You may opt to enter the restructuring program that our Collections team offers.
The maximum allowable term for restructuring is limited to 18 months. However, in exceptional cases, a restructuring period of up to 24 months may be granted, provided that the following pre-availment requirements are met, depending on the reason for restructuring. The following reasons may be accepted:
- Calamities or Disasters: Natural disasters (like earthquakes, floods, or hurricanes) or widespread health crises (like a pandemic) can drastically affect the ability of individuals or businesses to generate income and maintain financial stability.
- Requirement/s: No specific documents are required. Analysts will evaluate the authenticity of the calamity declaration.
- Bankruptcy or Business Closure: This occurs when filing for bankruptcy or deciding to close a business due to unmanageable debt levels.
- Requirement/s: Submission of relevant documents filed with the Bureau of Internal Revenue (BIR) that substantiate the reason for restructuring.
- Death of the PTP: This applies in cases where a primary owner or key business partner passes away.
- Requirement/s: A death certificate must be provided.
- National or Governmental Announcements: Policies, new laws, or government actions that impact an industry or the economy at large (such as tax increases and trade restrictions).
- Requirement/s: Proof of transactions impacted by the subject of the national or governmental announcement.
- Changes in Economic or Market Conditions: Economic downturns, changes in market demand, or regulatory changes.
- Requirement/s: Proof of transactions affected by the market involved.
For more information on this, you may contact the Collections analyst assigned to your account.