December 16, 2010

BIR Modifies Requirements in the Submission of Financial Statements

Quezon City, 16 December 2010 The BIR issued Revenue Regulations (RR) No. 15-2010
last December 13, 2010 prescribing additional requirements in the submission of Financial
Statements by individual and corporate taxpayers, thereby amending Section 2 of RR No.
21-2002.
The regulations now requires taxpayers to include information on taxes, duties and license
fees paid or accrued during the taxable year in addition to the disclosures mandated under
the Philippine Financial Reporting Standards.
Taxpayers must now disclose information on the amount of VAT output tax declared during
the year and the account title and amount upon which the same was based.
Information on the amount of VAT input taxes claimed beginning of the year as well the
current years domestic purchases and payments for goods for resale/manufacture or
further processing, goods other than for resale or manufacture, capital goods subject or not
subject to amortization and services lodged under cost of goods sold and other accounts
must also be indicated. It must also include claims for tax credit/refund and other
adjustments and balance at the end of the year.
For businesses involving importation of goods, information on the landed cost of imports
and the amount of customs duties and tariff fees paid or accrued thereon must be reported.
Also the amount of excise tax classified per major product category, i.e., tobacco and
alcohol products, automobiles, minerals, oil and petroleum paid on locally produced and
imported excisable items must be incorporated in the report.
Information on documentary stamp tax (DST) on loan instruments, shares of stock and
other transactions subject thereto as well as all other taxes, local and national, including
real estate taxes, license and permit fees lodged under the taxes and Licenses account both
under the cost of sales and operating expense accounts must be declared for One-TimeTransactions.
For withholding taxes, information must include tax on compensation and benefits,
creditable withholding taxes and final withholding taxes.
In cases where there is deficiency tax assessment whether protested or not, the periods
covered and amount involved must be disclosed. Also tax cases under preliminary

investigation, litigation and prosecution in courts or bodies outside the bureau, including
amounts involved must be part of the information disclosed.
Implementation of these regulations takes effect immediately fifteen (15) days upon
publication.
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Please refer to

(Original Signed)
: REYMARIE T. DE LA CRUZ, CHIEF, TIED

(Original Signed)
Approved for Release: AIDA S. SIMBORIO, OIC-ACIR, TAS