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Who Shall
File
Every corporation, partnership no matter how created or organized, joint stock
companies, joint accounts, associations (except foreign corporation not engaged in trade or
business in the Philippines and joint venture or consortium formed for the purpose of
undertaking construction projects or engaging in petroleum, coal, geothermal and other energy
operations), government-owned or controlled corporations, agencies and instrumentalities shall
render a true and accurate income tax return in accordance with the provisions of the Tax Code.
The return shall be filed in triplicate copies by the president, vice-president or other principal
officer and shall be sworn to by such officer and by the Treasurer or Assistant Treasurer.
Every general professional partnership shall file a return of its income setting forth the
items of gross income and of deductions and the names, TINs, addresses and shares of each of
the partners.
The general professional partnership is not required to file quarterly income tax
return/quarterly information return. It is required, however, to file annual income tax
return/annual information return (Form 1702) with Audited Financial Statements.
When and
Where to File
The corporate quarterly declaration
shall be filed with or without payment within sixty (60) days
following the close of each of the first three (3) quarters of
the taxable year whether calendar or fiscal year.
The return shall be filed with
any Authorized Agent Bank (AAB) within the territorial jurisdiction
of the Revenue District office where the taxpayer is required
to register/which has jurisdiction over the location of the principal
office of the "CORPORATION" filing the return.
In places where there are no AABs,
the return shall be filed directly with the Revenue Collection
Officer or duly Authorized City or Municipal Treasurer within
the Revenue District Office where the taxpayer is required to
register/which has jurisdiction over the location of the principal
office of the "CORPORATION" filing the return or place
where its main books of accounts and other data from which the
return is prepared and kept.
When
and Where to Pay
Upon filing this return, the
total amount payable shall be paid to the Authorized Agent Bank
(AAB) where the return is filed. In places where there are no
AABs, payment shall be made directly to the Revenue Collection
Officer or duly Authorized City or Municipal Treasurer who shall
issue a Revenue Official Receipt (BIR Form NO. 2524) therefor.
Where the return is filed with an AAB, taxpayer must accomplish and submit BIR prescribed deposit slip, which the bank teller shall machine validate as evidence that payment was received by the AAB. The AAB receiviing the tax return shall stamp mark the work "Received" on the return and also machine validate the return as proof of filing the return and payment of the tax by the taxpayer, respectively. The machine validation shall reflect the date of payment, amount paid and transaction code, the name of the bank, branch code, teller's code and teller's initial. Bank debit memo number and date should be indiciated in the return for taxpayers paying under the bank debit system.
For EFPS Taxpayer
The deadline for electronically filing and paying the taxes due thereon shall be in accordance with the provisions of existing applicable revenue issuances.
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Normal Rate
of Income Tax
The regular rates of income tax are as follows:
January 01 to October 31, 2005------------------------------32%
November 01, 2005 to December 31, 2008---------------35%
January 01, 2009 and onwards--------------------------------30%
Minimum Corporate Income Tax (MCIT)
A minimum corporate income tax (MCIT) of two percent (2%) of the gross income as of
the end of the taxable year (whether calendar or fiscal year, depending on the accounting
period employed) is hereby imposed upon any domestic corporation and resident foreign
corporation beginning the fourth (4th) taxable year immediately following the taxable year in
which such corporation commenced its business operations. The MCIT shall be imposed
whenever such corporation has zero or negative taxable income or whenever the amount of
minimum corporate income tax is greater than the normal income due from such corporation.
The computation and the payment of MCIT, shall apply at the time of filing the quarterly
corporate income tax.
Penalties
There
shall be imposed and collected as part of the tax:
| 1. |
A
surcharge of twenty five percent (25%) for each of the following
violations: |
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a. |
Failure
to file any return and pay the amount of tax or installment
due on or before the due date; |
|
b. |
Unless
otherwise authorized by the Commissioner, filing a return
with a person or office other than those with whom it is
required to be filed; |
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c. |
Failure
to pay the full or part of the amount of tax shown on the
return, or the full amont of tax due for which no return
is required to be filed on or before the due date; |
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d. |
Failure
to pay the deficiency tax within the time prescribed for
its payment in the notice of assessment. |
| 2. |
A
surcharge of fifty percent (50%) of the tax or of the deficiency
tax, in case any payment has been made on the basis of such
return before the discovery of the falsity or fraud, for
each of the following violations: |
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a. |
Willful
neglect to file the return within the period prescribed
by the Code or by rules and regulations; or |
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b. |
In
case a false or fraudulent return is willfully made. |
| 3. |
Interest
at the rate of twenty percent (20%) per annum on any
unpaid amount of tax, from the date prescribed for the payment
until the amount is fully paid. |
| 4. |
Compromise
penalty. |
Attachments
Required
1. Certificate of Income Payments not Subject to Withholding
Tax (BIR Form 2304), if applicable;
2. Certificate of Creditable Tax Withheld at Source (BIR
Form 2307), if applicable; and
3. Duly approved Tax Debit Memo, if applicable.
The quarterly
income tax return does not have to be accompanied with the Account
Information Form and/or Financial Statements.
4. Certificate of TAx Treaty/Relief, if any.
Note:
All background information must be properly filled up.
• All
returns filed by an accredited tax agent on behalf of a
taxpayer shall bear the following information:
A. For CPA's and others (individual practitioners and members of GPPs)
A.1 Taxpayer
Identification Number (TIN); and
A.2 Certificate of
Accreditation Number, Date of Issuance, and Date of Expiry
B. For members of the Philippine Bar (individual practitioners, members of GPPs)
B.1 Taxpayer
Identification Number (TIN); and
B.2
Attorney's Roll Number or Accreditation Number, if any
• Box Nos. 1, 2 and 3 refer to transaction period and not the date of filing this return.
• The last 3 digits of the 12-digit TIN refers to the branch code.
• TIN = Taxpayer Identification Number
ENCS 1702Q
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