BIR Revenue Memorandum Circular No. 57-2014

(NAR) VOL. 25 NO. 3 / JULY - SEPTEMBER 2014

[ BIR REVENUE MEMORANDUM CIRCULAR NO. 57-2014, July 15, 2014 ]

CLARIFYING THE PROVISIONS OF REVENUE REGULATIONS NO. 1-2013 ON THE USE OF ELECTRONIC TAX REMITTANCE ADVICE

Adopted: 15 July 2014 Date Filed: 01 September 2014 BACKGROUND It has been observed that certain National Government Agencies (NGAs), with the advice of some officials and employees of Revenue District Offices of the Bureau of Internal Revenue (BIR), are utilizing manual forms of Tax Remittance Advice (TRA) for the payment of internal revenue taxes, other than withholding taxes, in violation of Joint Circular No. 1-2000 and No. 1-2000A issued by the Department of Finance and Department of Budget and Management, as implemented by Revenue Regulations (RR) No. 1-2013. The above practice by these certain NGAs defeats the objectives for the issuance of the said joint circular and further distorts the revenue collection system of the BIR.

CLARIFICATION

It is hereby clarified and, therefore, reiterated that under the provisions of RR No. 1- 2013, all NGAs are mandated to enroll with and use the Electronic Filing and Payment System (eFPS) in their filing of their applicable tax returns within the prescribed periods, as follows:

I. Regular Tax Returns Filed by NGAs BIR Due Date for Filing and Payment Form Description of the Tax Due No. Monthly Remittance Return On or before the 10th day of Income Taxes Withheld following the month in which on Compensation withholding was made, except for 1601-C taxes withheld for the month of December of each year, which shall be filed on or before January 15 of the succeeding year. 1601-E Monthly Remittance Return On or before the 10th day of Creditable Income Taxes following the month in whichWithheld (Expanded) withholding was made, except for [Except for transactions taxes withheld for the month of involving onerous transfer December of each year, which of real property classified as shall be filed on or before January ordinary asset] 15 of the succeeding year. Monthly Remittance Return On or before the 10th day of Final Income Taxes following the month on which Withheld withholding was made, except for 1601-F taxes withheld for the month of December of each year, which shall be filed on or before January 15 of the succeeding year. Quarterly Remittance Return of Final Income On or before the 10th day of 1603 Taxes Withheld on Fringe month following the quarter in Benefits Paid to Employees which the withholding was made. Other than Rank and File Monthly Remittance Return On or before the 10th day of the of Value-Added Tax and 1600 month following the month in Other Percentage Taxes which withholding was made. Withheld II. Tax Returns Filed by NGAs Exercising Proprietary Functions For all NGAs which are exercising proprietary functions, the tax returns enumerated below shall likewise be filed within the corresponding indicated periods using the Bureau’s eFPS facility. However, the taxes due thereon shall be paid through the bank debit system of the eFPS’ Authorized Agent Banks (AABs) where the NGA should be duly enrolled, and NOT through the eTRA System, considering that the tax/returns below are not available in the eTRA System for the payment of the taxes due thereon. BIR Description Due Date for Filing and Payment Form of the Tax Due Thereon No. Annual Income Tax Return for On or before the 15th day of the Corporations, Partnerships and fourth month following the close of 1702 Other Non-Individual the taxable year (calendar or fiscal) Taxpayers Annual Income Tax Return for Within sixty (60) calendar days Corporations, following the close of each of the 1702Q Partnerships and Other Non- first three (3) quarters of the Individual Taxpayers taxable year (calendar or fiscal year) Monthly Value-Added Tax On or before the 20th day after the 2550M Declaration close of the month Quarterly Value-Added Tax On or before the 25th day after the 2550Q Return close of the taxable quarter Monthly Percentage Tax Return On or before the 20th day after the 2551M close of the month2000 Documentary Stamp Tax On or before the 5th day after the Return close of the month when the transaction subject to DST occur Based on the foregoing clarifications, it should be observed in above Table No. 1 under the “Regular Tax Returns Filed by NGAs” that the eTRA System covers only the payment of withholding taxes through the eTRA generated therefrom and, therefore, does not cover other internal revenue taxes. Moreover, considering that the eTRA System is mandated to be used as the platform for the payment of the withholding taxes, it is deemed understood that manual forms of TRA are no longer needed and, therefore, prohibited to be used by NGAs, unless the use of manual TRA forms are expressly allowed by written issuance or advisory issued by the Commissioner of Internal Revenue under certain exceptional circumstances. All concerned revenue officials, employees and others concerned are hereby enjoined to give this Circular as wide a publicity as possible.

(SGD) KIM S. JACINTO-HENARES Commissioner of Internal Revenue