. It is the brutal last kick in the dust. It reeks too much of the despotic commands of oppressive martial law.
And yet “the eldest daughter of the former Philippine dictator Ferdinand Marcos has advised Filipinos to ‘move on’ and forget about the past, drawing angry rebukes…in a country that suffered under two decades of her father’s brutal regime. The daughter, Imee Marcos, 62, and the rest of the Marcos family have been enjoying a revival of sorts under the presidency of President Rodrigo Duterte, a self-professed fan of Ferdinand Marcos and his strongman ways” (www.nytimes.com/2018/08/22).
“How can those who were unjustly detained, tortured and murdered move on when there is (no) remorse… any act of atonement…acceptance and recognition of wrongdoing on their part?” Sen. Francisco “Kiko” Pangilinan, the opposition Liberal Party president asked (www.philstar.com/headlines/2018/08/23). He said the issue was never just between the Marcos family and the family of the late senator Benigno “Ninoy” Aquino, Jr. but “between the Marcoses and the entire nation that suffered immensely from the abuses, the greed, and the oppressive and tyrannical rule of Marcos the dictator.” For many, the atrociousness of Imee Marcos’s “move on” was that it was imperially commanded of the Filipino people on the 35th anniversary of Ninoy’s assassination, which had triggered the 1986 EDSA People Power Revolution that ousted Ferdinand Marcos.
“The millennials have moved on and, I think, people at my age should move on as well,” the dictator’s daughter was quoted as saying (Ibid.). In mainstream and social media, the youth protested and censured Imee for speaking for them. They shouted that they are aware the two-decade rule of Marcos was marred by killings, human rights abuses, disappearances and media repression, which the Marcos family has not acknowledged. Amnesty International estimated that 70,000 people were imprisoned, 34,000 were tortured and 3,240 were killed during martial law” (Ibid.).
Millennials ranted that they still suffer the consequences of Marcos’s authoritarian rule, citing the $10- billion plunder, the $28.3-billion debt from the World Bank/IMF that funded his “Build, Build, Build” infrastructure projects and the economic deprivation in those years that stunted development vis-à-vis our Asian neighbors (Ibid.). No, not even the youth agree with President Duterte that “Marcos was the best president the Philippines ever had” (GMA News Online, Feb. 10, 2016).
Now this: barely two weeks ago, Duterte announced that he was tired, and ready to step down “if the likes of Senator Francis Escudero or former Senator Ferdinand ‘Bongbong’ Marcos, Jr. succeed him in office” (http://www.gmanetwork.com/2018/08/15). Marcos lost to now Vice-President Leni Robredo by 263,473 votes — still being protested by Bongbong.
And in scary déjà vu, it was virally reported that Duterte fell very sick after that declaration (a rumor started by Communist Party of the Philippines founder, exiled Jose Maria Sison), and the nation was in anxiety about the leadership of the country, like when the illness of Ferdinand Marcos was kept secret from all. The chimera of a tumultuous power grab should Duterte go, gripped the nation’s throat — and tightened with Imee Marcos’ ominous follow-through: “Move on!”
“Move on” in this political scenario would probably be best paraphrased as “You lost. Surrender!” It means “Forget your past hurts, you had no reason to be hurt; revise your thinking and accept that the dictatorship of Ferdinand Marcos was good for the country, and agree to let the country be again governed and run in the way of what Marcos called his ‘benevolent dictatorship.’” Revise history.
The once-high profile Presidential Commission on Good Government (PCGG) created by President Corazon Aquino to run after the Marcos wealth has lost steam through the years, starting with Gloria Macapagal Arroyo, who moved it from the direct supervision of the President to the Department of Justice. Early in his term, Duterte called the PCGG useless and said it must be abolished (ABS-CBN News, July 26, 2017). In December the House approved 162-10, HB 7376 to abolish the PCGG and the Office of the Government Corporate Counsel (OGCC) and transfer powers to the Office of the Solicitor-General [OSG] (Philstar, May 15, 2018). But at the Senate, the counterpart bill was not approved, citing that the PCGG was a performing agency and could still bring in collections from the Marcos wealth (Rappler, June 13, 2018). A majority of the senators wondered how Solicitor-General Jose Calida, a known Marcos loyalist and one of the top campaigners for Bongbong Marcos as vice-president in the 2016 elections, could objectively and fairly supervise the recovery of the Marcos wealth (www.philstar.com/2018/05/15).
Of the estimated $10 billion plundered by Marcos, about $3.6 billion (P170 billion @$1 = P47.58) had been recovered by the PCGG as of the 30th anniversary of the EDSA Revolution, before Duterte assumed office (Rappler, Feb. 25, 2016).
Is there some chance to recover the balance of $6.4 billion from the Marcoses? Of course, P340+ billion (@$1 = P53.48 Aug. 24) cannot ever come in an avalanche, but that amount is one-third of the staggering P1.19 trillion to finance the fiscal deficit in next year’s budget. National Treasurer Rosalia de Leon herself said this is the first time the government’s borrowings will exceed the trillion mark, with P297.2 billion ($5.504 billion) to be foreign borrowing (The Philippine Star, July 10, 2018). This, at a time when the peso is depreciating rapidly, inflation is rising, and GDP is falling below targets.
But more than for the plundered wealth — which must be returned — insult cannot be heaped upon injury by the blatant disregard of the Filipino’s dignity and self-respect from Imee Marcos’s imperious “Move on!”
No, we will not move on until the Marcos debts — moral and material — to the Filipino people are paid.
 
Amelia H. C. Ylagan is a Doctor of Business Administration from the University of the Philippines.
ahcylagan@yahoo.com

PHL battles South Korea today for semifinal berth

By Michael Angelo S. Murillo, Senior Reporter

THE PHILIPPINE MEN’S NATIONAL BASKETBALL TEAM will take on defending Asian Games champion South Korea today for a spot in the semifinals. — PSC MEDIA

THE PHILIPPINE Basketball Association-backed men’s national team seeing action at the 18th Asian Games in Indonesia seeks to book a place in the semifinals when it collides with defending champions South Korea today.
To take place at the Gelora Bung Karno Basketball Hall in Jakarta at 11 a.m. (Manila time), the Philippines shoots for a spot in the next round and put itself in a position to move a step closer to winning its first Asian Games title since 1962, or at least wind up on the podium once again after a 20-year absence.
Composed of the core of the Rain or Shine Elasto Painters and backstopped by players from the other PBA teams, the Philippines finished second in Group D of the preliminary phase with a 1-1 record.
It routed Kazakhstan, 96-59, in its tournament debut on Aug. 16 before dropping a close one to China, 82-80, on Aug. 21, to surrender the top spot to the latter heading into the quarterfinals.
Against China, the Philippines was in prime position to win the contest but just did not get the breaks in the end to complete the task.
Filipino-American National Basketball Association player Jordan Clarkson had a stellar debut for the national team, top-scoring with 28 points to go along with eight rebounds and four assists.
Christian Standhardinger finished with 18 points for the Philippines while Stanley Pringle had 14.
While they rued the missed opportunity to cut down powerhouse China in said game, Philippine team coach Yeng Guiao said the loss was nonetheless something to take positive cue from in their preparation for their upcoming game.
“While we lost to China, I don’t consider it as a loss. I consider it as a victory for the Filipino people,” said Mr. Guiao following their game against China.
“The players gave their all and came very close to beating undeniably one of the top teams, if not the top, in the Asian Games,” he added.
He went on to say that they are expecting nothing easy from South Korea today and that they really have to “prepare hard” if they are to go deeper in the tournament.
GROUP A TOP TEAM
In South Korea, the Philippines is going to face a team that breezed past the competition in Group A, winning by an average margin of 38 points per game.
It beat host Indonesia, 104-65, then Mongolia, 108-73, and Thailand, 117-77, in that order to sweep its group assignments.
Naturalized player and former PBA reinforcement Ricardo Ratliffe has been leading South Korea with an average of 23.3 points and 13 rebounds per game while Junbeom Jeon has been good for 16.3 points.
As a team, South Korea has been shooting north of 40% from beyond the arc so far in the tournament.
Other quarterfinal matches today are Iran vs. Japan, Chinese Taipei against Syria, and China versus Indonesia.
The Philippines-South Korea will be shown live over ESPN5.

Aces improve to 2-0 with rout of KaTropa

By Michael Angelo S. Murillo, Senior Reporter
THE Alaska Aces raced to a 2-0 record in the Philippine Basketball Association Governors’ Cup after routing the TNT KaTropa, 125-96, in Sunday action at the Smart Araneta Coliseum.
Got off to a fiery start to open the contest, the Aces proved too hard to break for the KaTropa as they chalked up the win for early leadership in the standings of the season-ending PBA tournament.
Guard Simon Enciso got the Alaska fireworks going, knocking four triples inside the first five minutes of the opening quarter to help his team to 14-3 advantage.
The rest of the Aces picked up from there, establishing a 22-point cushion, 35-13, by the end of the first quarter.
In the second quarter TNT came out more aggressive, angling to narrow their deficit.
The KaTropa got to within 13 points, 46-33, with 4:50 to go in the frame.
But the Aces was quick to stop the bleeding thereafter with Mr. Enciso, import Mike Harris and Chris Banchero leading the way.
The Aces outscored the KaTropa, 22-6, for the remainder of the quarter to extend their lead to 68-39 by the halftime break.
TNT tried to claw its way back to start the third canto but Alaska was not to allow the KaTropa to get their way.
The count stood at 88-57 with 4:40 to go with the Aces on top.
When the third-quarter smoke cleared, the lead ballooned to 35 points, 103-68.
In the fourth quarter Alaska chose to play its bench but it hardly slowed down the motor of the Aces.
Alaska was ahead, 113-80, with 6:57 left in the game and held steady to the win after.
Mr. Enciso led Alaska with 30 points, going nine-of-12 from beyond the arc.
Mr. Harris had 16 points and 24 rebounds while Mr. Banchero finished with 15 points and 14 assists.
Import Stacy Davis, meanwhile, led TNT (1-3) with 26 points, 12 rebounds and seven assists with Troy Rosario adding 16 points.
“We were on fire as typified by Simon Enciso. I loved the energy of the team,” said winning coach Alex Compton following the game.
“Hopefully we get to sustain this kind of character in our next games,” he added.

Asian Games medal streak continues for Caluag

BMX RIDER DANIEL CALUAG bagged a medal in the Asian Games for the second straight time. — ASIAN GAMES WEBSITE

FOR the second straight Asian Games, Filipino-American BMX rider Daniel Caluag gave the Philippines a medal.
Hacking out a bronze in the men’s racing competition on Saturday at the Jakarta International BMX track, Mr. Caluag, 31, assured himself of not going home empty-handed in the quadrennial Games, following up on his gold medal in the 2014 Asiad in Incheon, South Korea.
Mr. Caluag raced hard in his event but could not get the better of eventual gold medallist Yoshitako Nagasako of Japan and runner-up Gusti Bagus Saputra of Indonesia.
The Philippine bet clocked in at 35.842 seconds, behind Messrs. Nagasako and Saputra’s time of 33.699 and 34.314 seconds, respectively.
Admitted to really wanted to win the gold medal, Mr. Caluag said he was still proud of his performance and happy to have been able to throw his share in the medal haul of the Philippines in the ongoing 18th Asian Games in Indonesia.
“I didn’t get the result I aimed for but I am happy to contribute a medal for the Philippines,” said Mr. Caluag.
Mr. Caluag’s medal-winning performance was lauded by the Integrated Cycling Federation of the Philippines (PhilCycling), underscoring that despite the limited competition the Filipino rider had in the lead-up to the Games he still was able to deliver a medal.
“Danny didn’t race in any UCI (Union Cycliste Internationale) event ahead of the Asian Games but still he managed to deliver. He has beaten the Japanese gold medallist before but in this race, Danny gave him a scare — to think that the Japanese is UCI-ranked while Danny isn’t,” PhilCycling President Abraham Tolentino said.
“Not bad after four years. When it comes to BMX, the Philippines is still the team to beat,” he added.
Mr. Caluag’s bronze was part of the nine bronze medals of the Philippines had as of Sunday noon.
Also adding bronze medals were Meggie Ochoa in jiu-jitsu on Friday and Jeffrey Rhey Loon and Dines Dumaan in pencak silat on Sunday.
Early bronze winners for the Philippines were the taekwondo poomsae men’s and women’s teams, taekwondo jin Pauline Lopez and wushu’s Agatha Wong and Divine Wally.
Weightlifter Hidilyn Diaz was still the lone gold medallist for the Philippines.
As of this writing, the Philippines was at 24th place in the medal standings which China, Japan, and South Korea continue to dominate.
FILIPINO ATHLETES HOME-BOUND
Meanwhile, 54 of the 272 athletes of Team Philippine flew back home on Saturday after completing their events at the Asian Games.
Home-bound on Philippine Airlines flight were those from fencing, gymnastics, softball, swimming and wushu.
Of the four sports, only wushu contributed to the Philippines’ medal haul with two bronzes—Misses Wong (women’s taijiquan and Taijijian all-around) and Wally (-52 kgs of women’s sanda).
Gold medalist Diaz is set to go home on Tuesday. — Michael Angelo S. Murillo

Point guard Tim Hardaway still dishing out assists long after hoops retirement

RETIRED from the National Basketball Association for more than a decade now, legendary guard Tim Hardaway continues to give out an assist, sharing his knowledge honed by being a multiple All-Star player and one of the exciting and innovative point guards in league history.
Part of the conduct of this year’s edition of NBA 3X Philippines, which was held at the weekend, Mr. Hardaway said teaching the game of basketball, particularly from a point guard perspective, is something he is very active at doing since retiring.
And it is not only to his son, Tim Jr. who now plays for the New York Knicks, that he shares what he knows but also to others who are willing to learn and improve their craft.
“As you all I know I have a son, Tim Jr., who now plays for the New York Knicks and I can understand the young basketball players today and I kinda understand their mentality and what they are trying to work on,” said Mr. Hardaway at the media meet and greet session for him hosted by AXA Philippines and the NBA last week as part of NBA 3X Philippines 2018.
“I’m not too tall and I can relate to point guards and I just try to teach them how to run a team, how to get everybody involved. I try to install in them that they are the quarterback of the team and you have to run a team like it’s your team. You are a coach out there. You have to give confidence to them, to go out there against anybody, make plays on both ends and that’s what point guards should do,” added Mr. Hardaway, who had stops with Golden State, Miami, Dallas, Denver, and Indiana in 15 illustrious years in the NBA.
But the “T” in the fabled “Run TMC” in Golden State in the early 1990s, along with Mitch Richmond and Chris Mullin, as well as a key cog in the tough Miami teams later in the decade, said there are many challenges in coaching players today but something he is not deterred by, seeing how the sport can change one’s life for the good the way it did for him.
“The players don’t have the mentality that we had when we were growing up. You have social media now and they get to stay in the house. We never stayed in the house. We were always outside doing something — riding a bike, walking somewhere, playing basketball, baseball, football or something. We were outside doing something. These days they are in social media than playing basketball and you have to find ways to keep them interested and focused on improving their game,” he said.
“Coaching these guys are tough and difficult , so you have to know how to push the right buttons and when to back off too,” added Mr. Hardaway, who also lauded the conduct of the NBA 3X Philippines as another platform to develop the skills of players.
The NBA 3X Philippines, the league’s premier 3-on-3 tournament, at the weekend was the eight straight that it has been staged in the country.
Presented by AXA Philippines, apart from Mr. Hardaway the event was also graced by NBA champion Brian Scalabrine. — Michael Angelo S. Murillo

Rejuvenated Djokovic eyes US Open as ‘Big Four’ reunited

NEW YORK — From the pits of despair in Paris, record-setting Novak Djokovic now eyes a third US Open title in New York where for the first time since Wimbledon last year, the sport’s ‘Big Four’ will be reunited.
Djokovic became the first man to win all nine Masters titles with victory over Roger Federer at Cincinnati on Sunday.
Having captured, against all the odds, a fourth Wimbledon in July, the 31-year-old Serb suddenly finds himself as joint-favorite with world number one Rafael Nadal to triumph at Flushing Meadows.
Champion in 2011 and 2015, and a five-time runner-up, Djokovic sat out the 2017 US Open to nurse an elbow injury.
His physical limitations were still evident when he slumped away from Roland Garros in June after a shock quarter-final loss to journeyman Marco Cecchinato, threatening to skip Wimbledon to mend his shattered self-confidence.
Fast forward three months and Djokovic is once again the man to beat.
“It’s a wonderful feeling. It’s been a couple of tough months for me with an injury but then winning Wimbledon and Cincinnati,” said Djokovic who opens his US Open campaign against Hungary’s Marton Fucsovics.
Djokovic’s Wimbledon triumph took his Grand Slam title collection to 13, just one behind Pete Sampras.
He also has 31 Masters, two back from Nadal but four more than Federer.
He will head for New York buoyed by his dominance over his three major rivals as well — he leads Nadal 27-25, Federer 24-22 and Andy Murray 25-11.
“He’s a great champion,” said Federer in praise of Djokovic in Cincinnati.
World number one Nadal, who won the US Open last year to add to his 2010 and 2013 victories, skipped Cincinnati after triumphing in Toronto the week before.
The Spaniard clinched an 11th French Open in June to take his majors tally to 17 before falling to Djokovic in a five-set, 5-hour 15-minute semi-final loss at Wimbledon.
“Tennis is a high-demanding sport in terms of physical effort,” said 32-year-old Nadal who faces an emotional first round against compatriot David Ferrer who will be playing his last Slam before retirement.
“I cannot forget that I am older every year.”
Federer also knows that the clock is ticking. The 20-time Grand Slam winner won the last of his five US Opens in 2008.
Now 37, Federer would become the oldest New York champion in the Open era should he lift the trophy again on September 9 and second oldest of all time.
FEDERER TO END 10-YEAR WAIT?
But he was knocked out by 2009 champion Juan Martin del Potro in the quarter-finals last year having had to negotiate two five-setters in the opening rounds.
Despite defending his Australian Open title in January, Federer’s hopes of a ninth Wimbledon were blown apart in a five-set loss to Kevin Anderson in the quarter-finals.
It was his earliest exit at the All England Club in five years.
Murray, the 2012 champion, is set to play his first Slam since a hip injury suffered at Wimbledon last year.
His comeback has been far from smooth after spending almost a year on the sidelines and has played only seven matches since his return.
The former world number one has even seen his ranking nosedive to 378 in the world — making him Britain’s eighth-best player!
Outside of the ‘Big Four’, Del Potro, at a career-high three in the world, remains a dangerman.
Amongst the widely-hyped ‘Next Gen’, world number four Alexander Zverev is still a work in progress.
The German’s run to the last-eight at the French Open this year remains his best performance at the majors while his last two visits to New York ended in a pair of second-round losses.
He has hired Ivan Lendl — who took Murray to the 2012 title — as his new coach.
Greek 20-year-old Stefanos Tsitsipas, at 15 in the world from 161 this time last year, is the in-form youngster.
He was runner-up to Nadal in Toronto, beating four top-10 players on the way including Djokovic and Zverev.
But a loss in his opener in Cincinnati proved a sobering reminder that most probably it will be either Nadal, Djokovic or Federer who will be a New York champion again this year. — AFP

Bahrain’s Chelimo grabs marathon gold

JAKARTA — World champion Rose Chelimo made light of brutal conditions on Sunday to scoop Asian Games gold for Bahrain with a runaway win in the women’s marathon.
The Kenyan-born athlete produced a devastating break from the leading pack after the 25-kilometer mark in Jakarta and ploughed a lonely furrow as she crossed the line to win in a modest time of two hours, 34.51 seconds.
Chelimo’s gold continued Bahrain’s recent Asian Games success in the marathon after Eunice Kirwa and Hasan Mahboob — both also born in Kenya — won the women’s and men’s titles in 2014.
Despite smashing her rivals in a slow race to take gold, Chelimo admitted that Jakarta’s heat and poor air quality had caused her problems.
“It was bad, it was too hot,” the 29-year-old told AFP. “I felt something in my throat too. The air here, you feel like it’s hard to breathe.
“I felt like I wasn’t going to finish but I found some morale and hope to keep going. Thank God I finished with no harm.”
Chelimo had already crossed the finish line when Japan’s Keiko Nogami entered the stadium to claim silver over a minute and a half behind. North Korea’s Kim Hye Song took bronze.
“But I’m very proud to be the Asian champion,” said Chelimo, one of 10 siblings who captured the world title in London last year.
“I just spoke to my family on the phone and they were all praying for me,” added the gold medallist, who grew weary of the snail’s pace the leaders were running at to break away after 25km.
“I planned to break away around 35km but I saw my chance and decided to go for it,” said Chelimo.
“Nobody followed me so I continued to push the pace and then I was on my own.”
Nogami bit her tongue when asked if she had any sore feelings about being beaten by a runner born in Kenya.
“Maybe, but she came first regardless of her nationality,” said the Japanese runner.
Nogami, whose countryman Hiroto Inoue won the men’s marathon a day earlier, also complained about the heat despite the early morning start.
“When I threw my sunglasses away late in the race my eyes were really stinging,” she said.
“I felt then it was because of the air pollution but to be honest the heat was worse.”
Kirwa followed her Asian Games gold medal with a silver at the Rio Olympics two years ago and Chelimo signalled her intent to race at the 2020 Tokyo Games — mindful that severe heat could be a factor. — AFP

When boredom strikes

SIXTEEN years since the first time he represented the Philippine men’s basketball team in the Asian Games, Asi Taulava has not changed when it comes to the schedule of competitions in the quadrennial meet’s cage event.
“It’s still the same. It’s like you’re coming in first and coming out last,” Taulava told BusinessWorld. “I’m prepared for it so boredom won’t hit me.”
Now the oldest player at 45, Taulava will be appearing in his third Asian Games and it’s not surprising he’s coming in prepared to get over homesickness.
“I just kept myself occupied. I watched the videos, joining in the scouting, reading scouting reports, doing workout. I just have to find things to do,” added Taulava.
Paul Lee, the starting off-guard of the squad, doesn’t see it much of a problem.
“Back home, my usual routine has always been practice and home or game and home. I’m the type of guy who’s more of a homebody,” added Lee. “So after practice, I just stay in the room and take a rest if we don’t have anything to do.”
James Yap, who had a return trip to the national squad nine years since he last played for the Philippine squad also coached by Yeng Guiao, would use his phone most of the time to offset boredom.
“I would open Facetime to give time to the fans. I would do a video call to talk to my baby,” added Yap.
Apart from facing China, Korea, Iran and other powerhouse teams in the region, dealing with homesickness is just one of the challenges the Rain or Shine-Pilipinas squad has to deal with.
Guiao is no exception to that. He, too, experienced homesickness which is why he asked his family to fly in to Jakarta and have them checked in at a separate hotel.
“I’m experiencing that as well. Our stay here has been long. It’s different from competing in FIBA Asia or Jones Cup where games are played everyday,” added Guiao. “But on the other hand, it’s like a challenge for all of us, a challenge for our mental toughness.”
Today the Philippine squad will be facing South Korea in a must-win situation in the quarterfinal round. A win against their long time nemesis will put the Filipinos in the medal round against Iran.
But while most of the members are missing their families, no one wants to go home yet this early. They want to finish the tournament with a medal wrapped around their neck.
Whether it’s gold, silver or bronze, this so-called “token team” doesn’t want to return home empty handed.
They’re pouring everything they got nearing the home stretch in the tournament.
From scratch, this squad has earned admiration of Filipinos back home and hopefully, a heroes welcome will be given to them soon.
 
Rey Joble has been covering the PBA games for more than a decade. He is a member of the PBA Press Corps and Philippine Sportswriters Association.
reyjoble09@gmail.com

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