ORIENTATION SEMINAR

BUREAU OF INTERNAL REVENUE

RDO 17A-TARLAC CITY
 WHY SHOULD WE PAY TAXES?
Taxes are the

of the nation

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 TAXES

It is what our:

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 TAXES

It is what our:

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REGISTRATION

Every person subject to any internal revenue tax

shall register once with the appropriate Revenue
District Officer:
Within ten (10) days from date of employment, or
On or before the commencement of business, or
Before payment of any tax due, or
Before filing of a return, statement or declaration as
required
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 TYPES OF BUSINESS REGISTRATION

 Sale of goods, • Exempt transactions

properties, or services under Sec. 109 of NIRC
in the ordinary course of • VAT taxable transactions
trade or business; but gross sales/ receipts
 Sells, barters, exchanges, did not exceed
leases, or imports; P3,000,00.00;
 Associations, Foundations
 Gross sales/receipts
and similar organizations
exceed P3,000,000.00- in
NOT engaged in business.
a calendar year.

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REQUIRED TO REGISTER

 Every separate and distinct

establishment
 Principal place of business
 Branch
 Storage places/Place of Production
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 OPTIONAL REGISTRATION

For purely self-employed and/or professionals whose gross

sales/receipt and other non-operating income do not
exceed the VAT threshold of P3Million may opt for:

8% income tax on gross sales or gross

receipts in excess of P250,000 in lieu of the
graduated income tax rates and the percentage
tax under Sec. 116

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REGISTRATION OF BOOKS
Persons required to pay internal revenue taxes
shall keep and maintain the following books of
accounts.
• General Journal
• General Ledger
• Subsidiary Sales and Purchase books (for VAT Taxpayers)
• Subsidiary Ledger for the Acquisition, Purchase,
Importation of Depreciable Assets or Capital Goods (RR 16-2005)

• Register Books to be Kept by Professionals(RR 7-87)

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REGISTRATION OF BOOKS
SUBSIDIARY BOOKS
(depending on the needs of the taxpayer)

Sales Book
Purchase Book
Cash Receipt Book
Disbursements Book
Other RELEVANT and
APPROPRIATE books
Books of Accounts shall first be
registered before use.
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 BOOKS OF ACCOUNTS
DEADLINE FOR REGISTRATION
(RMC 82-2008)
FOR NEW REGISTRANTS
Before commencement of business
FOR OLD REGISTRANTS
Manual Books previously registered but whose pages are not fully exhausted can
still be used without need of re-registering
Registration of new sets shall only be at the time when the pages of the previously
registered books have all been exhausted
COMPUTERIZED BOOKS OF ACCOUNTS
January 30 of the following year
LOOSE-LEAF BOUND BOOKS
15TH day after the end of the calendar year

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 APPLICATION FOR ATP

Application for Authority to Print (ATP) shall be

submitted to CSS using BIR Form 1906.

Attachments:
 Photocopy of COR (BIR Form 2303)/1901/1903
 Sample Invoice

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INVOICING REQUIREMENTS

FOR SALE OF GOODS

Issue SALES INVOICE

FOR SALE OF SERVICES

Issue OFFICIAL RECEIPT
Revenue Regulations No. 18-2012 and Revenue Memorandum Order NO. 12-2013 in relation to Section 106, 108, 113 and other pertinent
provisions of the NIRC.

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INVOICING REQUIREMENTS

 100.00 or more
 When the customer demands
for it
 Issue single receipt at the end
of the day for those sales below
P100.00 not covered with
receipt

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INVOICING REQUIREMENTS

 Issue Invoice or Receipt

regardless of amount
 Output Tax should be
billed separately
 Indicate the NAME OF THE
BUYER and ADDRESS

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REMINDERS

Display
Certificate of
Registration
(COR)
at the
establishment
(BIR Form 2303)

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REMINDERS

Display
“Ask For
Receipt Poster”
which shall be
issued upon
release of COR

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REMINDERS

Always issue
AUTHORIZED BIR
invoices / receipts

a
a
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REMINDERS
TAX COMPLIANCE VERIFICATION

B
DRIVE (TCVD)
Revenue Officers are Books of Accounts

I
tasked to regularly
conduct Tax Invoicing

R
Mapping Operation Requirements
to check on the
taxpayers’ Registration
compliance of: Requirements

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 FILING OF RETURNS

Know your
taxability and
their deadlines to
avoid penalties!
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REGISTRATION FEE
FORM:

0605
DEADLINE:
Last day of the month
following the close of the
year.
(January 31)
AMOUNT:

P 500.00
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 REGISTRATION FEE
LATE FILING
REG. FEE P 500.00
25% SURCHARGE 125.00
12% INTEREST 1.00
COMPROMISE 1,000.00 1,126.00
TOTAL P 1,626.00
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INCOME TAX
FOR INDIVIDUAL
FORMS:
Quarterly Returns BIR FORM 1701Q
Annual Return BIR FORM 1701

DEADLINE:
First Quarter May 15 of the current year
Second Quarter August 15 of the current year
Third Quarter November 15 of the current year
Annual Return April 15 of the following year
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INCOME TAX
FOR INDIVIDUAL (cont.)
AMOUNT:
Tax Schedule effective January 1, 2018 to December 31, 2022
Not over P250,000 0%
Over P250,000 but not over P400000 20% of the excess over P250,000

Over P400,000 but not over P800,000 P30,000 + 25% of the excess over P400,000

Over P800,000 but not over P2million P130,000 + 30% of the excess over P800,000

Over P2Million but not over P8Million P490,000 + 32% of the excess over P2Million

Over P8Million P2,410,000 + 35% of the excess over P8Million

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INCOME TAX
SELF-EMPLOYED PHYSICIAN (PRIVATE PRACTICE)
Earning less than 3M gross per year
For self-employed physicians
If the gross receipts/income do not exceed Php3M VAT threshold,
the taxpayer may opt to be taxed at:

 8% of gross receipts in excess of Php250,000 in lieu of the

graduated rates and percentage tax; OR

 Use the graduated rates or the new TRAIN tax table above.
Note: The personal exemption (50,000) and additional exemption (25,000 per dependent)
and removed in the new TRAIN tax system, in exchange, all taxpayer regardless of the
number of dependents are given the first 250,000 as an exemption
 INCOME TAX
ILLUSTRATION:

Dr. Dy is a practicing internist with a total

annual gross income of Php730,000 for the
entire year, how much would be his tax due as
compared with the previous tax code from the
new TRAIN graduate rates and if he opts to
use the 8% flat tax? Note: He has 2 kids.
 INCOME TAX

ILLUSTRATION:
Ms. Dela Cruz is a pathogist. During the taxable
year 2018 her total gross recipts amounted to
Php 4,250,000.00. Her recorded cost of service
and operating expenses were Php 2,150,000.00
and Php 1,000,000.00, respectively.

Compute the income tax liability.

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INCOME TAX
COMPUTATION:

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 INCOME TAX
EMPLOYED PHYSICIAN
Doctor C is a resident doctor. He is only
earning P21,000 per month in a private
hospital. His status is employed. Meaning he is
receiving BIR form 2316 and the hospital files
for her income tax return yearly.
What is the difference of her salary now
under TRAIN from the previous income tax
system?
 RESIDENT DOCTOR - EMPLOYED

1997 Tax Code - Previous Under the TRAIN LAW

Gross Income Php 21,000/month Gross Income Php 21,000/month

Mandatory Withholding Tax ₱ 1,889.05 Mandatory Withholding Tax 0.00

Deductions Pag-IBIG ₱ 100.00 Deductions Pag-IBIG ₱ 100.00

SSS ₱ 581.30 SSS ₱ 581.30

PhilHealth ₱ 262.50 PhilHealth ₱ 288.75

TAKE HOME PAY
Doctor C now
TAX Savings
Payout Period Previous Tax Code Under the TRAIN enjoys an
Take Home Take Home additional
Php 1,862.80
Monthly ₱ 18,167.15 ₱ 20,029.95 ₱ 1,862.80 per month or
Php 22,353.60
Annually ₱ 218,005.80 ₱ 240,359.40 ₱ 22,353.60 per year.
 PERCENTAGE TAX

Applicable to all manufacturers,

traders, contractors and
brokers whose gross annual
sales/receipts do not
exceed P3,000,000.00

Persons subject to Percentage Tax under

Title V of the NIRC
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 PERCENTAGE TAX
FORM:

2551Q
DEADLINE:

25th day following the ON PROCESS

close of the quarter

AMOUNT:

3% of GROSS SALES
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 VALUE ADDED TAX (VAT)
FORM:

2550M/2550Q
DEADLINE:
every 20th day of the
following month
25th day following the
close of the quarter
AMOUNT:
12 % (OUTPUT LESS INPUT)
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX - EXPANDED

FORM:

0619E
DEADLINE: ON PROCESS
every 10th day of the
following month

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX - EXPANDED

FORM:

1601EQ
DEADLINE:
ON PROCESS
Not later than the LAST
DAY of the month
following the close of
the TAXABLE QUARTER

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX - EXPANDED
MONTH FORM DUE DATE
January 0619E February 10
February 0619E March 10
March 1601EQ + QAP April 30
April 0619E May 10
May 0619E June 10
June 1601EQ + QAP July 30
July 0619E August 10
August 0619E September 10
September 1601EQ + QAP October 30
October 0619E November 10
November 0619E December 10
December 1601EQ + QAP January 30
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX - EXPANDED
AMOUNT:
The following Income Payments are subject to Withholding
Tax at Source:
Rental 5%
Professional Fees 5% / 10%
Contractors 2%
Etc.

Issue BIR FORM 2307

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 Subject/Provision RR No. 2-98 RR No. 11-2018

Income Payments Section 2.57.2(A) Section 2.57.2(A)

Subject to Creditable
Withholding Tax
Individual Individual
Professional fees,
talent fees, etc. Gross Income is less than Gross Income is less than
for services P720,000 - 10% P3 million - 5%
rendered
Gross Income is more than Gross Income is more
P720,000 - 15% than P3 million - 10%

See Annex A1 and Annex A2

of RMC 51-2018

BUREAU OF INTERNAL REVENUE

RDO 17A – TARLAC CITY
RR 11-2018
 Section 2.57.3 of RR 11-2018

In this case, the concerned individual shall execute an

Income Payee’s Sworn Declaration of gross
receipts/sales that shall be submitted to the lone payor.
The payee’s sworn declaration shall be submitted to the
lone income payor of income before the initial payment
of income or before January 15 of each year, whichever is
applicable. On the other hand, if the individual income
payee failed to submit an income payee’s sworn
declaration to the lone income payor/withholding agent,
the income payment shall be subject to 10% withholding
tax.

BUREAU OF INTERNAL REVENUE

RDO 17A – TARLAC CITY
RR 11-2018
 SECTION 2.58. Returns and Payment of Taxes
Withheld at Source.

(B) Withholding Tax Statement for Taxes Withheld

RR No. 2-98 RR No. 11-2018
Time of Issuance of Certificate
of Taxes Withheld

BIR Form within twenty (20) days from within twenty (20) days
the close of the quarter

2307
from the close of the quarter.
employed by the payee in filing
its quarterly ITR

BIR Form On or before January 31 of the within twenty (20) days

2306
succeeding year from the close of the quarter.

Or upon request of payee Or upon request of payee

BUREAU OF INTERNAL REVENUE

RDO 17A – TARLAC CITY
RR 11-2018
 WITHHOLDING TAX - EXPANDED
FORM:
1604E
DEADLINE:
On or before March 1
following the calendar ON GOING
year.
NOTE:
The alphalists are to be
submitted in accordance with RR
1-2014 with clarification per RMC
No. 5-2014.
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX ON WAGES

Employees are subject to Withholding Tax on

Wages except:
 Those whose salary do not exceed the minimum
wage
 Those compensation income of employees of the
gov’t. with salary grades 1 to 3.

The aforementioned individuals shall remain liable to

Income Taxes and shall continue to file Income Tax Returns.

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX ON WAGES
FORM:

1601C
DEADLINE:
For the month of January to

ON GOING
November – on or before the 10th
day of the following month.

For the month of December

- On or before the 15th day of the
following month

AMOUNT:
See REVISED WITHHOLDING TAX TABLE
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 WITHHOLDING TAX ON WAGES
FORM:
1604-CF
DEADLINE:
On or before January 31
following the calendar ON GOING
year.
NOTE:
The alphalists are to be
submitted in accordance with RR
1-2014 with clarification per RMC
No. 5-2014.
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 PAYMENT

Pay on any
ACCREDITED
BANK

ON GOING

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 NO PAYMENT
Should FILE ONLINE using eBIRForms (offline package)

ON GOING

Can be downloaded on www.bir.gov.ph

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 OTHER FORMS/RETURNS
e-Submission of MAP, SAWT, SLSPI
QAP (Quarterly Alphalist of Payees)
- as attachment to BIR Forms No. 1601EQ
- deadline: Last day of the month following the close of the quarter

ANNUAL ALPHALIST OF PAYEES

- as attachment to BIR Form 1604E
ON GOING
- deadline: March 1st following the close of the taxable year

ANNUAL ALPHALIST OF EMPLOYEES

- as attachment to BIR Form 1604CF
- deadline: January 31st following the close of the taxable year

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 OTHER FORMS/RETURNS
e-Submission of MAP, SAWT, SLSPI
SAWT (Summary Alphalist of Withholding Taxes)
- as attachment to
BIR Forms No. 1700, 1701Q, 1701, 1702Q, 1702, 2550M, 2550Q, 2551M, 2553
DEADLINE: same with the deadline of your Return (depending on what form)

SLSPI (Summary List of Sales, Purchases and Importations)

DEADLINE: 25th day following end of the quarter

PENALTY of QAP, SAWT and SLSPI:

P1,000 for EACH failure to e-submit
(as per RMC 100-2017 and RMC 51-2009)

IMPORTANT:
.DAT File to be sent at esubmission@bir.gov.ph
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 OTHER FORMS/RETURNS
Submission of Hard Copy of BIR Form No. 2316

DEADLINE: 28th day of February following end of taxable year

DOCUMENTARY REQUIREMENTS:
1. Transmittal Letter with Numbered Alphabetical List of Employees signed by employer

ON GOING
2. BIR Form 2316 duly signed by employee and employer
3. Community Tax Certificate (CTC)/Cedula of each employee (write the CTC No., Place and
Date of Issue/Signed, and Amount Paid on the form)

*Submit two (2) sets - (1 for BIR and 1 for Taxpayer)

PENALTY:
-P1,000 per employee (maximum of P25,000) for LATE submission
-P1,000 per employee (maximum of P25,000) for employees WITHOUT TIN
(as per NIRC of 1997, Section 250 and 255)

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 OTHER FORMS/RETURNS
Submission of Annual Inventory List

DEADLINE:
31st day of January following end of taxable year

PENALTY: ON GOING
P1,000 (maximum of P25,000) for failure to make, file and/or submit
(as per NIRC of 1997, Section 250 and 255)

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 BUSINESS REGISTRATION UPDATES

• Change in registered address

• Change in business trade name
• Change in tax type
• Additional line of activity
• Cancellation of Registration/Retirement
of business/transfer of registration
• Other changes in registration information

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 BUSINESS REGISTRATION UPDATES

WHAT TO DO?
• Fill-up BIR Form 1905 and check appropriate
boxes
• Attached documents to support the change/s
in the application
• Submit to CSS from date of such change
• Receive duplicate copy of “Received” 1905
• Claim new BIR Form 2303 (COR)
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 Taxpayers who are temporarily
suspending their business operations
are still required to file tax returns on
time. They may indicate the phrase
“No transaction”.

Taxpayers will have to file online using

eBIRForms.
ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 CANCELLATION/RETIREMENT

WHAT TO DO?
• Fill-up BIR Form 1905 and check appropriate boxes
• Attach Retired Business Permit (Municipal, Barangay, DTI)
• Surrender Original Certificate of Registration
• Submit inventory of unused invoices for
destruction
• Letter of Application

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
FOR MORE INFORMATION…

CLIENT SUPPORT SECTION

Revenue District Office No. 17A – Tarlac City
Tel. Nos. 982-2428/982-3594
Website: www.bir.gov.ph

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY
 jm

ORIENTATION SEMINAR
BUREAU OF INTERNAL REVENUE
RDO 17A-TARLAC CITY