Who Needs to Submit GIS to the SEC?
As a corporation in the Philippines, it is crucial to understand and comply with the regulatory requirements of the Securities and Exchange Commission (SEC).
One of the basic obligations of a corporation is the filing of a General Information Sheet (GIS) as set forth in Section 177 of Republic Act No. 11232, otherwise known as the Revised Corporation Law of the Philippines.
Failure to submit a GIS on time can result in penalties, so it is imperative for corporations to understand the nuances of this requirement.
What is a General Information Sheet (GIS)?
A GIS is a legal document that must be filed with the Securities and Exchange Commission (SEC). It displays basic company details, including date of incorporation, business nature and shareholder information.
In addition, it contains dates of annual meetings, principal address, and auditor details. This comprehensive profile ensures compliance and transparency for your company.
Significance of Filing GIS
The Securities and Exchange Commission (SEC) mandates the submission of the General Information Sheet (GIS) for regulatory purposes, in accordance with their statutory functions.
The goal of this requirement is to ensure full and timely disclosure of material information about companies, protect investors’ interests, and minimize or eliminate fraudulent or manipulative practices that may distort the free market.
Who are Required to File GIS
Under Section 177 of the Revised Corporation Code of the Philippines, every company, whether local or foreign, doing business in the Philippines must submit and file a GIS.
1. Domestic Stock Corporations
All stock corporations must submit a GIS to the SEC within 30 calendar days from the date of the annual shareholders’ meeting. Failure to comply with this requirement may result in penalties and potential implications.
2. Non-Stock Corporations
A non-stock corporation, under Section 86 of the RCCP, is one where no part of its income is distributable as dividends to its members, trustees, or officers, is also required to file its GIS 30 calendar days from the date of the annual members’ meeting.
3. Foreign Corporations (Branch Office, Representative Office, Regional Headquarters (RHQ) and Regional Operating Headquarters (ROHQ)
Foreign corporations licensed to do business in the Philippines are also subject to the GIS submission requirement. They must file a GIS within 30 days from the anniversary date of issuance of their SEC license.
Penalties for Non-Compliance
Failure to file or submit a GIS on time may result in penalties. The SEC can also impose fines or even revoke a company’s certificate of registration in cases of serious non-compliance.
Need Assistance in the Preparation of your GIS?
Understanding the specific criteria for GIS submission is crucial for companies operating in the Philippines.
If you need assistance in preparing your GIS and other SEC compliances, our team at DJKA Business Service would be happy to help. With our corporate compliance expertise, we ensure your GIS is accurate, timely, and seamless.
Let us take the burden off your shoulders so you can focus on growing your business. Email us at info@djkaaccounting.com to request a quote.
