HSBC Vs CIR
HSBC Vs CIR
HSBC Vs CIR
166018, June 04, 2014 However, the CA reversed decisions of the CTA and
ruled that the electronic messages of HSBC’s investor-
Facts: HSBC performs custodial services on behalf of its clients are subject to DST.
investor-clients with respect to their passive investments
in the Philippines, particularly investments in shares of a. DST is levied on the exercise by persons of certain
stocks in domestic corporations. As a custodian bank, privileges conferred by law for the creation, revision, or
HSBC serves as the collection/payment agent. termination of specific legal relationships through the
execution of specific instruments, independently of the
HSBC’s investor-clients maintain Philippine peso and/or legal status of the transactions giving rise thereto.
foreign currency accounts, which are managed by HSBC
through instructions given through electronic messages.
The said instructions are standard forms known in the ISSUE: Whether or not the electronic messages are
banking industry as SWIFT, or “Society for Worldwide considered transactions pertaining to negotiable
Interbank Financial Telecommunication.” instruments that warrant the payment of DST.