Description
,NGAs,
Withholding Tax on Compensation is the tax withheld from income
payments to individuals arising from an employer-employee relationship.
Expanded Withholding Tax is a kind of withholding tax which is
prescribed on certain income payments and is creditable against the
income tax due of the payee for the taxable quarter/year in which the
particular income was earned.
Final Withholding Tax is a kind of withholding tax which is prescribed
on certain income payments and is not creditable against the income tax
due of the payee on other income subject to regular rates of tax for the
taxable year. Income Tax withheld constitutes the full and final payment
of the Income Tax due from the payee on the particular income subjected
to final withholding tax.
Withholding Tax on Government Money Payments (GMP) -
Percentage Taxes - is the tax withheld by National Government
Agencies (NGAs) and instrumentalities, including government-owned
and controlled corporations (GOCCs) and local government units
(LGUs), before making any payments to non-VAT registered
taxpayers/suppliers/payees
Withholding Tax on GMP - Value Added Taxes (GVAT) - is the tax
withheld by National Government Agencies (NGAs) and
instrumentalities, including government-owned and controlled
corporations (GOCCs) and local government units (LGUs), before
making any payments to VAT registered taxpayers/suppliers/payees on
account of their purchases of goods and services.
Codal Reference
Republic Act Nos. 8424, 9337, 9442, 9504
Sections 57 to 58 and 78 to 83 of the National Internal Revenue Code
(NIRC)
Monthly Remittance of Taxes Withheld on Compensation
Tax Form
BIR Form 1601-C : Monthly Remittance Return of Income Taxes
Withheld on Compensation
Who Are Required To File
Every registered withholding agent on compensation, which includes, but
not limited to the following:
1) Individuals engaged in business or practice of profession with
employees subject to income tax
2) All Juridical persons (e.g., Corporations, general partnerships,
associations, etc.) whether or not engaged in business.
3) Government Agencies and Instrumentalities (e.g.
GOCCs, etc.), including local government units (LGUs)
Documentary Requirements/Attachments to the tax return:
1) For amended return, proof of remittance and the return previously
filed.
2) For those with advance payments, BIR Form No. 0605
3) For Private Sector, copy of the list of MWEs who received hazard pay
submitted to the DOLE Regional/Provincial Offices-Operations
Division/Unit, for the return period March, June, September and
December, if applicable.
4) For Public Sector, copy of Department of Budget and Management
(DBM) circular/s or equivalent on MWEs allowed to receive hazard pay,
for the return period March, June, September and December, if
applicable.
5) Electronic Tax Remittance Advice (eTRA) previously Tax Remittance
Advice (TRA) for National Government Agencies (NGAs) as required
under DOF-DBM Joint Circular No. 1-2000A and RR 1-2013.
Procedures for Filing and Payment
1. Read instructions indicated in the tax return.
2. Accomplish correctly BIR Form No. 1601-C in triplicate copies.
3. If there is tax required to be remitted:
- Proceed to the nearest Authorized Agent Bank (AAB) of the
Revenue District Office (RDO) where you are registered or
withholding agent is registered and present the duly accomplished
BIR Form No. 1601-C, together with the required attachments (if
applicable) and your payment.
- In places where there are no AABs, proceed to the Revenue
Collection Officer or duly Authorized City or Municipal Treasurer
located within the Revenue District Office where you are
registered or withholding agent is registered and present the duly
accomplished BIR Form No. 1601- C, together with the required
attachments (if applicable) and your payment.
- Receive your copy of the duly stamped and validated form from
the teller of the AAB's/Revenue Collection Officer/duly
Authorized City or Municipal Treasurer.
4. If there is no tax required to be remitted:
- Proceed to the Revenue District Office where you are registered or
where the withholding agent is registered and present the duly
accomplished BIR Form No. 1601-C, together with the required
attachments.
- Receive your copy of the duly stamped and validated BIR Form
from the RDO.
Deadline B. Table for single/married employee with qualified dependent child(ren)
Filing Via EFPS 1. ME1 /
Group A - Fifteen (15) days following end of the month 75.0 1 248 281 347 479 710 1,073 1,898
S1
Group B - Fourteen (14) days following end of the month 2. ME2 /
Group C - Thirteen (13) days following end of the month 100.0 1 330 363 429 561 792 1,155 1,980
S2
Group D - Twelve (12) days following end of the month 3. ME3 /
Group E - Eleven (11) days following end of the month 125.0 1 413 446 512 644 875 1,238 2,063
S3
Note: The staggered manner of filing is only allowed to taxpayers using
4. ME4 /
the Electronic Filing and Payment System (EFPS) based on the industry 150.0 1 495 528 594 726 957 1,320 2,145
S4
classification groupings per RR No. 26-2002.
However, the staggered filing of returns allowed for withholding
agents/taxpayers enrolled in the EFPS facility of the Bureau shall not WEEKLY 1 2 3 4 5 6 7 8
apply in the case of the NGAs per RR 1-2013. 163.4
Exemption 0.00 0.00 9.62 48.08 432.69 961.54 2,403.85
Payment Via EFPS 6
On or before the fifteenth (15th) day of the month following the month +0
withholding was made, except for taxes withheld for the month of % +5% +10% +15% +20% +25% +30% +32%
Status
December which shall be paid on or before January 20 of the succeeding ove over over over over over over over
year. r
Provided however that, in the case of NGAs, all returns must be A. Table for employees without qualified dependent
electronically filed (e-filed) and payment of the tax due must also be made 1. Z 0.0 1 0 192 577 1,346 2,692 4,808 9,615
on the same day the return is e-filed which shall be on or before the 10th 2. S/ME 50.0 1 962 1,154 1,538 2,308 3,654 5,769 10,577
day following the month in which withholding was made, except for taxes
B. Table for single/married employee with qualified dependent child(ren)
withheld for the month of December of each year, which shall be filed on
or before January 15 of the succeeding year. 1. ME1 /
75.0 1 1,442 1,635 2,019 2,788 4,135 6,250 11,058
Manual Filing and Payment S1
On or before the tenth (10th) day of the month following the month the 2. ME2 /
100.0 1 1,923 2,115 2,500 3,269 4,615 6,731 11,538
withholding was made, except for taxes withheld for the month of S2
December which shall be filed and paid on or before January 15 of the 3. ME3 /
125.0 1 2,404 2,596 2,981 3,750 5,096 7,212 12,019
succeeding year S3
Tax Rates 4. ME4 /
150.0 1 2,885 3,077 3,462 4,231 5,577 7,692 12,500
REVISED WITHHOLDING TAX TABLES S4
Effective January 1, 2009
DAILY 1 2 3 4 5 6 7 8 SEMI-
Exemption 0.00 0.00 1.65 8.25 28.05 74.26 165.02 412.54 MONTHL 1 2 3 4 5 6 7 8
+0 Y
(‘000P % +5% +10% +15% +20% +25% +30% +32% 104.1 354.1 2,083.3
Status Exemption 0.00 0.00 20.83 937.50 5,208.33
) ove over over over over over over over 7 7 3
r +0
A. Table for employees without qualified dependent % +5% +10% +15% +20% +25% +30% +32%
Status
1. Z 0.0 1 0 33 99 231 462 825 1,650 ove over over over over over over over
2. S/ME 50.0 1 165 198 264 396 627 990 1,815 r
A. Table for employees without qualified dependent
1. Z 0.0 1 0 417 1,250 2,917 5,833 10,417 20,833 1. Married Employee (Husband or Wife) whose spouse is unemployed.
2. S/ME 50.0 1 2,083 2,500 3,333 5,000 7,917 12,500 22,917 2. Married Employee (Husband or Wife) whose spouse is a non-resident
B. Table for single/married employee with qualified dependent child(ren) citizen receiving income from foreign sources
1. ME1 / 3. Married Employee (Husband or Wife) whose spouse is engaged in
75.0 1 3,125 3,542 4,375 6,042 8,958 13,542 23,958 business
S1
4. Single
2. ME2 /
100.0 1 4,167 4,583 5,417 7,083 10,000 14,583 25,000 6. Zero Exemption for employees with multiple employers for their 2nd,
S2
3rd…..employers (main employer claims personal & additional
3. ME3 / exemption
125.0 1 5,208 5,625 6,458 8,125 11,042 15,625 26,042
S3 7. Zero Exemption for those who failed to file Application for
4. ME4 / Registration
150.0 1 6,250 6,667 7,500 9,167 12,083 16,667 27,083
S4 USE TABLE B FOR THE FOLLOWING SINGLE/MARRIED
EMPLOYEES WITH QUALIFIED DEPENDENT
MONTHL 1. Employed husband and husband claims exemptions of children
1 2 3 4 5 6 7 8
Y 2. Employed wife whose husband is also employed or engaged in
208.3 708.3 1,875.0 4,166.6 10,416.6 business; husband waived claim for dependent children in favor of the
Exemption 0.00 0.00 41.67 employed wife
3 3 0 7 7
+0 3. Single with qualified dependent children
% +5% +10% +15% +20% +25% +30% +32%
Status Monthly Remittance Of Income Taxes Withheld (Expanded) [Except for
ove over over over over over over over
r Transactions Involving Onerous Transfer of Real Property Classified as
A. Table for employees without qualified dependent Ordinary Asset]
Tax Form
1. Z 0.0 1 0 833 2,500 5,833 11,667 20,833 41,667
BIR Form No. 1601-E : Monthly Remittance Return of Income Taxes
10,00 Withheld (Expanded) [Except for Transactions Involving Onerous
2. S/ME 50.0 1 4,167 5,000 6,667 15,833 25,000 45,833
0 Transfer of Real Property Classified as Ordinary Asset]
B. Table for single/married employee with qualified dependent child(ren) Who Are Required To File
1. ME1 / 12,08 Every registered withholding agent on Expanded Withholding Tax,
75.0 1 6,250 7,083 8,750 17,917 27,083 47,917
S1 3 which may include, but not limited to the following:
2. ME2 / 10,83 14,16 1) In general, any juridical person, whether or not engaged in trade
100.0 1 8,333 9,167 20,000 29,167 50,000
S2 3 7 or business
3. ME3 / 10,41 11,25 12,91 16,25 2) An individual, with respect to payments made in connection with
125.0 1 22,083 31,250 52,083 his trade or business. However, insofar as taxable sale, exchange or
S3 7 0 7 0
4. ME4 / 12,50 13,33 15,00 18,33 transfer of real property is concerned, individual buyers who are not
150.0 1 24,167 33,333 54,167 engaged in trade or business are also constituted as withholding
S4 0 3 0 3
Legend: Z-Zero exemption S-Single ME-Married Employee 1;2;3;4-Number agents.
of qualified dependent children 3) Government agencies and instrumentalities (e.g., National
S/ME = P50,000 EACH WORKING EMPLOYEE Qualified Dependent Child Government Agencies, Government-Owned or Controlled
= P25,000 each but not exceeding four (4) children Corporations, Local Government Units, etc.)
USE TABLE A FOR SINGLE/MARRIED EMPLOYEES WITH NO 4) All individuals, juridical persons and political parties, with
QUALIFIED DEPENDENT respect to their income payments made as campaign expenditures
 and/or purchase of goods and services intended as campaign Group D - Twelve (12) days following end of the month
contributions. Group E - Eleven (11) days following end of the month
Documentary Requirements Note: The staggered manner of filing is only allowed to taxpayers using
1. Return previously filed and proof of remittance, if amended return the Electronic Filing and Payment System (EFPS) based on the industry
2. Monthly Alphalist of Payees (MAP), except income payments made classification groupings per RR No. 26-2002.
by political parties, candidates and income payments made by individual However, the staggered filing of returns allowed for withholding
or juridical person on the purchase of goods and services as campaign agents/taxpayers enrolled in the EFPS facility of the Bureau shall not
contributions to political parties and candidates apply in the case of the NGAs per RR 1-2013.
3. For advance payment, BIR Form No. 0605 Payment Via EFPS
4. Electronic Tax Remittance Advice (eTRA) previously Tax Remittance On or before the fifteenth (15th) day of the month following the month
Advice (TRA) for National Government Agencies (NGAs) as required withholding was made, except for taxes withheld for the month of
under DOF- DBM Joint Circular No. 1-2000A and RR 1-2013 December which shall be paid on or before January 20th of the
Procedures for Filing and Payment succeeding year.
1. Read instructions indicated in the tax return. Provided however that, in the case of NGAs, all returns must be
2. Accomplish BIR Form No. 1601-E in triplicate copies. electronically filed (e-filed) and payment of the tax due must also be made
3. If there is tax required to be remitted: on the same day the return is e-filed which shall be on or before the 10th
- Proceed to the nearest Authorized Agent Bank (AAB) of the day following the month in which withholding was made, except for taxes
Revenue District Office where you are registered or taxpayer withheld for the month of December of each year, which shall be filed on
concerned is registered and present the duly accomplished BIR or before January 15 of the succeeding year.
Form No. 1601- E, together with the required attachments and your Manual Filing and Payment
payment. On or before the tenth (10th) day of the month following the month the
- In places where there are no AABs, proceed to the Revenue withholding was made, except for taxes withheld for the month of
Collection Officer or duly Authorized City or Municipal Treasurer December which shall be filed and paid on or before January 15 of the
located within the Revenue District Office where you are registered succeeding year
or taxpayer concerned is registered and present the duly Tax Rates
accomplished BIR Form 1601-E, together with the required TAX
TAX
attachments and your payment BIR FORM DESCRIPTION ATC RATE
- Receive your copy of the duly stamped and validated form from TYPE
S
the teller of the AABs/Revenue Collection Officer/duly Authorized MONTHLY
City or Municipal Treasurer. REMITTANCE
4. If there is no tax required to be remitted: RETURN OF
- Proceed to the Revenue District Office where you are registered BIR FORM NO.
CREDITABLE
and present the duly accomplished BIR Form 1601-E, together with 1601-E
INCOME TAXES
the required attachments. WITHHELD
- Receive your copy of the duly stamped and validated form from (EXPANDED)
the RDO representative. Professionals (lawyers,
Deadline CPAs, engineers, etc.),
Filing Via EFPS talent fees paid to
Group A - Fifteen (15) days following end of the month 1601-E/2307 WE individuals - If the WI010 10%
Group B - Fourteen (14) days following end of the month current year’s gross
Group C - Thirteen (13) days following end of the month income is P720,000 and
below
 Professionals (lawyers, players, pelotaris and
CPAs, engineers, etc.), jockeys - If the current
talent fees paid to year’s gross income
1601-E/2307 WE individuals - If the WI011 15% exceeds P720,000
current year’s gross Movie, stage, radio,
income exceeds P television and musical
720,000 directors and producers
1601-E/2307 WE WI040 10%
Professionals/ talent - If the current year’s
fees paid to juridical gross income is
1601-E/2307 WE persons - If the current WC010 10% P720,000 and below
year’s gross income is Movie, stage, radio,
P720,000 and below television and musical
Professionals/ talent directors and producers
1601-E/2307 WE WI041 15%
fees paid to juridical - If the current year’s
1601-E/2307 WE persons - If the current WC011 15% gross income exceeds P
year’s gross income 720,000
exceeds P 720,000 Management and
Professional technical consultants
entertainers, such as, paid to individuals. If
1601-E/2307 WE WI050 10%
but not limited to, actors the current year’s gross
and actresses, singers, income is P 720,000
1601-E/2307 WE WI020 10%
lyricist, composers, and below
emcees - If the current Management and
year’s gross income is P technical consultants
720,000 and below paid to individuals - If
1601-E/2307 WE WI051 15%
Professional the current year’s gross
entertainers, such as, income exceeds P
but not limited to, actors 720,000
and actresses, singers, Management and
1601-E/2307 WE WI021 15%
lyricist, composers, technical consultants
emcees - If the current paid to juridical person -
year’s gross income 1601-E/2307 WE WC050 10%
If the current year’s
exceeds P 720,000 gross income is P
Professional athletes, 720,000 and below
including basketball Management and
players, pelotaris and technical consultants
1601-E/2307 WE WI030 10%
jockeys - If the current paid to juridical person -
year’s gross income is P 1601-E/2307 WE WC051 15%
If the currents year’s
720,000 and below gross income exceeds
Professional athletes P720,000
1601-E/2307 WE WI031 15%
including basketball
 Business and Rentals- real/personal
bookkeeping agents and properties, poles,
1601-E/2307 WE agencies - If the current WI060 10% 1601-E/2307 WE satellites & transmission WI100 5%
year’s gross income is P facilities, billboards -
720,000 and below Individual
Business and Rentals- real/personal
bookkeeping agents and properties, poles,
1601-E/2307 WE agencies - If the current WI061 15% 1601-E/2307 WE satellites & transmission WC100 5%
year’s gross income facilities, billboards -
exceeds P 720,000 Corporate
Insurance agents and Cinematographic film
1601-E/2307 WE WI110 5%
insurance adjusters - If rentals - Individual
1601-E/2307 WE the current year’s gross WI070 10% Cinematographic film
income is P 720,000 1601-E/2307 WE WC110 5%
rentals - Corporate
and below Income payments to
Insurance agents and 1601-E/2307 WE prime contractors/sub- WI120 2%
insurance adjusters - If contractors - Individual
1601-E/2307 WE the current year’s gross WI071 15% Income payments to
income exceeds P 1601-E/2307 WE prime contractors/sub- WC120 2%
720,000 contractors - Corporate
Other recipients of Income distribution to
talent fees - If the 1601-E/2307 WE beneficiaries of estates WI130 15%
1601-E/2307 WE current year’s gross WI080 10% and trusts
income is P 720,000 Gross commission or
and below service fees of custom,
Other recipients of insurance, stock, real
talent fees - If the estate, immigration and
1601-E/2307 WE current year’s gross WI081 15% 1601-E/2307 WE WI140 10%
commercial brokers &
income exceeds P fees of agents of
720,000 professional entertainers
Fees of directors who - Individual
are not employees of the Gross commission or
1601-E/2307 WE company - If the current WI090 10% service fees of custom,
year’s gross income is P insurance, stock, real
720,000 and below estate, immigration and
Fees of directors who 1601-E/2307 WE WC140 10%
commercial brokers &
are not employees of the fees of agents of
1601-E/2307 WE company - If the current WI091 15% professional entertainers
year’s gross income - Corporate
exceeds P 720,000 Payments to medical
1601-E/2307 WE WI141 10%
practitioners by a duly
 registered professional providers - If the current
partnership for the year's income payments
practice of the medical for the
profession - If the medical/dental/veterinar
currents year's income y services is P 720,000
payments to the medical and below
practitioner is P720,000 Payment by the general
and below professional
Payments to medical partnerships GPP) to its
practitioners by a duly 1601-E/2307 WE partners - If the current WI152 10%
registered professional year's income payments
partnership for the to the partners is P
practice of the medical 720,000 and below
1601-E/2307 WE WI142 15%
profession - If the Payment by the general
currents year's income professional
payments to the medical partnerships GPP) to its
practitioner exceeds 1601-E/2307 WE partners - If the current WI153 15%
P720,000 year's income payments
Payments for to the partners exceeds
medical/dental/veterinar P 720,000
y services thru Payments made by
Hospitals/ 1% of
1601-E/2307 WE credit card companies - WI156
Clinics/Health 1/2
Individual
Maintenance Payments made by
Organizations, 1% of
1601-E/2307 WE credit card companies - WC156
1601-E/2307 WE including direct WI150 15% 1/2
Corporate
payments to service Income payments made
providers - If the current by the government to its
year's income payments 1601-E/2307 WE WI640 1%
local/resident suppliers
for the of goods - Individual
medical/dental/veterinar
Income payments made
y services exceeds P
by the government to its
720,000 1601-E/2307 WE WC640 1%
local/resident suppliers
Payments for of goods - Corporate
medical/dental/veterinar
Income payments made
y services thru
by the government to its
Hospitals/ 1601-E/2307 WE WI157 2%
local/resident suppliers
1601-E/2307 WE Clinics/Health WI151 10%
of service - Individual
Maintenance
Organizations, Income payments made
1601-E/2307 WE WC157 2%
including direct by the government to its
payments to service
 local/resident suppliers Commission, rebates,
of services - Corporate discounts and other
Income payments made similar considerations
by top 20,000 private paid/granted to
1601-E/2307 WE corporations to their WI158 1% independent &
local/resident suppliers exclusive distributors,
1601-E/2307 WE WC515 10%
of goods - Individual medical/technical &
Income payments made sales representatives &
by top 20,000 private marketing agents and
1601-E/2307 WE corporations to their WC158 1% sub-agents of multi-
local/resident suppliers level marketing
of goods - Corporate companies - Corporate
Income payments made Gross payments to
by top 20,000 private 1601-E/2307 WE embalmers by funeral WI530 1%
1601-E/2307 WE corporations to their WI160 2% parlors
local/resident suppliers Payments made by pre-
of services - Individual need companies to
1601-E/2307 WE WI535 1%
Income payments made funeral parlors -
by top 20,000 private Individual
1601-E/2307 WE corporations to their WC160 2% Payments made by pre-
local/resident suppliers need companies to
1601-E/2307 WE WC535 1%
of services - Corporate funeral parlors -
Additional payments to Corporate
government personnel Tolling fee paid to
1601-E/2307 WE WI540 5%
from importers, refineries - Individual
1601-E/2307 WE shipping and airline WI159 15% Tolling fee paid to
1601-E/2307 WE WC540 5%
companies or their refineries - Corporate
agents for overtime Income payments made
services to suppliers of
1601-E/2307 WE WI610 1%
Commission, rebates, Agricultural products -
discounts and other Individual
similar considerations Income payments made
paid/granted to to suppliers of
independent & 1601-E/2307 WE WC610 1%
Agricultural products -
exclusive distributors, Corporate
1601-E/2307 WE WI515 10%
medical/technical & Income payments on
sales representatives & purchases of minerals,
marketing agents & 1601-E/2307 WE mineral products & WI630 5%
sub-agents of multi- quarry resources -
level marketing Individual
companies - Individual
 Income payments on Meralco to customers
purchases of minerals, with terminated
1601-E/2307 WE mineral products & WC630 5% contracts as classified
quarry resources - by Meralco - Corporate
Corporate Withholding on gross
Income payments on amount of interest on
purchases of gold by the refund of meter
Bangko Sentral ng deposit whether paid
Pilipinas (BSP) from directly to the
1601-E/2307 WE WI632 5%
gold miners/suppliers customers or applied
under PD 1899, as against customer's
1601-E/2307 WE WI660 10%
amended by RA No. billing - Residential and
7076- Individual General Service
Income payments on customers whose
purchases of gold by monthly electricity
Bangko Sentral ng consumption exceeds
Pilipinas (BSP) from 200 kwh as classified by
1601-E/2307 WE WC632 5% MERALCO - Individual
gold miners/suppliers
under PD 1899, as Withholding on gross
amended by RA No. amount of interest on
7076 - Corporate the refund of meter
On gross amount of deposit whether paid
refund given by directly to the
Meralco to customers customers or applied
1601-E/2307 WE WI650 25% against customer's
with active contracts as 1601-E/2307 WE WC660 10%
classified by Meralco - billing - Residential and
Individual General Service
On gross amount of customers whose
refund given by monthly electricity
Meralco to customers consumption exceeds
1601-E/2307 WE WC650 25% 200 kwh as classified by
with active contracts as
classified by Meralco - MERALCO - Corporate
Corporate Withholding on gross
On gross amount of amount of interest on
refund given by the refund of meter
Meralco to customers deposit whether paid
1601-E/2307 WE WI651 32% directly to the
with terminated 1601-E/2307 WE WI661 10%
contracts as classified customers or applied
by Meralco - Individual against customer's
On gross amount of billing - Non-
1601-E/2307 WE WC651 32% Residential customers
refund given by
whose monthly
 electricity consumption General Service
exceeds 200 kwh as customers whose
classified by monthly electricity
MERALCO - Individual consumption exceeds
Withholding on gross 200 kwh as classified by
amount of interest on other electric
the refund of meter Distribution Utilities
deposit whether paid (DU) - Corporate
directly to the Withholding on gross
customers or applied amount of interest on
against customer's the refund of meter
1601-E/2307 WE WC661 10%
billing - Non- deposit whether paid
Residential customers directly to the
whose monthly customers or applied
electricity consumption against customer's
exceeds 200 kwh as billing - Non-
1601-E/2307 WE WI663 20%
classified by Residential customers
MERALCO - Corporate whose monthly
Withholding on gross electricity consumption
amount of interest on exceeds 200 kwh as
the refund of meter classified by other
deposit whether paid electric Distribution
directly to the Utilities (DU) -
customers or applied Individual
against customer's Withholding on gross
billing - Residential and amount of interest on
1601-E/2307 WE WI662 10%
General Service the refund of meter
customers whose deposit whether paid
monthly electricity directly to the
consumption exceeds customers or applied
200 kwh as classified by against customer's
other electric billing - Non-
1601-E/2307 WE WC663 20%
Distribution Utilities Residential customers
(DU) - Individual whose monthly
Withholding on gross electricity consumption
amount of interest on exceeds 200 kwh as
the refund of meter classified by other
deposit whether paid electric Distribution
1601-E/2307 WE WC662 10% Utilities (DU) -
directly to the
customers or applied Corporate
against customer's Income payments made
1601-E/2307 WE WI670 1%
billing - Residential and by the top five thousand
 (5,000) individual
taxpayers to their
local/resident suppliers
of goods other than
those covered by other
rates of withholding tax
- Individual
Income payments made
by the top five thousand
(5,000) individual
taxpayers to their
1601-E/2307 WE local/resident suppliers WC670
of goods other than
those covered by other
rates of withholding tax
- Corporation
Income payments made
by the top five thousand
(5,000) individual
taxpayers to their
1601-E/2307 WE local/resident suppliers WI672
of services other than
those covered by other
rates of withholding tax
- i) Individual
Income payments made
by the top five thousand
(5,000) individual
taxpayers to their
1601-E/2307 WE local/resident suppliers WC672
of services other than
those covered by other
rates of withholding tax
- ii) Corporation
Income payments made
by political parties and
candidates of local and
national elections of all
1601-E/2307 WE WI680
their purchase of goods
and services as
campaign expenditures,
and income payments
made by individuals or
juridical persons for
their purchases of goods
and services intended to
be given as campaign
contribution to political
parties and candidates -
Individual
Income payments made
by political parties and
candidates of local and
1% national elections of all
their purchase of goods
and services as
campaign expenditures,
and income payments
1601-E/2307 WE WC680 5%
made by individuals or
juridical persons for
their purchases of goods
and services intended to
2% be given as campaign
contribution to political
parties and candidates -
Corporation
Income payments
received by Real Estate
1601-E/2307 WE WC690 1%
Investment Trust
(REIT)
Interest income derived
2% from any other debt
instruments not within
the coverage of deposit
substitutes and Revenue
1601-E/2307 WE WI710 20%
Regulations No. 14-
2012 subject to
Creditable/ Expanded
Withholding Tax -
Individual
5%
Interest income derived
from any other debt
1601-E/2307 WE WC710 20%
instruments not within
the coverage of deposit
 substitutes and Revenue 5. Electronic Tax Remittance Advice (eTRA) previously Tax Remittance
Regulations No. 14- Advice (TRA) for National Government Agencies (NGAs) as required
2012 subject to under DOF- DBM Joint Circular No. 1-2000A and RR 1-2013
Creditable/ Expanded 6. BIR Form 0605, for advance payment.
Withholding Tax - Procedures for Filing and Payment
Corporate 1. Read instructions indicated at the back of the tax return.
2. Accomplish BIR No. Form 1600 in triplicate copies.
Monthly Remittance Of Value-Added Taxes And Other Percentage Taxes 3. If there is tax required to be remitted:
Withheld - Proceed to the nearest Authorized Agents Banks (AABs) of the
Tax Form Revenue District Office where you are registered or taxpayer
BIR Form No. 1600 - Monthly Remittance Return of Value-Added Taxes concerned is registered and present the duly accomplished BIR
and Other Percentage Taxes Withheld Form No.1600, together with the required attachments and your
Who Are Required To File payment.
1. All government offices, bureaus, agencies or instrumentalities, local - In places where there are no AABs, proceed to the Revenue
government units, government owned and controlled corporation on Collection Officer or duly Authorized City or Municipal Treasurer
money payments made to private individuals, corporations, partnerships, located within the Revenue District Office where you are registered
associations and other judicial/artificial entities as required under RA or taxpayer concerned is registered and present the duly
Nos. 1051, 7649, 8241, 8424 and 9337. accomplished BIR Form No. 1600, together with the required
2. Payors of income subject to Value-Added Tax to Non-residents. attachments and your payment.
3. Payors of income to persons, natural or juridical, who opted to remit - Receive your copy of the duly stamped and validated form from
his/its VAT or percentage tax through the withholding and remittance of the teller of the AABs /Revenue Collection Officer/duly authorized
the same by the withholding agent/payor which option is manifested by City or Municipal Treasurer.
filing the “Notice of Availment of the option to Pay the Tax through the 4. If there is no tax required to be remitted:
Withholding Process”, copy furnished the withholding agent-payor and - Proceed to the Revenue District Office where you are registered
the revenue district offices of both the payor and payee. and present the duly accomplished BIR Form No. 1600, together
Documentary Requirements with the required attachments.
1. Alphabetical list of payees (MAP) indicating the following: - Receive your copy of the duly stamped and validated form from
- Month and Year the RDO representative.
- TIN of withholding agent Deadline
- Name of Withholding Agent On or before the tenth (10th) day of the month following the month the
- TIN of Payee withholding was made, whether EFPS or manual filing and payment.
- ATC Tax Rates
- Nature of Payment TAX TAX
BIR FORM DESCRIPTION ATC
- Name of Payee TYPE RATES
- Amount of Payment MONTHLY
- Tax Rate REMITTANCE
- Tax Required to be Withheld RETURN OF
BIR FORM NO.
2. Return previously filed and proof of tax payments, if amended return VALUE-ADDED
3. Certificate of Tax Treaty Relief, if applicable 1600
TAX AND OTHER
4. Authorization Letter, if the return is filed by the authorized PERCENTAGE
representative TAXES WITHHELD
 FWVAT on payments Persons exempt from
1600/2306 WG for purchases of WV010 5% VAT under Sec.
Goods 1600/2307 WG 109(v) (creditable)- WB080 3%
FWVAT on payments Government
1600/2306 WG for purchases of WV020 5% Withholding Agent
Services Tax on overseas
Lease or use of dispatch, message or
properties or property 1600/2307 WG conversation WB090 10%
1600/2306 WG rights owned by non- WV040 12% originating from the
residents (Government Philippines
Withholding Agent) Tax on Banks and
Lease or use of Non-Bank Financial
properties or property Intermediaries
1600/2306 WG rights owned by non- WV050 12% Performing Quasi-
residents (Private Banking Functions.
Withholding Agent) On interest,
Other services commissions and
rendered in the discounts from
1600/2306 WG Philippines by non- WV060 12% lending activities as
1600/2307 WG WB301 5%
residents (Government well as income from
Withholding Agent) financial leasing, on
Other services the basis of remaining
rendered in the maturities of
1600/2306 WG Philippines by non- WV070 12% instruments from
residents (Private which such receipts
Withholding Agent) are derived:
- Maturity period is
Tax on carriers and
1600/2307 WG WB030 3% five years or less
keepers of garages
Tax on Banks and
Franchise Tax on Gas
1600/2307 WG WB040 2% Non-Bank Financial
and Water Utilities
Intermediaries
Franchise Tax on Performing Quasi-
radio & TV Banking Functions.
broadcasting On interest,
companies whose commissions and
1600/2307 WG WB050 3% 1600/2307 WG WB303 1%
annual gross receipts discounts from
does not exceed P10M lending activities as
& who are not VAT well as income from
registered taxpayers financial leasing, on
Tax on life insurance the basis of remaining
1600/2307 WG WB070 2%
premiums maturities of
instruments from
 which such receipts commissions and
are derived: discounts from
- Maturity period is lending activities as
more than five years well as income from
Tax on Banks and financial leasing, on
Non-Bank Financial the basis of the
Intermediaries remaining maturities
Performing Quasi- of instrument from
1600/2307 WG WB102 0% which such receipts
Banking Functions.
On dividends and are derived:
equity shares and net - Maturity period is
income of subsidiaries five years or less
Tax on Banks and Tax on Other Non-
Non-Bank Financial Banks Financial
Intermediaries Intermediaries Not
Performing Quasi- Performing Quasi-
Banking Functions. Banking Functions.
On royalties, rentals of On interest,
1600/2307 WG WB103 7% commissions and
property, real or
personal, profits from discounts from
exchange and all other lending activities as
1600/2307 WG WB109 1%
items treated as gross well as income from
income under the financial leasing, on
Code the basis of the
Tax on Banks and remaining maturities
Non-Bank Financial of instrument from
Intermediaries which such receipts
Performing Quasi- are derived:
Banking Functions. - Maturity period is
On net trading gains more than five years
1600/2307 WG WB104 7% Tax on Other Non-
within the taxable year
on foreign currency, Banks Financial
debt securities, Intermediaries Not
derivatives, and other Performing Quasi-
similar financial 1600/2307 WG Banking Functions. WB110 5%
instruments On all other items
Tax on Other Non- treated as gross
Banks Financial income under the
Intermediaries Not Code
1600/2307 WG WB108 5% Business Tax on
Performing Quasi- 1600/2307 WG WB120 4%
Banking Functions. Agents of foreign
On interest,
 insurance co. - but not exceeding 33
insurance agents 1/3%
Business Tax on Tax on shares of stock
Agents of foreign sold or exchanged
1600/2307 WG WB121 5%
insurance co. - owner through initial and
1600/2307 WG WB203 1%
of the property secondary public
Tax on International offering - Over 33
1600/2307 WG WB130 3% 1/3%
Carriers
1600/2307 WG Tax on cockpits WB140 18% VAT Withholding on
Tax on amusement Purchase of Goods
places, such as (with waiver of
1600/2307 WG WV012 12%
cabaret, night or day privilege to claim
clubs, videoke bars, input tax credit
1600/2307 WG karaoke bars, karaoke WB150 18% (creditable)
television, karaoke Vat Withholding on
boxes, music lounges Purchase of Goods
and other similar 1600/2306 WG (with waiver of WV014 12%
establishments privilege to claim
Tax on boxing input tax credit (final)
1600/2307 WG WB160 10% VAT Withholding on
exhibitions
Tax on professional Purchase of Services
1600/2307 WG WB170 15% (with waiver of
basketball games 1600/2307 WG WV022 12%
Tax on jai-alai & race privilege to claim
1600/2307 WG WB180 30% input tax credit
tracks
(creditable)
Tax on sale, barter or
exchange of shares of VAT Withholding on
1/2 of Purchase of Services
1600/2307 WG stocks listed and WB200
1% 1600/2306 WG (with waiver of WV024 12%
traded through the
Local Stock Exchange privilege to claim
input tax credit (final)
Tax on shares of stock
sold or exchanged Persons exempt from
through initial and VAT under Section
1600/2307 WG WB201 4% 1600/2307 WG 109v (creditable) - WB082 3%
secondary public
offering - Not over Private Withholding
25% Agent
Tax on shares of stock Persons exempt from
sold or exchanged 1600/2306 WG VAT under Section WB084 3%
1600/2307 WG through initial and WB202 2% 109v (final)
secondary public
offering - Over 25% Monthly Remittance of Final Income Taxes Withheld
Tax Form
 BIR Form 1601-F : Monthly Remittance Return of Final Income Taxes Note: The staggered manner of filing is only allowed to taxpayers using
Withheld the Electronic Filing and Payment System (EFPS) based on the industry
Who Are Required To File classification groupings per RR No. 26-2002.
Every withholding agent/payor who is either an individual or non- However, the staggered filing of returns allowed for withholding
individual required to deduct and withhold taxes on income payments agents/taxpayers enrolled in the EFPS facility of the Bureau shall not
subject to Final Withholding Taxes apply in the case of the NGAs per RR 1-2013.
Documentary Requirements Payment Via EFPS
1. Return previously filed and proof of remittance, if amended return On or before the fifteenth (15th) day of the month following the month
2. Monthly Alphalist of Payees (MAP) withholding was made, except for taxes withheld for the month of
3. For advance payment, BIR Form No. 0605 December which shall be paid on or before January 20 of the succeeding
4. Electronic Tax Remittance Advice (eTRA) previously Tax Remittance year.
Advice (TRA) for National Government Agencies (NGAs) as required Provided however that, in the case of NGAs, all returns must be
under DOF-DBM Joint Circular No. 1-2000A and RR 1-2003 electronically filed (e-filed) and payment of the tax due must also be made
Procedures for Filing and Payment on the same day the return is e-filed which shall be on or before the 10th
1. Read instructions indicated in the tax return. day following the month in which withholding was made, except for taxes
2. Accomplish BIR Form No. 1601-F in triplicate copies. withheld for the month of December of each year, which shall be filed on
3. If there is tax required to be remitted: or before January 15 of the succeeding year.
- Proceed to the nearest Authorized Agent Bank (AAB) of the Manual Filing and Payment
Revenue District Office where you are registered or taxpayer On or before the tenth (10th) day of the month following the month the
concerned is registered and present the duly accomplished BIR withholding was made, except for taxes withheld for the month of
Form No. 1601F, together with the required attachments and your December which shall be filed and paid on or before January 15 of the
payment. succeeding year
- In places where there are no AAB, the return shall be filed and the Tax Rates
tax paid with the Revenue Collection Officer or duly Authorized TAX TAX
BIR FORM DESCRIPTION ATC
City or Municipal Treasurer within the Revenue District Office TYPE RATES
where the withholding agent’s place of business/office is located MONTHLY
who will issue a Revenue Official Receipt (BIR Form No. 2524) REMITTANCE
therefor; BIR FORM NO.
RETURN OF FINAL
4. If there is no tax required to be remitted: 1601-F
INCOME TAXES
- Proceed to the Revenue District Office where you are registered WITHHELD
and present the duly accomplished BIR Form 1601-F, together with Interest on foreign loans
the required attachments. payable to non-resident
- Receive your copy of the duly stamped and validated form from 1601-F/2306 WF WC180 20%
foreign corporations
the RDO representative. (NRFCs)
Deadlines Interest and other income
Filing Via EFPS payments on foreign
Group A - Fifteen (15) days following end of the month 1601-F/2306 WF currency WC190 10%
Group B - Fourteen (14) days following end of the month transactions/loans
Group C - Thirteen (13) days following end of the month payable to OBUs
Group D - Twelve (12) days following end of the month
Interest and other income
Group E - Eleven (11) days following end of the month
1601-F/2306 WF payments on foreign WC191 10%
currency
 transactions/loans engaged in trade or
payable to FCDUs business (NRAETB)
Cash dividend payments Property dividend
by domestic corporation payment by domestic
1601-F/2306 WF WI202 10%
to citizens and resident corporation to non-
1601-F/2306 WF WI225 20%
aliens resident alien engaged in
Property dividend trade or business
payments by domestic (NRAETB)
1601-F/2306 WF WI203 10%
corporation to citizens Share of a NRAETB in
and resident aliens the distributable net
income after tax of a
Cash dividend payment partnership (except GPP)
30% -
by domestic corporation of which he is a partner,
1601-F/2306 WF WC212 Effectiv
to Non-Resident Foreign or share in the net income
e Jan. 1, 1601-F/2306 WF WI226 20%
Corporations after tax of an
2009
Property dividend association, joint account,
payment by domestic 30% - or a joint venture taxable
1601-F/2306 WF corporation to Non- WC213 Effectiv as a corporation of which
Resident Foreign e Jan. 1, he is a member or a co-
Corporations 2009 venturer
Cash dividend payment
by domestic corporation On other payments to 30% -
to Non-Resident Foreign 1601-F/2306 WF non-resident foreign WC230 Effectiv
Corporations whose corporations (NRFCs) e Jan. 1,
1601-F/2306 WF WC222 15% 2009
countries allow tax
deemed paid credit Distributive share of
(subject to tax sparing individual partners in a
rule) taxable partnerships,
1601-F/2306 WF WI240 10%
Property dividend association, joint account,
payment by domestic or joint venture or
corporation to Non- consortium
Resident Foreign All kinds of royalty
1601-F/2306 WF Corporations whose WC223 15% payments to citizens,
countries allowed tax resident aliens and non-
1601-F/2306 WF WI250 20%
deemed paid credit resident aliens engaged in
(subject to tax sparing trade or business (other
rule) than WI 380 and WI 341)
Cash dividend payment All kinds of royalty
1601-F/2306 WF by domestic corporation WI224 20% payments to domestic and
1601-F/2306 WF WC250 20%
to non-resident alien resident foreign
corporation
 On prizes exceeding occupying
P10,000 and other executive/managerial and
1601-F/2306 WF WI260 20%
winnings paid to technical positions
individuals Payments to NRANETB
Branch profit remittances except on sale of shares
1601-F/2306 WF WI330 25%
by all corporations except in domestic corporation
1601-F/2306 WF WC280 15%
PEZA/SBMA/CDA and real property
registered On payments to non-
On gross rentals, lease resident individual
and charter fees derived 1601-F/2306 WF cinematographic film WI340 25%
1601-F/2306 WF WC290 4.5%
by non-resident owner or owners, lessors or
lessor of foreign vessels distributors
On the gross rentals, lease On payments to foreign
and charter fees derived corporate
1601-F/2306 WF by non-resident lessor of WC300 7.5% 1601-F/2306 WF cinematographic film WC340 25%
aircraft, machineries and owners, lessors or
other equipment distributors
On payments to oil Royalties paid to
exploration service NRAETB on
1601-F/2306 WF WI341 25%
1601-F/2306 WF contractors and WI310 8% cinematographic films
subcontractors (OESS) - and similar works
Individual (NRAETB) Final tax on interest or
On payments to oil other payments upon tax-
exploration service free covenant bonds,
contractors and 1601-F/2306 WF mortgages, deeds of trust WI 350 30%
subcontractors (OESS) - or other obligations under
1601-F/2306 WF WC310 8%
Corporate (non-resident Sec. 57C of the NIRC of
foreign corporation 1997
engage in trade or Royalties paid to citizens,
business) resident aliens and
Payments to Filipinos or 1601-F/2306 WF NRAETB on books, other WI380 10%
alien individuals literary works and
employed by Foreign musical composition
Petroleum Service Informer's cash reward
Contractors/Subcontracto 1601-F/2306 WF WI410 10%
paid to individuals
1601-F/2306 WF rs, Offshore Banking WI320 15% Informer's cash reward
Units and Regional or 1601-F/2306 WF WC410 10%
paid to juridical persons
Area Headquarters and Cash or property
Regional Operating dividends paid by a Real
Headquarters of 1601-F/2306 WF WI700 10%
Estate Investment Trust
Multinational Companies (REIT) to individuals
 Cash or property 3. If there is no tax required to be remitted:
dividends paid by a Real - Proceed to the Revenue District Office where you are registered or
1601-F/2306 WF WC700 10%
Estate Investment Trust taxpayer concerned is registered and present the duly accomplished
(REIT) to corporations BIR Form No. 1600-WP, together with the required attachments.
- Receive your copy of the duly stamped and validated form from
Remittance Return of Percentage Tax On Winnings And Prizes Withheld the RDO representative
By Race Track Operators Deadline
Tax Form Within twenty (20) days from the date the tax was deducted and withheld
BIR Form No. 1600-WP : Remittance Return of Percentage Tax on Tax Rates
Winnings and Prizes Withheld by Race Track Operators TAX TAX
BIR FORM DESCRIPTION ATC
Who Are Required To File TYPE RATES
- Operators of race tracks REMITTANCE
Documentary Requirements RETURN OF
1. Alphalist of Payees indicating the following: PERCENTAGE TAX
BIR FORM NO.
- Tax Year and Month - ON WINNINGS AND
1600-WP
- TIN of withholding agent PRIZES WITHHELD
- Name of Withholding Agent BY RACE TRACK
- TIN of Payee OPERATORS
- Name of Payee Tax on Winnings from
- ATC double,
- Nature of Payment forecast/quinella and
- Amount of Payment 1600-WP/2306 WW trifecta bets on horse WB191 4%
- Tax Rate races paid by
- Tax Required to be Withheld government
2. Return previously filed and proof of tax payments, if amended return withholding agent
Procedures for Manual Filing and Payment Tax on Winnings or
1. Accomplish BIR Form 1600-WP in triplicate copies. prizes paid to winners
2. If there is tax required to be remitted: of winning horse race
- Proceed to the nearest Authorized Agent Bank (AAB) of the tickets other than
Revenue District Office where you are registered or taxpayer double,
concerned is registered and present the duly accomplished BIR 1600-WP/2306 WW forecast/quinella and WB192 10%
Form No. 1600-WP, together with the required attachments and trifecta bets; and
your payment. owners of winning
- In places where there are no AAB, proceed to the Revenue race horses paid by
Collection Officer or duly Authorized City or Municipal Treasurer government
located within the Revenue District Office where you are registered withholding agent
or taxpayer concerned is registered and present the duly Tax on Winnings from
accomplished BIR Form No. 1600-WP, together with the required double,
attachments and your payment forecast/quinella and
- Receive your copy of the duly stamped and validated form from 1600-WP/2306 WW WB193 4%
trifecta bets on horse
the teller of the AABs/Revenue Collection Officer/duly Authorized races paid by private
City or Municipal Treasurer. withholding agent
 Tax on Winnings or accomplished BIR Form No. 1603, together with the required
prizes paid to winners attachments and your payment.
of winning horse race - Receive your copy of the duly stamped and validated form from
tickets other than the teller of the AABs/Revenue Collection Officer/duly Authorized
double, City or Municipal Treasurer.
1600-WP/2306 WW forecast/quinella and WB194 10% 4. If there is no tax required to be remitted:
trifecta bets; and - Proceed to the Revenue District Office where you are registered or
owners of winning taxpayer concerned is registered and present the duly accomplished
race horses paid by BIR Form No. 1603, together with the required attachments.
private withholding - Receive your copy of the duly stamped and validated form from
agent the RDO representative
Deadline
Quarterly Remittance Of Final Income Taxes Withheld On Fringe Filing and Payment Via EFPS
Benefits Paid To Employees Other Than Rank And File On or before the fifteenth (15th) day of the month following the end
Tax Form of the calendar quarter in which the fringe benefits were granted to
BIR Form No. 1603 - Quarterly Remittance Return of Final Income the recipient.Provided however that, in the case of NGAs, it shall be
Taxes Withheld on Fringe Benefits Paid to Employees Other than Rank e-filed and paid on or before the 10th day of the month following the
and File quarter.
Who Are Required To File Manual Filing and Payment
Every withholding agent/payor who is either an individual or non- On or before the tenth (10th) day of the month following the end of
individual required to deduct and withhold taxes on fringe benefits the calendar quarter in which the fringe benefits were granted to the
furnished to employees other than rank and file employees subject to recipient.
Final Withholding Tax Tax Rates
Documentary Requirements TAX TAX
BIR FORM DESCRIPTION ATC
1. Return previously filed and proof of tax payments , if amended return TYPE RATES
2. Electronic Tax Remittance Advice (eTRA) previously Tax Remittance QUARTERLY
Advice (TRA) for National Government Agencies (NGAs) as required REMITTANCE
under DOF- DBM Joint Circular No. 1-2000A and RR 1-2013 BIR FORM NO. RETURN OF
Procedures for Filing and Payment 1603 FINAL INCOME
1. Read instructions indicated in the tax return. TAXES
2. Accomplish BIR Form No. 1603 in triplicate copies. WITHHELD
3. If there is tax required to be remitted: Alien & Filipino
- Proceed to the nearest Authorized Agent Bank (AAB) of the employed &
Revenue District Office where you are registered or taxpayer occupying the same 15%
concerned is registered and present the duly accomplished BIR position as those of Percentage
Form No. 1603, together with the required attachments and your 1603/2306 WR WF320
aliens employed in Divisor
payment. selected - 85%
- In places where there are no AAB, proceed to the Revenue multinational
Collection Officer or duly Authorized City or Municipal Treasurer companies
located within the Revenue District Office where you are registered Payment of fringe 25%
or taxpayer concerned is registered and present the duly 1603/2306 WR benefits to Non- WF330 Percentage
Resident Alien Not Divisisor
 Engaged in Trade or - 75% - Proceed to the Revenue District Office where you are registered or
Business taxpayer concerned is registered and present the duly accomplished
(NRAETB) BIR Form No. 1602, together with the required attachments.
Employees other Deadline
than rank and file 32% Filing Via EFPS
(Fringe Benefit Tax) Percentage On or before the fifteenth (15th) day of the month following the
1603/2306 WR WF360 month withholding was made
based on the Divisisor
grossed up - 68% Payment Via EFPS
monetary value On or before the fifteenth (15th) day of the month following the
month withholding was made, except for taxes withheld for the
Monthly Remittance Of Final Income Taxes Withheld On Interest Paid month of December which shall be paid on or before January 20th
And Yield On Deposit Substitutes, Trust, Etc. of the succeeding year
Tax Form Manual Filing and Payment
BIR Form No. 1602 - Monthly Remittance Return of Final Income Taxes On or before the tenth (10th) day of the month following the month
Withheld on Interest Paid and Yield on Deposit Substitutes/Trust/Etc. the withholding was made, except for taxes withheld for the month
Who Are Required To File of December which shall be filed and paid on or before January 15
Banks, non-bank financial intermediaries, finance corporations, of the succeeding year.
investment and trust companies and other institutions required to Tax Rates
withhold final income tax on interest paid/accrued on deposit and yield TAX TAX
BIR FORM DESCRIPTION ATC
or any other monetary benefit from deposits substitutes and from trust TYPE RATES
fund and similar arrangements. MONTHLY
Documentary Requirements REMITTANCE
BIR FORM NO.
Return previously filed and proof of tax payments, if amended return RETURN OF FINAL
1602
Procedures (for Manual filing of tax returns) INCOME TAXES
1. Accomplish BIR Form No. 1602 in triplicate copies. WITHHELD
2. If there is tax required to be remitted: From bank deposits -
- Proceed to the nearest Authorized Agent Bank (AAB) of the 1602/2306 WB Savings/Time - WI161 20%
Revenue District Office where you are registered or taxpayer Individual
concerned is registered and present the duly accomplished BIR From bank deposits -
FormNo. 1602, together with the required attachments and your 1602/2306 WB Savings/Time - WC161 20%
payment. Corporate
- In places where there are no AAB, proceed to the Revenue From Treasury Bills
Collection Officer or duly Authorized City or Municipal Treasurer and Other
within the Revenue District Office where the withholding agent’s 1602/2306 WB WI162 20%
Government Securities
place of business/office is located and present the duly accomplished - Individual
BIR Form No. 1602, together with the required attachments and From Treasury Bills
your payment who will issue a Revenue Official Receipt (BIR Form and Other
No. 2524) therefor. 1602/2306 WB WC162 20%
Government Securities
- Receive your copy of the duly stamped and validated form from - Corporate
the teller of the AAB's/Revenue Collection Officer/duly Authorized
From deposit
City or Municipal Treasurer. 1602/2306 WB WI163 20%
substitutes, trusts
3. If there is no tax required to be remitted:
 funds and other On interest income
similar arrangements - from long-term
Individual deposit in the form of
From deposit savings trust funds,
substitutes, trusts deposit substitutes
1602/2306 WB funds and other WC163 20% 1602/2306 WB which was pre- WI442 5%
similar arrangements - terminated by the
Corporate holder before the 5th
On foreign currency year - individual ( 4
1602/2306 WB deposits Resident - WI170 7.5% years to less than 5
Individual years)
On foreign currency On interest income
1602/2306 WB deposits Resident - WC170 7.5% from long-term
Corporate deposit in the form of
Interest payments to savings trust funds,
taxpayers enjoying 1602/2306 WB deposit substitutes WC440 20%
1602/2306 WB preferential tax rates WC390 5% which was pre-
(i.e. PEZA Registered terminated by the
Enterprises) holder before the 5th
year - corporate
On interest income
from long-term
deposit in the form of Annual Information Return On Creditable Income Taxes Withheld
savings trust funds, (Expanded)/Income Payments Exempt From Withholding Tax
deposit substitutes Tax Form
1602/2306 WB WI440 20% BIR Form No. 1604-E : Annual Information Return of Creditable Income
which was pre-
terminated by the Taxes Withheld (Expanded)/Income Payments Exempt from
holder before the 5th Withholding Tax
year - individual (Less Who Are Required To File
than 3 years) Every withholding agent/payor who is either an individual or non-
individual required to deduct and withhold taxes on income payments
On interest income
subject to Expanded/Creditable Withholding Taxes
from long-term
Documentary Requirements
deposit in the form of
1. Alphalist of Payees subjected to Expanded Withholding Tax
savings trust funds,
2. Alphalist of Other Payees Whose Income Payments Are Exempt from
deposit substitutes
Withholding Tax but subject to Income Tax
1602/2306 WB which was pre- WI441 12%
3. Return previously filed and proof of tax payment for amended return
terminated by the
Note: Above alphalists are to be submitted in accordance with RR 1-2014
holder before the 5th
as amended.
year - individual (3
Procedures for Manual Filing
years to less than 4
1. Accomplish BIR Form No. 1604-E in triplicate copies.
years)
 2. Proceed to the Revenue District Office where you are registered and 3. Receive your copy of the duly stamped and validated form from the
present the duly accomplished BIR Form No. 1604-E, together with the RDO representative.
required attachments. Deadline
3. Receive your copy of the duly stamped and validated form from the On or before January 31 following the calendar year in which the
RDO representative compensation payment and other income payments subjected to final
Deadline withholding taxes were paid or accrued.
On or before March 1 of the year following the calendar year in which
the income payments subjected to expanded withholding taxes or exempt Related Revenue Issuances
from withholding tax were paid. RR No. 2-98, RR No. 3-98, RR No. 8-98, RR No. 10-98, RR No. 12-98, RR
No. 3-99, RR No. 8-2000, RR No. 10-2000, RR No. 6-2001, RR No. 12-2001,
Annual Information On Income Taxes Withheld On Compensation And RR No. 9-2001, RR No. 3-2002, RR No. 4-2002, RR No. 14-2002, RR No.
Final Withholding Taxes 19-2002, RR No. 26-2002, RR No. 14-2003, RR No. 16-2003, RR No. 17-
Tax Form 2003, RR No. 30-2003, RR 1-2004, RR 3-2004, RR No. 5-2004, RR No. 8-
BIR Form No. 1604-CF : Annual Information Return of Income Taxes 2005, RR 1-2006, RR 2-2006, RR 4-2006, RR 4-2007, RR 4-2008, RR 5-2008,
Withheld on Compensation and Final Withholding taxes. RR 6-2008, RR 7-2008, RR 14-2008, RR No. 10-2008, RR 1-2009, RR 2-
Who Are Required To File 2009, RR 3-2009, RR 5-2009, RR 6-2009, RR 8-2009, RR 10-2009, RR No.
Every withholding agent/payor who is either an individual or non- 11-2010, RR No. 5-2011, RR No. 7-2011, RR No. 13-2011, RR No. 3-2012,
individual required to deduct and withhold taxes on: RR No. 6-2012, RR No. 8-2012, RR No. 14-2012, RR No. 16-2012, RR No.
- compensation paid to employees 1-2013, RR No. 10-2013, RR No. 11-2013
- income payments subject to Final Withholding Taxes
Documentary Requirements Frequently Asked Questions
1. Alphalist of Employees as of December 31 With no Previous Employer 1) What are the types of Withholding Taxes?
within the year There are two main classifications or types of withholding tax. These are:
2. Alphalist of Employees as of December 31 with Previous Employer/s a) Creditable Withholding Tax
within the year - Withholding Tax on Compensation
3. Alphalist of Employees Terminated Before December 31 - Expanded Withholding Tax
4. Alphalist of Employees Whose Compensation Income Are Exempt - Withholding of Business Tax (VAT and Percentage)
from Withholding Tax But Subject to Income Tax b) Final Withholding Tax
5. Alphalist of Minimum Wage Earners 2) What is compensation?
6. Alphalist of Employees other than Rank and File Who Were Given It means any remuneration received for services performed by an
Fringe Benefits During the Year employee from his employer under an employee-employer relationship.
7. Alphalist of Payees Subjected to Final Withholding Tax 3) What are the different kinds of compensation?
8. Return previously filed and proof of tax payment for amended return a) Regular compensation - includes basic salary, fixed allowances for
Note: Above alphalists are to be submitted in accordance with RR 1-2014 representation, transportation and others paid to an employee
as amended. b) Supplemental compensation - includes payments to an employee in
Procedures addition to the regular compensation such as but not limited to the
1. Accomplish BIR Form No. 1604-CF in triplicate copies and attach the following:
necessary schedules in prescribed form (hard and soft copy) - Overtime Pay
2. Proceed to the Revenue District Office where you are registered and - Fees, including director's fees
present the duly accomplished BIR Form No. 1604-CF, together with the - Commission
required attachments. - Profit Sharing
- Monetized Vacation and Sick Leave
 - Fringe benefits received by rank & file employees
- Hazard Pay
- Taxable 13th month pay and other benefits
- Other remunerations received from an employee-employer
relationship
4) What are exempted from Withholding Tax on Compensation?
1. Remuneration as an incident of employment, such as the following:
a. Retirement benefits received under RA 7641
b. Any amount received by an official or employee or by his heirs
from the employer due to death, sickness or other physical disability
or for any cause beyond the control of the said official or employee
such as retrenchment, redundancy or cessation of business
c. Social security benefits, retirement gratuities, pensions and other
similar benefits
d. Payment of benefits due or to become due to any person residing
in the Philippines under the law of the US administered by the US
Veterans Administration
e. Payment of benefits made under the SSS Act of 1954, as amended
f. Benefits received from the GSIS Act of 1937, as amended, and the
retirement gratuity received by the government official and
employees
2. Remuneration paid for agricultural labor and paid entirely in products
of the farm where the labor is performed
3. Remuneration for domestic services
4. Remuneration for casual labor not in the course of an employer's trade
or business
5. Compensation for services by a citizen or resident of the Philippines
for a foreign government or an international organization
6. Payment for damages
7. Proceeds of Life Insurance
8. Amount received by the insured as a return of premium
9. Compensation for injuries or sickness
10. Income exempt under Treaty
11. Thirteenth (13th) month pay and other benefits (not to exceed P
30,000)
12. GSIS, SSS, Medicare and other contributions
13. Compensation Income of Minimum Wage Earners (MWEs) with
respect to their Statutory Minimum Wage (SMW) as fixed by Regional
Tripartite Wage and Productivity Board (RTWPB)/National Wage and
Productivity Commission (NWPC), including overtime pay, holiday pay,
night shift differential and hazard pay, applicable to the place where
he/she is assigned.
14. Compensation Income of employees in the public sector if the same
is equivalent to or not more than the SMW in the non-agricultural sector,
as fixed by RTWPB/NWPC, including overtime pay, holiday pay, night
shift differential and hazard pay, applicable to the place where he/she is
assigned.
5) What are De Minimis Benefits?
- These are facilities and privileges of relatively small value and are
offered or furnished by the employer to his employees merely as means
of promoting their health, goodwill, contentment or efficiency. The
following shall be considered "De Minimis" benefits not subject to
income tax, hence not subject to withholding tax on compensation income
of both managerial and rank and file employees:
• Monetized unused vacation leave credits of private employees not
exceeding ten (10) days during the year;
• Monetized value of vacation and sick leave credits paid to
government officials and employees.
• Medical cash allowance to dependents of employees, not
exceeding P750.00 per employee per semester or P125.00 per
month;
• Rice subsidy of P1,500 or one (1) sack of 50 kg. rice per month
amounting to not more than P1,500;
• Uniform and clothing allowance not exceeding P5,000 per annum;
• Actual medical assistance, e.g. medical allowance to cover medical
and healthcare needs, annual medical/executive check-up, maternity
assistance, and routine consultations, not exceeding P10,000 per
annum;
• Laundry allowance not exceeding P300.00 per month;
• Employees achievement awards, e.g., for length of service or
safety achievement, which must be in the form of a tangible personal
property other than cash or gift certificate, with an annual monetary
value not exceeding P10,000 received by the employee under an
established written plan which does not discriminate in favor of
highly paid employees;
• Gifts given during Christmas and major anniversary celebration
not exceeding P5,000.00 per employee perannum;
• Daily meal allowance for overtime work and night/graveyard shift
not exceeding twenty-five percent (25%) of the basic minimum
wage on a per region basis;
6) What is substituted Filing of income tax returns (ITR)?
Substituted Filing of ITR is the manner by which declaration of income
of individuals receiving purely compensation income the taxes of which
have been withheld correctly by their employers. Instead of the filing of
 Individual Income Tax Return (BIR Form 1700), the employer’s annual
information return (BIR Form No. 1604-CF) duly stamped received by
the BIR may be considered as the “substitute” Income Tax Return (ITR)
of the employee, inasmuch as the information provided therein are
exactly the same information required to be provided in his income tax
return (BIR Form No. 1700). However, said employees may still file ITR
at his/her option.
7) Who are qualified to avail of the substituted filing of ITR?
Employees who satisfies all of the following conditions:
a. Receiving purely compensation income regardless of amount;
b. Working for only one employer in the Philippines for the calendar
year;
c. Tax has been withheld correctly by the employer (tax due equals
tax withheld);
d. The employee’s spouse also complies with all three (3) conditions
stated above.
e. The employer files the annual information return (BIR Form No.
1604-CF)
f. The employer issues BIR Form No. 2316 to each employee.
Note: For those employees qualified under the substituted filing, the
employer
8) What income payments are subject to Expanded Withholding Tax?
a) Professional fees / talent fees for services rendered by the following:
- Those individually engaged in the practice of professions or
callings such as lawyers; certified public accountants; doctors of
medicine; architects; civil, electrical, chemical, mechanical,
structural, industrial, mining, sanitary, metallurgical and geodetic
engineers; marine surveyors; doctors of veterinary science; dentist;
professional appraisers; connoisseurs of tobacco; actuaries; interior
decorators, designers, real estate service practitioners (RESPs), (i. e.
real estate consultants, real estate appraisers and real estate brokers)
requiring government licensure examination given by the Real
Estate Service pursuant to Republic Act No. 9646 and all other
profession requiring government licensure examinations and/or
regulated by the Professional Regulations Commission, Supreme
Court, etc.
- Professional entertainers such as but not limited to actors and
actresses, singers, lyricist, composers and emcees
- Professional athletes including basketball players, pelotaris and
jockeys
- Directors and producers involved in movies, stage, radio,
television and musical productions
- Insurance agents and insurance adjusters
- Management and technical consultants
- Bookkeeping agents and agencies
- Other recipient of talent fees
- Fees of directors who are not employees of the company paying
such fees whose duties are confined to attendance at and
participation in the meetings of the Board of Directors
b) Professional fees, talent fees, etc for services of taxable juridical
persons
c) Rentals:
- Rental of real property used in business
- Rental of personal properties in excess of P 10,000 annually
- Rental of poles, satellites and transmission facilities
- Rental of billboards
d) Cinematographic film rentals and other payments
e) Income payments to certain contractors
- General engineering contractors
- General building contractors
- Specialty contractors
- Other contractors like:
1. Filling, demolition and salvage work contractors and
operators of mine drilling apparatus
2. Operators of dockyards
3. Persons engaged in the installation of water system, and gas
or electric light, heat or power
4. Operators of stevedoring, warehousing or forwarding
establishments
5. Transportation Contractors
6. Printers, bookbinders, lithographers and publishers, except
those principally engaged in the publication or printing of any
newspaper, magazine, review or bulletin which appears at
regular intervals, with fixed prices for subscription and sale
7. Advertising agencies, exclusive of payments to media
8. Messengerial, janitorial, security, private detective, credit
and/or collection agenciesand other business agencies
9. Independent producers of television, radio and stage
performances or shows
10. Independent producers of "jingles"
11. Labor recruiting agencies and/or “labor-only” contractors
12. Persons engaged in the installation of elevators, central air
conditioning units, computer machines and other equipment
and machineries and the maintenance services thereon
 13. Persons engaged in the sale of computer services, computer v) Interest income on the refund paid through direct payment or
programmers, software developer/designer, etc. application against customers' billing by other electric Distribution
14. Persons engaged in landscaping services Utilities in accordance with the rules embodied in ERC Resolution No. 8
15. Persons engaged in the collection and disposal of garbage series of 2008 dated June 4, 2008 governing the refund of meter deposits
16. TV and radio station operators on sale of TV and radio which was approved and adopted by ERC in compliance with the
airtime, and mandate of Article 8 of the Magna Carta for Residential Electricity
17. TV and radio blocktimers on sale of TV and radio Consumers and Article 3.4.2 of DSOAR exempting all electricity
commercial spots consumers, whether residential or non-residential from the payment of
f) Income distribution to the beneficiaries of estates and trusts meter deposit.
g) Gross commissions of customs, insurance, stock, immigration and w) Income payments made by the top 5,000 individual taxpayers to their
commercial brokers, fees of agents of professional entertainers and real purchase of goods and services from their local/resident suppliers other
estate service practitioners (RESPs), (i. e. real estate consultants, real than those covered by other rates of withholding
estate appraisers and real estate brokers) who failed or did not take up the x) Income payments made by political parties and candidates of local and
licensure examination given by and not registered with the Real Estate national elections of all their campaign expenditures, and income
Service under the Professional Regulations Commission payments made by individuals or juridical persons for their purchases of
h) Income payments to partners of general professional partnerships goods and services intended to be given as campaign contribution to
i) Payments made to medical practitioners political parties and candidates
j) Gross selling price or total amount of consideration or its equivalent y) Interest Income derived from any other debt instruments not within the
paid to the seller/owner for the sale, exchange or transfer of real property coverage of deposit substitutes and RR No. 14-2012
classified as ordinary asset z) Income payments subject to Withholding Tax received by Real Estate
k) Additional income payments to government personnel from importers, Investment Trust (REIT) (Sec.12 of RR No. 13-2011)
shipping and airline companies or their agents 9) What income payments are subject to Final Withholding Tax?
l) Certain income payments made by credit card companies a) Income Payments to a Citizen or to a Resident Alien Individual:
m) Income payments made by the top 20,000 private corporations to their - Interest on any peso bank deposit
purchase of goods and services from local/resident suppliers other than - Royalties
those covered by other rates of withholding - Prizes [except prizes amounting to P10,000 or less which is subject
n) Income payments by government offices on their purchase of goods to tax under Sec. 24(A)(1) of the Tax Code]
and services, from local/resident suppliers other than those covered by - Winnings (except winnings from Philippine Charity Sweepstake
other rates of withholding Office and Lotto)
o) Commission, rebates, discounts and other similar considerations - Interest income on foreign currency deposit
paid/granted to independent and exclusive distributors, medical/technical - Interest income from long term deposit (except those with term of
and sales representatives and marketing agents and sub-agents of multi five years or more)
level marketing companies. - Cash and/or property dividends
p) Tolling fees paid to refineries - Capital Gains presumed to have been realized from the sale,
q) Payments made by pre-need companies to funeral parlors exchange or other disposition of real property
r) Payments made to embalmers by funeral parlors b) Income Payments to a Non-Resident Alien Engaged in Trade or
s) Income payments made to suppliers of agricultural products Business in the Philippines
(suspended per RR 3-2004) - On Certain Passive Income
t) Income payments on purchases of mineral, mineral products and quarry - cash and/or property dividend
resources - Share in the distributable net income of a partnership
u) On gross amount of refund given by MERALCO to customers with - Interest on any bank deposits
active contracts as classified by MERALCO; - Royalties
 - Prizes (except prizes amounting to P10,000 or less which is subject
to tax under Sec. 25(A)(1) of the Tax Code.
- Winnings (except from Philippine Charity Sweepstake Office and
Lotto)
- Interest on Long Term Deposits (except those with term of five
years or more)
- Capital Gains presumed to have been realized from the sale,
exchange or other disposition of real property
c) Income Derived from All Sources Within the Philippines by a Non-
Resident Alien Individual Not Engaged in Trade or Business
- On gross amount of income derived from all sources within the
Philippines
- On Capital Gains presumed to have been realized from the sale,
exchange or disposition of real property located in the Philippines
d) Income Derived by Alien Individual Employed by a Regional or Area
Headquarters and Regional Operating Headquarters of Multinational
Companies, Income Derived by Alien Individual Employed by Offshore
Banking Units and Income of Aliens Employed by Foreign Petroleum
Service Contractors and Subcontractors
e) Income Payment to a Domestic Corporation
- Interest from any currency bank deposits and yield or any other
monetary benefit from deposit substitutes and from trust fund and
similar arrangements derived from sources within the Philippines
- Royalties derived from sources within the Philippines
- Interest income derived from a depository bank under the
Expanded Foreign Currency Deposit (FCDU) System
- Income derived by a depository bank under the FCDU from foreign
transactions with local commercial banks
- On capital gains presumed to have been realized from the sale,
exchange or other disposition of real property located in the
Philippines classified as capital assets, including pacto de retro sales
and other forms of conditional sales based on the gross selling price
or fair market value as determined in accordance with Sec. 6(E) of
the NIRC, whichever is higher
f) Income Payments to a Resident Foreign Corporation
- Offshore Banking Units
- Tax on branch Profit Remittances
- Interest on any currency bank deposits and yield or any other
monetary benefit from deposit substitute and from trust funds and
similar arrangements and royalties derived from sources within the
Philippines
- Interest income on FCDU
- Income derived by a depository bank under the expanded foreign
currency deposits system from foreign currency transactions with
local commercial banks
g) Income Derived from all Sources Within the Philippines by a Non-
Resident Foreign Corporation
- Gross income from all sources within the Philippines such as
interest, dividends, rents, royalties, salaries, premiums (except re-
insurance premiums), annuities, emoluments or other fixed
determinable annual, periodic or casual gains, profits and income or
capital gains;
- Gross income from all sources within the Philippines derived by a
non-resident cinematographic film owner, lessor and distributor
- On the gross rentals, lease and charter fees derived by a non-
resident owner or lessor of vessels from leases or charters to Filipino
citizens or corporations as approved by the Maritime Industry
Authority
- On the gross rentals, charter and other fees derived by a non-
resident lessor of aircraft, machineries and other equipment
- Interest on foreign loans contracted on or after August 1, 1986
h) Fringe Benefits Granted to the Employee (except Rank and File)
- Goods, services or other benefits furnished or granted in cash or in
kind by an employer to an individual employee (except rank and
file) such as but not limited to the following:
- Housing
- Vehicle of any kind
- Interest on loans
- Expenses for foreign travel
- Holiday and vacation expenses
- Educational assistance to employees or his dependents
- Membership fees, dues and other expense in social and
athletic clubs or other
- similar organizations
- Health insurance
i) Informers Reward
j) Cash or property dividends paid by a Real Estate Investment Trust
(REIT) pursuant to Section 13 of RR 13-2011
10) Aside from the required withholding of income tax by government
agencies and instrumentalities on their payments to their suppliers of goods
and services, what other tax types must be withheld by them.
a) Value Added Tax – on all income payments subject to VAT
b) Percentage Tax – on all payments subject to percentage tax such as
payments to the following:
 - Any person engaged in business whose gross sales or receipts do
not exceed P1,919,500 (RR 3-2012) and who are not VAT-
registered persons. (Persons exempt from VAT under Sec. 109V of
the Tax Code)
- Domestic carriers and keepers of garages, except owners of bancas
and owners of animal drawn two wheeled vehicle
- Operators of international carriers doing business in the
Philippines.
- Franchise grantees of electric, gas or water utilities
- Franchise grantees of radio and/or television broadcasting
companies whose gross annual receipts of the preceding year do not
exceed Ten Million (P10,000,000.00) Pesos and did not opt to
register as VAT Taxpayers
- Communication providers with regards to overseas dispatch,
messages or conversation from the Philippines
- Banks and non-bank financial intermediaries and finance
companies
- Life insurance companies
- Agents of foreign insurance companies
- Proprietor, lessee, or operator of cockpits, cabarets, night or day
clubs, videoke/karaoke bars, karaoke television, karaoke boxes,
music lounges and other similar establishments, boxing exhibitions,
professional basketball games, jai-alai and race tracks
- Winners in horse races or owner of winning race horses
- Every stock broker who effected a sale, barter, exchange or other
disposition of shares of stock listed and traded through the Local
Stock Exchange (LSE) other than the sale by a dealer in securities
- A corporate issuer/stock broker, whether domestic or foreign,
engaged in the sale, barter, exchange or other disposition through
Initial Public Offering (IPO) /secondary public offering of shares of
stock in closely held corporations
11) Who is a withholding agent?
A withholding agent is any person or entity who is required to deduct and
remit the taxes withheld to the government.
12) What are the duties and obligations of the withholding agent?
The following are the duties and obligations of the withholding agent:
a) To Register - withholding agent is required to register within ten
(10) days after acquiring such status with the Revenue District office
having jurisdiction over the place where the business is located
b) To Deduct and Withhold - withholding agent is required to deduct
tax from all money payments subject to withholding tax
c) To Remit the Tax Withheld - withholding agent is required to
remit tax withheld at the time prescribed by law and regulations
d) To File Annual Return - withholding agent is required to file the
corresponding Annual Information Return at the time prescribed by
law and regulations
e) To Issue Withholding Tax Certificates - withholding agent shall
furnish Withholding Tax Certificates to recipient of income
payments subject to withholding
13) Who are considered TOP 20,000 Corporate Taxpayers?
Top twenty thousand (20,000) private corporations shall include a
corporate taxpayer who has been determined and notified by the Bureau
of Internal Revenue (BIR) as having satisfied any of the following
criteria:
a) Classified and duly notified by the Commissioner as a large
taxpayer under Revenue Regulation No. 1-98, as amended, or
belonging to the top five thousand (5,000) private corporations
under RR 12-94, or to the top ten thousand (10,000) private
corporations under RR 17-2003, unless previously de-classified as
such or had already ceased business operations (automatic
inclusion);
b) VAT payment or payable whichever is higher, of at least
P100,000 for the preceding year;
c) Annual income tax due of at least P200,000 for the preceding
year;
d) Total percentage tax paid of at least P100,000 for the preceding
year;
e) Gross sales of P10,000,000 and above for the preceding year;
f) Gross purchases of P5,000,000 and above for the preceding year;
g) Total excise tax payment of at least P100,000 for the preceding
year.
14) What are the obligations of Top 20,000 Corporate Taxpayers?
a) In addition to the above responsibilities of a withholding agent, Top
20,000 private corporations shall withhold the one percent (1%)
creditable expanded withholding tax on the purchase of goods and two
percent (2%) on the purchase of services (other than those covered by
other withholding tax rates) from local suppliers where it regularly makes
purchases. However, casual purchase of goods shall not be subject to
withholding tax unless the amount of purchase at any one time involves
P10,000 or more, in which case, it shall then be required to withhold the
tax. The same rule apply to local/resident supplier of services other than
those covered by separate rates of withholding tax. Provided, however,
that for purchases involving agricultural products in their original state,
 the tax required to be withheld shall only apply to purchases in excess of
the cumulative amount of P300,000 within the same taxable year. For this
purpose, agricultural products in their original state shall only include
corn, coconut, copra, palay, rice cassava, sugar cane, coffee, fruits,
vegetables, marine food products, poultry and livestocks.
b) Taxes withheld shall be remitted using BIR Form 1601-E on a monthly
basis thru the use of the Electronic Filing and Payment System (EFPS)
on the dates prescribed for e-filers. Filing shall be done on a staggered
basis provided under RR 26-2002 and payment shall be made every 15th
day following the end of the month for Jan-Nov and Jan. 20 of the
following year for the month of December.
c) Certificate of Creditable Tax Withheld at Source (BIR Form No. 2307)
shall be issued to the payees within twenty (20) days following the close
of such payees’ taxable quarter or upon demand of the payees;
d) A list of regular supplier of goods and/or services shall be submitted
on a semestral basis through e-submission facility or as an attachment
under Electronic Filing and Payment System (EFPS). Deadline for
submission of the list is not later than July 31 and January 31 of each year.
However, initial list of regular suppliers should be submitted within
fifteen (15) days from actual receipt hereof.
15) Who are considered TOP 5,000 Individual Taxpayers?
Top 5,000 Individual Taxpayers shall refer to individual taxpayers
engaged in trade or business or exercise of profession who have been
determined and notified by the Bureau of Internal Revenue (BIR) as
having satisfied any of the following criteria:
a) VAT payment or payable whichever is higher, of at least
P100,000 for the preceding year;
b) Annual income tax due of at least P200,000 for the preceding
year;
c) Total percentage tax paid of at least P100,000 for the preceding
year;
d) Gross sales of P10,000,000 and above for the preceding year;
e) Gross purchases of P5,000,000 and above for the preceding year;
f) Total excise tax payment of at least P100,000 for the preceding
year.
16) What are the obligations of Top 5,000 Individual Taxpayers?
a) In addition to the obligations of a withholding agent, Top 5,000
Individual Taxpayers shall withhold the one percent (1%) creditable
expanded withholding on the purchase of goods and two percent (2%) on
the purchase of services (other than those covered by other withholding
tax rates) from local suppliers where it regularly makes purchases.
However, casual purchase of goods shall not be subject to withholding
tax unless the amount of purchase at any one time involves P10,000 or
more, in which case, it shall then be required to withhold the tax. The
same rule apply to local/resident supplier of services other than those
covered by separate rates of withholding tax. Provided, however, that for
purchases involving agricultural products in their original state, the tax
required to be withheld shall only apply to purchases in excess of the
cumulative amount of P300,000 within the same taxable year. For this
purpose, agricultural products in their original state shall only include
corn, coconut, copra, palay, rice cassava, sugar cane, coffee, fruits,
vegetables, marine food products, poultry and livestocks.
b) Taxes withheld shall be remitted under BIR Form 1601-E on a monthly
basis thru the Electronic Filing and Payment System (EFPS) facility
within the prescribed period.
c) Certificate of Creditable Tax Withheld at Source (BIR Form No. 2307)
shall be issued to the payees within twenty (20) days following the close
of such payees’ taxable quarter or upon demand of the payees;
d) A list of regular supplier of goods and/or services shall be submitted
on a semestral basis through e-submission facility or as an attachment
under Electronic Filing and Payment System (EFPS). Deadline for
submission of the list is not later than July 31 and January 31 of each year.
However, initial list of regular suppliers should be submitted within
fifteen (15) days from actual receipt hereof.
17) Who are the responsible officials in the government offices charged with
the duty to deduct, withhold and remit withholding taxes?
The following officials are duty bound to deduct, withhold and remit
taxes:
a) For Office of the Provincial Government-province- the Chief
Accountant, Provincial Treasurer and the Governor;
b) For Office of the City Government-cities- the Chief Accountant,
City Treasurer and the City Mayor;
c) For Office of the Municipal Government-municipalities- the
Chief Accountant, Municipal Treasurer and the Mayor;
d) Office of the Barangay-Barangay Treasurer and Barangay
Captain
e) For NGAs, GOCCs and other Government Offices, the Chief
Accountant and the Head of Office or the Official holding the
highest position.