Salient Features of Republic Act R.A. No PDF
Salient Features of Republic Act R.A. No PDF
Salient Features of Republic Act R.A. No PDF
A. INCOME TAX, FINAL WITHHOLDING TAX AND FRINGE BENEFITS TAX (FBT):
1. Increase in the authority of the Commissioner to audit and examine books of taxpayers
NOTWITHSTANDING ANY LAW REQUIRING THE PRIOR AUTHORIZATION OF ANY
GOVERNMENT AGENCY.
4. Individual employees whose annual taxable income does not exceed P250,000 shall now be
exempt from income tax. New tax rates will now range from 0% up to 35%, depending on the
income level of the said employee.
6. CHANGING THE RATE OF TAX FOR MIXED INCOME EARNERS. ALL INCOME FROM
COMPENSATION SHALL BE SUBJECT TO THE TAX PRESCRIBED UNDER SEC. 24(A).
ALL INCOME FROM BUSINESS AND/OR PROFESSION SHALL BE SUBJECT TO THE
GRADUATED TAX RATES AS PRESCRIBED UNDER SEC. 24(A) OR 8% TAX ON GROSS
SALES OR RECEIPTS AND OTHER OPERATING INCOME IN LIEU OF THE GRADUATED
TAX RATES AND PERCENTAGE TAX.
8. WINNINGS AMOUNTING TO MORE THAN P10,000 FROM PCSO AND LOTTO SHALL
NOW BE SUBJECT TO THE 20% FINAL WITHHOLDING TAX.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
10. CAPITAL GAINS FROM SALE OF SHARES OF STOCK NOT TRADED IN THE STOCK
EXCHANGE SHALL NOW BE SUBJECT TO THE 15% FINAL WITHHOLDING TAX.
11. Preferential tax treatment of 15% shall not be applicable to the employees of REGIONAL
HEADQUARTERS (RHQS), REGIONAL OPERATING HEADQUARTERS (ROHQS),
OFFSHORE BANKING UNITS (OBUS) OR PETROLEUM SERVICE CONTRACTORS AND
SUBCONTRACTORS REGISTERING WITH THE SECURITIES AND EXCHANGE
COMMISSION (SEC) AFTER JANUARY 1, 2018.
13. NON-TAXABLE 13TH MONTH PAY WAS INCREASED FROM P82,000.00 TO P90,000.
18. REDUCTION OF THE INCOME TAX RETURN TO A MAXIMUM OF FOUR (4) PAGES.
19. 2ND INSTALLMENT OF THE PAYMENT OF INCOME TAX WILL NOW BE DUE ON OR
BEFORE OCTOBER 15.
20. BEGINNING JANUARY 1, 2019, THE RATE OF CREDITABLE WITHHOLDING TAX SHALL
NOT BE LESS THAN 1% BUT NOT MORE THAN 15% OF THE INCOME PAYMENT.
21. THE RETURN FOR FINAL AND CREDITABLE WITHHOLDING TAXES SHALL BE FILED
AND PAID NOT LATER THAN THE LAST DAY OF THE MONTH FOLLOWING THE CLOSE
OF THE QUARTER DURING WHICH THE WITHHOLDING WAS MADE. THE POWER OF
THE SECRETARY OF FINANCE TO REQUIRE WITHHOLDING AGENTS TO PAY OR
DEPOSIT TAXES DEDUCTED OR WITHHELD AT MORE FREQUENT INTERVALS IS NOW
REPEALED.
22. EVERY INDIVIDUAL SUBJECT TO INCOME TAX UNDER SECTIONS 24 AND 25(A) OF
THE TAX CODE SHALL FILE HIS INCOME TAX RETURN ON OR BEFORE MAY 15.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
Note: The BIR clarified under Section 10 of Revenue Regulations (RR) No. 8-2018 that
deadline of the Annual Income Tax Return (ITR) is still not later than the fifteenth (15th) day of
the fourth month following the close of the calendar year or April 15 as provided under Section
51(C)(1) of the Tax Code, as amended.
What was changed is the filing deadline for the 1st Quarter ITR which was moved from April
15 to May 15 of each taxable year.
Under the old law, the deadline of the 1st Quarter ITR was April 15 which coincides with the
deadline for the filing of the Annual ITR.
23. FINAL Tax on Sale, Barter or Exchange of Shares of Stock Listed and Traded through the
Local Stock Exchange will increase from 1/2 of 1% to 6/10 of 1%.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
B. ESTATE TAX:
2. The rate for ESTATE TAX IS REDUCED TO A FLAT RATE OF 6% BASED ON THE VALUE
OF THE NET ESTATE.
4. IF THE CURRENT FAIR MARKET VALUE OF THE DECEDENT’S FAMILY HOME IS MORE
THAN P10,000,000, THE EXCESS SHALL AUTOMATICALLY BE SUBJECT TO ESTATE
TAX.
7. NON-RESIDENT ALIEN DECEDENT CAN NOW AVAIL THE DEDUCTION PROVIDED FOR
UNDER THE LAW EVEN IF THE RETURN DOES NOT INCLUDE HIS GROSS ESTATE NOT
SITUATED IN THE PHILIPPINES.
8. By express repeal of Sec. 89 of the NIRC, Notice of Death is no longer needed to be filed with
the Commissioner.
9. Timing of filing of the estate tax return shall now be filed within 1 year from the decedent’s
death.
10. IN CASE THE AVAILABLE CASH OF THE ESTATE IS INSUFFICIENT TO PAY THE TOTAL
ESTATE TAX DUE, PAYMENT BY INSTALLMENT SHALL BE ALLOWED WITHIN TWO (2)
YEARS FROM THE STATUTORY DATE FOR ITS PAYMENT WITHOUT CIVIL PENALTY
AND INTEREST.
11. Withdrawal to the Bank Deposit of the decedent is now allowed subject to the FINAL
WITHHOLDING TAX OF 6%.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
C. DONOR’S TAX:
1. DONOR’S TAX is now reduced to 6%, regardless whether the donee is a stranger or not.
3. Dowries or gifts made on account of marriage by parents to their children is now subject to
DONOR’S TAX.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
D. VALUE-ADDED TAX:
1. Sale of raw materials or packaging to nonresident buyer, export oriented enterprise, and those
considered as export sales under EO 226, shall be subject to the 12% VAT and no longer be
considered as Export Sale Subject to 0% upon satisfaction of the following:
5. Processing, manufacturing or repacking goods for other persons doing business outside the
Philippines which goods are subsequently exported and Services performed by
subcontractors and/or contractors in processing, converting, or manufacturing goods for an
enterprise whose export sales exceed seventy percent (70%) of total annual production WILL
BE SUBJECT TO VAT AND NO LNGER BE SUBJECT TO 0% VAT RATE UPON
SATISFACTION OF THE FOLLOWING CONDITIONS:
6. Transport of passengers and cargo by FOREIGN air or sea vessels from the Philippines to
a foreign country is now subject to VAT.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
SAID ITEMS, FOR THEIR OWN USE AND NOT FOR BARTER OR SALE,
ACCOMPANYING SUCH PERSONS, OR ARRIVING WITHIN A REASONABLE TIME.
8. BEGINNNING JANUARY 1, 2021, THE VAT EXEMPTION SHALL ONLY APPLY TO SALE
OF REAL PROPERTIES NOT PRIMARILY HELD FOR SALE TO CUSTOMERS OR HELD
FOR LEASE IN THE ORDINARY COURSE OF TRADE OR BUSINESS, SALE OF REAL
PROPERTY UTILIZED FOR SOCIALIZED HOUSING AS DEFINED BY REPUBLIC ACT NO.
7279, SALE OF HOUSE AND LOT, AND OTHER RESIDENTIAL DWELLINGS WITH
SELLING PRICE OF NOT MORE THAN TWO MILLION PESOS (P2,000,000).
10. Importation of fuel, goods and supplies by persons engaged in international shipping or air
transport operations shall be EXEPT FROM VAT PROVIDED, THAT THE FUEL, GOODS,
AND SUPPLIES SHALL BE USED FOR INTERNATIONAL SHIPPING OR AIR TRANSPORT
OPERATIONS.
11. SALE OR LEASE OF GOODS AND SERVICES TO SENIOR CITIZENS AND PERSONS
WITH DISABILITIES shall be EXEMPT from VAT.
14. SALE OF GOLD TO THE BANGKO SENTRAL NG PILIPINAS shall be EXEMPT FROM VAT.
15. BEGINNING JANUARY 1, 2019, SALE OF DRUGS AND MEDICINES PRESCRIBED FOR
DIABETES, HIGH CHOLESTEROL, AND HYPERTENSION shall be EXEMPT FROM VAT.
16. Sale or lease of goods or properties or the performance of services with gross annual sales
and/or receipts not EXCEEDING P3,000,000.00 shall be EXEMPT FROM VAT.
17. Amortization of Input VAT on Capital Goods shall only be allowed UNTIL DECEMBER 31,
2021 AFTER WHICH TAXPAYERS WITH UNUTILIZED INPUT VAT ON CAPITAL GOODS
PURCHASED OR IMPORTED SHALL BE ALLOWED TO APPLY THE SAME AS
SCHEDULED UNTIL FULLY UTILIZED.
18. The Commissioner shall grant a refund for creditable input taxes within NINETY (90) days
from the date of submission of THE OFFICIAL RECEIPTS OR INVOICES AND OTHER
DOCUMENTS. PROVIDED, THAT SHOULD THE COMMISSIONER FIND THAT THE
GRANT OF REFUND IS NOT PROPER, THE COMMISSIONER MUST STATE IN WRITING
THE LEGAL AND FACTUAL BASIS FOR THE DENIAL. PROVIDED, HOWEVER, THAT
FAILURE ON THE PART OF ANY OFFICIAL, AGENT, OR EMPLOYEE OF THE BIR TO ACT
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
19. BEGINNING JANUARY 1, 2023, THE FILING AND PAYMENT OF VAT SHALL BE DONE
WITHIN TWENTY-FIVE (25) DAYS FOLLOWING THE CLOSE OF EACH TAXABLE
QUARTER.
20. BEGINNING JANUARY 1, 2021, THE VAT WITHOLDING SYSTEM imposed upon the
Government or any of its political subdivisions, instrumentalities or agencies, including
government-owned or controlled corporations (GOCCs) shall SHIFT FROM FINAL TO A
CREDITABLE SYSTEM.
21. PAYMENTS FOR PURCHASES OF GOODS AND SERVICES ARISING FROM PROJECTS
FUNDED BY OFFICIAL DEVELOPMENT ASSISTANCE (ODA) AS DEFINED UNDER
REPUBLIC ACT NO. 8182, OTHERWISE KNOWN AS THE “OFFICIAL DEVELOPMENT
ASSISTANCE ACT OF 1996”, AS AMENDED, SHALL NOT BE SUBJECT TO THE FINAL
WITHHOLDING TAX SYSTEM.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
E. EXCISE TAX:
4. EXCISE TAX ON Lubricating oils and greases, including but not limited to, basestock for lube
oils and greases, high vacuum distillates, aromatic extracts and other similar preparations,
and additives for lubricating oils and greases, whether such additives are petroleum based or
not, per liter and kilogram, respectively, of volume capacity or weight, shall increase from
P4.50 to P8.00 (2018), P9.00 (2019) and P10.00 (2020).
5. EXCISE TAX ON Processed gas, per liter of volume capacity shall increase from P0.05 to
P8.00 (2018), P9.00 (2019) and P10.00 (2020).
6. EXCISE TAX ON Waxes and petrolatum, per kilogram, shall increase from P3.50 to P8.00
(2018), P9.00 (2019) and P10.00 (2020).
7. EXCISE TAX ON denatured alcohol to be used for motive power, per liter of volume capacity,
shall increase from P0.05 to P8.00 (2018), P9.00 (2019) and P10.00 (2020).
8. EXCISE TAX ON Naphtha, regular gasoline, PYROLYSIS GASOLINE and other similar
products of distillation, per liter of volume capacity, shall increase from P4.35 to P7.00 (2018),
P9.00 (2019) and P10.00 (2020).
9. Naphtha AND PYROLYSIS GASOLINE shall be subject to the excise tax of P0.00 when used
as a raw material in the production of petrochemical products, OR IN THE REFINING OF
PETROLEUM PRODUCTS, or as replacement fuel for natural-gas-fired-combined cycle
power plant in lieu of locally-extracted natural gas during the non-availability thereof, subject
to the rules and regulations to be promulgated by the Secretary of Finance. Provided, further,
That THE PRODUCTION OF PETROLEUM PRODUCTS, WHETHER OR NOT THEY ARE
CLASSIFIED AS PRODUCTS OF DISTILLATION AND FOR USE SOLELY FOR THE
PRODUCTION OF GASOLINE SHALL BE EXEMPT FROM EXCISE TAX.
10. EXCISE TAX ON Unleaded premium gasoline, per liter of volume capacity, shall increase
from P4.35 to P7.00 (2018), P9.00 (2019) and P10.00 (2020).
11. EXCISE TAX ON Aviation turbo jet fuel, AVIATION GAS, per liter of volume capacity, shall
increase from P3.67 to P4.00.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
12. EXCISE TAX ON Kerosene, per liter of volume capacity, shall increase from P0.00 to P3.00
(2018), P4.00 (2019) and P5.00 (2020).
13. EXCISE TAX ON Diesel fuel oil, and on similar fuel oils having more or less the same
generating power, per liter of volume capacity, shall increase from P0.00 to P2.50 (2018),
P4.50 (2019) and P6.00 (2020).
14. EXCISE TAX ON Liquefied petroleum gas, per KILOGRAM, shall increase from P0.00 to
P1.00 (2018), P2.00 (2019) and P3.00 (2020). PROVIDED, THAT LIQUEFIED PETROLEUM
GAS WHEN USED AS RAW MATERIAL IN THE PRODUCTION OF PETROCHEMICAL
PRODUCTS, SUBJECT TO THE RULES AND REGULATIONS TO BE PROMULGATED BY
THE SECRETARY OF FINANCE, SHALL BE TAXED ZERO (P0.00) PER KILOGRAM.
15. EXCISE TAX ON Asphalts, per kilogram, shall increase from P0.56 to P8.00 (2018), P9.00
(2019) and P10.00 (2020).
16. EXCISE TAX ON Bunker fuel oil, and on similar fuel oils having more or less the same
generating power, per liter of volume capacity, shall increase from P0.00 to P2.50 (2018),
P4.50 (2019) and P6.00 (2020). PROVIDED, HOWEVER, THAT THE EXCISE TAXES PAID
ON THE PURCHASED BASESTOCK (BUNKER) USED IN THE MANUFACTURE OF
EXCISABLE ARTICLES AND FORMING PART THERE OF SHALL BE CREDITED AGAINST
THE EXCISE TAX DUE THEREFROM.
17. PETROLEUM COKE, PER METRIC TON, shall now be subject to the EXCISE TAX of P2.50
(2018), P4.50 (2019) and P6.00 (2020). PROVIDED, HOWEVER, THAT, PETROLEUM
COKE, WHEN USED AS FEEDSTOCK TO ANY POWER GENERATING FACILITY, PER
METRIC TON, ZERO (P0.00).
18. FOR THE PERIOD COVERING 2018 TO 2020, THE SCHEDULED INCREASE IN THE
EXCISE TAX ON FUEL AS IMPOSED IN THIS SECTION SHALL BE SUSPENDED WHEN
THE AVERAGE DUBAI CRUDE OIL PRICE BASED ON MEAN OF PLATTS SINGAPORE
(MOPS) FOR THREE (3) MONTHS PRIOR TO THE SCHEDULED INCREASE OF THE
MONTH REACHES OR EXCEEDS EIGHTY DOLLARS (USD 80) PER BARREL.
19. THE SECRETARY OF FINANCE SHALL REQUIRE THE USE OF AN OFFICIAL FUEL
MARKING OR SIMILAR TECHNOLOGY ON PETROLEUM PRODUCTS THAT ARE
REFINED, MANUFACTURED, OR IMPORTED INTO THE PHILIPPINES, AND THAT ARE
SUBJECT TO THE PAYMENT OF TAXES AND DUTIES, SUCH AS BUT NOT LIMITED TO
UNLEADED PREMIUM GASOLINE, KEROSENE, AND DIESEL FUEL OIL AFTER THE
TAXES AND DUTIES THEREON HAVE BEEN PAID.
20. INCREASE in the Excise tax rate ranging from 4% to 50% of the NET MANUFACTURER’S
PRICE/IMPORTER’S SELLING PRICE.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
22. THERE SHALL BE LEVIED, ASSESSED AND COLLECTED A TAX EQUIVALENT TO FIVE
PERCENT (5%) BASED ON THE GROSS RECEIPTS DERIVED FROM THE
PERFORMANCE OF SERVICES, NET OF EXCISE TAX AND VALUE-ADDED TAX, ON
INVASIVE COSMETIC PROCEDURES, SURGERIES, AND BODY ENHANCEMENTS
DIRECTED SOLELY TOWARDS IMPROVING, ALTERING, OR ENHANCING THE
PATIENT‟S APPEARANCE AND DO NOT MEANINGFULLY PROMOTE THE PROPER
FUNCTION OF THE BODY OR PREVENT OR TREAT ILLNESS OR DISEASE. PROVIDED,
THAT THIS TAX SHALL NOT APPLY TO PROCEDURES NECESSARY TO AMELIORATE
A DEFORMITY ARISING FROM, OR DIRECTLY RELATED TO, A CONGENITAL OR
DEVELOPMENTAL DEFECT OR ABNORMALITY, A PERSONAL INJURY RESULTING
FROM AN ACCIDENT OR TRAUMA, OR DISFIGURING DISEASE, TUMOR, VIRUS OR
INFECTION: PROVIDED, FINALLY, THAT CASES OR TREATMENTS COVERED BY THE
NATIONAL HEALTH INSURANCE PROGRAM SHALL NOT BE SUBJECT TO THIS TAX.
23. A TAX OF SIX PESOS (P6.00) PER LITER OF VOLUME CAPACITY SHALL BE LEVIED,
ASSESSED, AND COLLECTED ON SWEETENED BEVERAGES USING PURELY
CALORIC SWEETENERS, AND PURELY NON-CALORIC SWEETENERS, OR A MIX OF
CALORIC AND NON-CALORIC SWEETENERS.
24. A TAX OF TWELVE PESOS (P12.00) PER LITER OF VOLUME CAPACITY SHALL BE
LEVIED, ASSESSED, AND COLLECTED ON SWEETENED BEVERAGES USING PURELY
HIGH FRUCTOSE CORN SYRUP OR IN COMBINATION WITH ANY CALORIC OR NON-
CALORIC SWEETENER.
26. EXCISE TAX on all nonmetallic minerals and quarry resources, shall increase from 2% to 4%
based on the actual market value of the gross output thereof at the tie of removal, in the case
of those locally extracted or produced.
27. EXCISE TAX on Copper and other metallic minerals shall increase from 2% to 4%.
28. EXCISE TAX on Gold and chromite shall increase from 2% to 4%.
30. Manufacturers AND/OR IMPORTERS are REQUIRED to Provide Themselves with Counting
or Metering Devices to Determine VOLUME OF Production AND IMPORTATION.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
1. DST on Original Issue of Shares of Stock shall increase from P1.00 on each P200.00 to P2.00
on each P200.00, or fractional part thereof, of the par value, of such shares of stock.
4. DST on Bank Checks, Drafts, Certificates of Deposit not Bearing Interest, and Other
Instruments shall increase from P1.50 to P3.00.
5. DST on All Debt Instruments shall increase from P1.00 on each P200.00 to P1.50 on each
P200.00, or fractional part thereof, of the issue price of any such debt instruments.
6. DST on All Bills of Exchange or Drafts shall increase from P0.30 on each P200.00 to P0.60
on each P200.00, or fractional part thereof, of the face value of any such bill of exchange or
draft.
7. DST Upon Acceptance of Bills of Exchange and Others shall increase from P0.30 on each
P200.00 to P0.60 on each P200.00, or fractional part thereof, of the face value of any such
bill of exchange, or order, or the Philippine equivalent of such value, if expressed in foreign
currency.
8. DST on Foreign Bills of Exchange and Letters of Credit shall increase from P0.30 on each
P200.00 to P0.60 on each P200.00, or fractional part thereof, of the face value of any such
bill of exchange or letter of credit, or the Philippine equivalent of such face value, if expressed
in foreign currency.
9. DST on Life Insurance Policies will increase ranging from P20.00 to P200.00 depending on
the amount of insurance.
10. DST on all policies of annuities, or other instruments by whatever name the same may be
called, whereby an annuity may be made, transferred or redeemed, shall increase from P0.50
on each P200.00 to P1.00 on each P200.00, or fractional part thereof, of the premium or
installment payment on contract price collected.
11. DST on pre-need plans shall increase from P0.20 on each P200.00 to P0.40 on each
P200.00, or fractional part thereof, of the premium or contribution collected.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
14. DST on each jai-alai, horse race ticket, lotto, or other authorized numbers games, shall
increase from P0.10 to P0.20. Provided, that if the cost of the ticket exceed One peso (P1.00),
an additional tax of P0.20 on every P1.00, or fractional part thereof, shall be collected.
15. DST on Bills of Lading or Receipts shall increase from P1.00 to P2.00, if the value of such
goods exceeds One hundred pesos (P100) and does not exceed One thousand pesos
(P1,000); P20.00 if the value exceeds One thousand pesos (P1,000).
16. DST on each proxy for voting at any election of officers of any company or association shall
increase from P15.00 to P30.00.
18. DST on Leases and Other Hiring Agreements shall increase from P3.00 to P6.00 for the 1st
P2,000.00, or fractional part thereof, and an additional P2.00 for every P1,000.00 or
fractional part thereof, in excess of the first Two thousand pesos (P2,000) for each year of
the term of said contract or agreement.
19. DST on Mortgages, Pledges, and Deeds of Trust shall increase as follows:
a. When the amount secured does not exceed Five thousand pesos (P5,000), P40.00.
b. On each Five thousand pesos (P5,000), or fractional part thereof in excess of Five
thousand pesos (P5,000), an additional tax of P20.00.
20. Donation of Real Property shall now be subject to DST pursuant to the following computation:
a. When the consideration, or value received or contracted to be paid for such realty, after
making proper allowance of any encumbrance, does not exceed One thousand pesos
(P1,000), Fifteen pesos (P15.00).
b. For each additional One thousand pesos (P1,000) or fractional part thereof in excess of
One thousand pesos (P1,000) of such consideration or value, Fifteen pesos (P15.00).
21. DST on Charter Parties and Similar Instruments shall increase as follows:
a. If the registered gross tonnage of the ship, vessel or steamer does not exceed one
thousand (1,000) tons, and the duration of the charter or contract does not exceed six (6)
months, from P500.00 to P1,000.00; and for each month or fraction of a month in excess
of six (6) months, an additional tax of P100.00, shall be paid.
b. If the registered gross tonnage exceeds one thousand (1,000) tons and does not exceed
ten thousand (10,000) tons, and the duration of the charter or contract does not exceed
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
six (6) months, from P1,000.00 to P2,000.00; and for each month or fraction of a month in
excess of six (6) months, an additional tax of P200.00 shall be paid.
c. If the registered gross tonnage exceeds ten thousand (10,000) tons and the duration of
the charter or contract does not exceed six (6) months, from P1,500.00 to P3,000.00; and
for each month or fraction of a month in excess of six (6) months, an additional tax of P300
shall be paid.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
a. His gross sales or receipts for the past twelve (12) months, other than those that are
exempt under Section 109(A) to (BB), have exceeded P3,000,000.00.
b. There are reasonable grounds to believe that his gross sales or receipts for the next twelve
(12) months, other than those that are exempt under Section 109(A) to (BB), will exceed
P3,000,000.00.
4. ANY PERSON TAXED UNDER SECTION 24(A)(2)(B) AND 24(A)(2)(C)(2)(A) OF THE NIRC
WHO ELECTED TO PAY THE EIGHT PERCENT (8%) TAX ON GROSS SALES OR
RECEIPTS SHALL NOT BE ALLOWED TO AVAIL the Optional Registration for Value-Added
Tax of Exempt Person.
5. All persons subject to an internal revenue tax shall, AT THE POINT OF each sale and transfer
of merchandise or for services rendered valued at P100.00 or more, issue duly registered
receipts or sale or commercial invoices.
7. WITHIN FIVE (5) YEARS FROM THE EFFECTIVITY OF RA 10963 AND UPON THE
ESTABLISHMENT OF A SYSTEM CAPABLE OF STORING AND PROCESSING THE
REQUIRED DATA, THE BUREAU SHALL REQUIRE TAXPAYERS ENGAGED IN THE
EXPORT OF GOODS AND SERVICES, TAXPAYERS ENGAGED IN E-COMMERCE, AND
TAXPAYERS UNDER THE JURISDICTION OF THE LARGE TAXPAYERS SERVICE TO
ISSUE ELECTRONIC RECEIPTS OR SALES OR COMMERCIAL INVOICES IN LIEU OF
MANUAL RECEIPTS OR SALES OR COMMERCIAL INVOICES, SUBJECT TO RULES AND
REGULATIONS TO BE ISSUED BY THE SECRETARY OF FINANCE UPON
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
9. Penalty imposed to those who Attempt to Evade or Defeat Tax was increased to A FINE OF
NOT LESS THAN FIVE HUNDRED THOUSAND PESOS (P500,000) BUT NOT MORE THAN
TEN MILLION PESOS (P10,000,000), AND IMPRISONMENT OF NOT LESS THAN SIX (6)
YEARS BUT NOT MORE THAN TEN (10) YEARS.
10. Penalty imposed to those who fail or refuse to Issue Receipts or Sales or Commercial
Invoices, Violations Related to the Printing of such Receipts or Invoices and Other Violations
was increased to A FINE OF NOT LESS THAN FIVE HUNDRED THOUSAND PESOS
(P500,000) BUT NOT MORE THAN TEN MILLION PESOS (P10,000,000), AND
IMPRISONMENT OF NOT LESS THAN SIX (6) YEARS BUT NOT MORE THAN TEN (10)
YEARS.
a. FOR THE FIRST OFFENSE, A FINE OF TWO MILLION FIVE HUNDRED THOUSAND
PESOS (P2,500,000);
b. FOR THE SECOND OFFENSE, A FINE OF FIVE MILLION PESOS (P5,000,000); AND
c. FOR THE THIRD OFFENSE, A FINE OF TEN MILLION PESOS (P10,000,000) AND
REVOCATION OF LICENSE TO ENGAGE IN ANY TRADE OR BUSINESS.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)
END Tax Advisory
14. DELIBERATE FAILURE TO ACT ON THE APPLICATION FOR REFUNDS WITHIN THE
PRESCRIBED PERIOD PROVIDED UNDER SEC. 112 is now considered as VIOLATION OF
SEC. 269 OF THE NIRC.
Whatever you do, work at it with all your heart, as working for the Lord, not for men.
(Colossians 3:23)