Special InTAX: April 2020 Issue 1 | Volume 8

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

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BUREAU OF INTERNAL REVENUE

 

The Bureau of Internal Revenue (BIR) issued the following:

Revenue Memorandum Circular (RMC) No. 42-2020, 06 April 2020, provides guidelines in the filing and payment of Income Tax Returns for Taxable Year 2019, as follows: 

TAXPAYER/FILER

BIR FORM NO.

FILING INSTRUCTION

PAYMENT INSTRUCTION

Individuals earning purely compensation whose income tax has been correctly withheld (tax due equals tax withheld)

1700 January 2018 (ENCS)

If the employee availed of the substituted filing, there is no need to file a return.

Manual and eBIRForms Filers

A.   Manual Payment

 

º  Any AAB; or

º  In places where there are no AABs, the tax due shall be paid with the concerned RCO under the RDO.

 

B.   Online Payment **

º  Thru Mobile Payment (GCash/PayMaya); or

º  Landbank of the Philippines (LBP) Link.BizPortal, for taxpayers who have ATM account with LBP and/or holders of Bancnet ATM/Debit Card or for taxpayers utilizing PesoNet (depositors of Rizal Commercial Banking Corporation (RCBC) and Robinsons Bank); or

º  Development Bank of the Philippines (DBP) Tax Online, for taxpayers-holders of VISA/Master Credit Card and/or Bancnet ATM/Debit Card; or

º  Union Bank Online Web and Mobile Payment Facility, for taxpayers who have account with Union Bank.

 

** Taxpayers who shall pay their tax due online are required to file the corresponding Annual Income Tax Return (AITR) online thru the Offline eBIRForms Package v7.6

 

For eFPS Filers

 

ePay through the eFPS Facility.

 

Individuals earning purely compensation with two or more employers

1700 January 2018 (ENCS)

MANUAL FILERS

A.    With tax due/payment

Use the pre-printed return available in the Revenue District Office (RDO) or the downloadable return found in the BIR website or the return in the Offline eBIRForms Package v7.6.

 

¤ Pre-printed Return available in the RDO

  1. Fill-out all applicable fields.
  2. File the return with any Authorized Agent Bank (AAB) or to the Revenue Collection Officer (RCO) under the RDO.

¤ Return downloaded from the BIR website

  1. Print the return.
  2. Fill-out all the applicable fields.
  3. File the return with any AAB or to the RCO under the RDO.

¤ Return in the Offline eBIRForms Package v7.6

1.     Fill-out the return.

2.     After successful validation, print the return.

3.     File with any AAB or to the RCO under the RDO

B.  Without tax due/payment – Manual filing is not allowed.

The “no payment” return shall be filed thru the Offline eBIRForms Package v7.6 by submitting the return online

eBIRForms Filers/Users

Use the Offline eBIRForms Package v7.6 in filling-out the return.

¤  With tax due/payment.

1.     Fill-out the return.

2.     Submit the return online.

3.     Print the return and the Tax Return Receipt Confirmation from the eBIRForms System.

4.     File the return, together with the Tax Return Receipt Confirmation, with any AAB or to the RCO under the RDO

If availing of online payment, AITR shall be submitted online.

¤  Without tax due/payment

File the “no payment” return thru the Offline eBIRForms Package v7.6 by submitting the return online

Electronic Filing and Payment System (eFPS) Filers/Users of the following (With or without tax due/payments):

  • BIR Form Nos. 1700, 1701 and 1701A

File through the Offline eBIRForms Package v7.6 by following the procedure stated in the eBIRForms Filers/Users

  • BIR Form Nos. 1702-EX, 1702-MX, and 1702-RT

File thru the eFPS Facility by using the old version of the returns (June 2013 version) in the eFPS.

Non-Resident Alien not engaged in trade or business in the Philippines receiving income from sources within the Philippines

1700 January 2018 (ENCS)

Individuals with business/practice of profession income only and the method of deduction used is itemized deduction

1701 January 2018 (ENCS)

Individuals with business/practice of profession income and at the same time with compensation (mixed income earner)

1701 January 2018 (ENCS)

Estates engaged in trade or business

1701 January 2018 (ENCS)

Trusts engaged in trade or business

1701 January 2018 (ENCS)

Individuals with business/practice of profession income only and the method of deduction used is optional standard deduction

1701A January 2018 (NEW)

Individuals with business/practice of profession income only and opted to avail of 8% flat income tax rate

1701A January 2018 (NEW)

Corporation, Partnership and other Non-Individual who are subject only to regular income tax rate of 30%

1702-RT January 2018 (ENCS)

 

 

1702-RT June 2013 (old version)

Corporation, Partnership and other Non-individual who are exempt from income tax or subject to 0% (e.g. PEZA registered business with ITH, BOI, registered business with ITH, GPP, cooperatives, etc)

1702-EX January 2018 (ENCS) v.2

 

 

 

1702-EX June 2013 (old version)

Corporation, Partnership and other Non-individual who are subject to: Special Rate of 5% or 2%, etc.(with or without Regular IT Rate of 30% and/or Exempt or 0%)

1702-MX January 2018 (ENCS)

 

 

 

 

1702-MX June 2013 (old version)

 

RMC No. 43-2020, dated 15 April 2020, allows taxpayers to:

  1. Pay internal revenue taxes at the nearest AABs, notwithstanding RDO jurisdiction;
  2. File and pay the corresponding tax due thereon to the concerned RCO of the nearest RDO, even in areas where there are AABs.

This is provided that the payment of internal revenue taxes in cash do not exceed P20,000.00.

Check payments will have no limitation if the same is made with the RCO in the district office during the Enhanced Community Quarantine (ECQ) period. All checks shall be made payable to the BIR and the name of the receiving AAB branch may no longer be indicated in the check for tax payment.


The Circular is being issued to provide ease to taxpayers in filing the returns and payment of taxes during the extension of the ECQ. Revenue officials and employees are enjoined to observe the protocol issued by the Inter Agency Task Force on social distancing and give this Circular as much publicity as possible.

RMC No. 44-2020, 17 April 2020, allows the temporarily issuance of electronic copies of VAT Certificates (VCs) and VAT Identification Cards (VlCs) during the ECQ in order to provide temporary relief to:

  1. Newly-accredited Resident Foreign Missions (RFM) personnel who are qualified for the grant of point-of-sale VAT exemption, as indorsed by the Office of Protocol of the Department of Foreign Affairs; and
  2. RFMs, RFM personnel and their dependents who will apply for the renewal of their expired VCs and VlCs during the effectivity of the ECQ.

The issued electronic copies of VCs and VICs shall remain valid only until 30 August 2020 and renewed within 30 calendar days from the lifting of the ECQ, following the same requirements and procedures set forth under Revenue Memorandum Order No. 10-2019.

All business establishments shall grant a point-of-sale VAT exemption upon presentation by the concerned RFM personnel and their dependents of the electronic copies of VCs and VICs and his/her DFA-issued electronic copy of Certification of Accreditation or a valid DFA Protocol ID. In addition to the VC, the duly authorized representative of the RFM shall present his/her Identification Card and Special Power of Attorney or authorization letter upon each purchase.

Non-compliant business establishments shall be subject to appropriate investigation and imposition of sanctions which may be warranted under the National Internal Revenue Code of 1997, as amended, other applicable laws, rules and regulations.

This Circular shall take effect immediately.

BIR Bank Bulletin No. 04-2020, 15 April 2020, provides that all AABs are advised to accept over-the-counter filing and payment of returns by EFPS filers, with or without the printed copy of the pop-up message screenshot as proof of unsuccessful eFiling during the ECQ period.  AABs are also advised to accept check payments from taxpayer even without the name of the receiving AAB branch indicated in the check during the ECQ period provided that the check payment is made payable to the BIR.


Attached are the full texts of the issuances.

RMC No. 43-2020

RMC No. 44-2020

RMC_2020-42_GuidelinesforFiling2019AITRs

BankBulletin_2020-04_AcceptanceofTaxPayments

 

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