Business as Usual at SEC: Easy Steps in Submitting 2020 AFS/ GIS
AFS and GIS Submission, Corporations should neither be seen as someplace where the money is generated at an incredibly rapid pace nor should it be an instrument promoting vested interests. The concept of a corporation should be anchored on being an essential component of growth, business opportunity, and employment generation, information of which should be found in the submitted annual audited financial statements (AFS) and general information sheet (GIS).
Relatedly, it should set a standard of quality, which explains the logic behind ISO certificates for health services, education, and public infrastructure, among other corporate-related concerns.
As such, it is a must that corporations adapt to the fast-paced business environment if only to ensure sustainable business growth amid a not-so-good climate dating back in the early months of 2020.
While the enactment of Republic Act 11232, otherwise referred to as the Revised Corporations Code of the Philippines, eases the burden of doing corporate business, the Securities and Exchange Commission (SEC) makes sure corporations are legitimate businesses and not a legal front of dubious con games by compelling an annual submission of 2020 AFS and GIS to SEC.
SEC likewise embarks on sustaining a conducive business climate with a fair playing ground among competitors, hence, the need for the submission of 2020 AFS and GIS to SEC.
SEC in 2020
The continued onslaught of the highly-infectious coronavirus disease 2019, aptly referred to by the World Health Organization as COVID-19 for brevity, has prevented SEC – and other government agencies as well, from operating under normal circumstances.
Amid pandemic scare, SEC was compelled to scale down on its operation by keeping a lean team as a skeleton workforce for the months that the country is under various community quarantine protocols. Aside from being run by a skeletal workforce, its operation was limited by a significant magnitude, at least until after the national health emergency is over.
As such, SEC issued Notice 03, series of August 2020 advising the business sector to transact business online.
Relatedly, SEC on August 11, 2020, also issued a notice further extending the deadlines for submission of Annual Financial Statements (AFS) and General Information Sheets (GIS) in hard copy and came out with an interim filing procedure, to wit:
Adjusted deadlines for Corporations:
Deadlines for filing hard copies of the AFS, as extended:
|Fiscal Years||Deadline for Hard Copies|
|Ended 30 November 2019 or 31 December 2019 regardless of SEC registration or license numbers||30 September 2020|
|31 January 2020||28 August 2020|
|29 February 2020||28 September 2020|
|31 March 2020||27 October 2020|
|30 April 2020||11 November 2020|
|31 May 2020||28 October 2020|
|30 June 2020||27 November 2020|
For Corporations that already had their annual stockholders’ meetings prior to the government-imposed lockdown in the National Capital Region, they have until September 30, 2020 to submit their GIS.
Modes of AFS/GIS Filing
July 12 and 14 SEC Notices allows corporations to submit AFS and GIS through:
1. Registered mail or courier services using the SENS facility
The Corporations may also request:
- Return copies by including in their submissions prepaid return envelopes with stamps.
- Plain or authenticated copies of their AFS, GIS, and other documents through the SEC Express System 60 days after receipt.
Corporations are mandated to submit three (4) copies of each report (4th copy as return copy).
SEC likewise issued an advisory requiring the submission of reports through courier or registered mail only, unless the government eases of lifts travel restrictions.
2. Submissions via email [optional]of advance scanned copies [PDF Format] of duly signed, and if applicable, notarized copies through:
|AFS for filing at the Main Officefirstname.lastname@example.org|
|GIS for filing at the Main Officeemail@example.com|
|AFS and GIS for filing at the Baguio Extension Officefirstname.lastname@example.org|
|AFS and GIS for filing at the Tarlac Extension Officeemail@example.com|
|AFS and GIS for filing at the Legazpi Extension Office||reports@firstname.lastname@example.org|
|AFS and GIS for filing at the Cebu Extension Officeemail@example.com|
|AFS and GIS for filing at the Bacolod Extension Officefirstname.lastname@example.org|
|AFS and GIS for filing at the Iloilo Extension Officeemail@example.com|
|AFS and GIS for filing at the Cagayan de Oro Extension Officefirstname.lastname@example.org|
|AFS and GIS for filing at the Davao Extension Officeemail@example.com|
|AFS and GIS for filing at the Zamboanga Extension Officefirstname.lastname@example.org|
The receiving date is reflected in the Acknowledgment Receipt that the SEC, through an automated response prompt, also via email.
Hard copies along with the Acknowledgment Receipt shall be submitted via SENS Filing (through courier or registered mail) to the SEC Main Office in Mandaluyong City or to the SEC Extension Office in Pasay City in person or through courier or mail on or before the adjusted deadlines provided herein. Failure to comply [submission of the hard copies of the reports before the deadlines notwithstanding submission via email] shall be subject to penalties.
Corporations are still advised to follow previously issued guidelines posted on the SEC official website.
Note: These guidelines do not apply to:
- Publicly-Listed Companies
- Issuers of registered securities under the supervision of the Market and Securities Regulation Department
- Investment Companies, Issuers of Proprietary and Non-proprietary Shares/ Timeshares, and Public Companies.
Important Pointers for AFS/GIS submitted via email
- Documents should be in PDF format
- Documents should have an electronic signature of the authorized person of the designated representative
- Accomplished [duly signed] GIS printed forms may also be scanned in the event one does not have the technical knowledge required in accomplishing web-based forms requiring an electronic signature.
- The documents may be submitted un-notarized.
- The email should contain:
- Declaration of Authenticity of the submitted documents
- Commitment Letter indicative of submitting physical versions of the exact same submitted documents to the SEC, the moment situation gets to normalize and restrictions lifted.
- Pertinent details of the person or authorized representative making the submission. Details include name, corporate address and mobile number.
- Request Letter for a Return Receipt and a Delivery Status Notification for record purposes.
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