This return shall be filed in triplicate by operators of race tracks for remittance of withholding of percentage tax on race horse prizes and winnings on horse racing bets.

When and Where to File and Remit/Pay

The withholding tax return shall be filed/and tax paid within twenty (20) days from the date the tax was deducted and withheld.

The return shall be filed and the tax paid with any Authorized Agent Bank (AAB) located within the jurisdiction of the Revenue District Office (RDO) where the withholding agent's place of business is located. In places where there are no Authorized Agent Banks, the return shall be filed and the tax paid directly with the Revenue Collection Officer or the duly Authorized City or Municipal Treasurer within the jurisdiction of the Revenue District Office where the withholding agent's place of business is located, who shall issue Revenue Official Receipt (BIR Form No. 2524) therefore. 

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 the BIR tax payment is deposited to the account of the Bureau of Treasury. The AAB receiving the tax return / payment form shall also machine validate and stamp mark the word “Received” on the return/payment form as proof of filing the return / payment form and payment of the tax by the taxpayer. The machine validation shall reflect the date of payment, amount paid and transactions code, the name of the bank, branch code, teller’s code and teller’s initial. Bank debit advice/memo shall still be issued to taxpayers paying under the bank debit system. 

A taxpayer may file a separate return for the head office and for each branch or place of business or a consolidated return for the head office and all the branches except in the case of large taxpayers where only one consolidated return is required.

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:

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;

c. Failure to pay the full or part of the amount of tax shown on the
return, or the full amount of tax due for which no return is required to be filed on or before the due date; 

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: 

a. Willful neglect to file the return within the period prescribed by
the Code or by rules and regulations; or 

b. In case a false or fraudulent return is willfully made.

3. Interest at the rate of twenty percent (20%) per annum, or such higher rate as may be prescribed by rules and regulations, on any unpaid amount of tax, from the date prescribed for the payment until the
amount is fully paid. 

4. Compromise penalty.

Violation of Withholding Tax Provisions by a Government Officer.

Every officer or employee of the government of the Republic of the Philippines or any of its agencies and instrumentalities, its political subdivisions, as well as government-owned or controlled corporation, including the Bangko Sentral ng Pilipinas, who, under the provisions of the Code, as amended, or regulations promulgated thereunder, is charged with the duty to deduct and withhold any internal revenue tax and to remit the same in accordance with the provisions of the Code as amended, and other laws shall be guilty of any offense herein-below specified and upon conviction of each act or omission, be fined in a sum not less than five thousand pesos (P= 5,000.00) but not more than fifty thousand pesos (P= 50,000.00) or imprisoned for a term of not less than six (6) months and one day but not more than two (2) years, or both:

a) Those who fail or cause the failure to deduct and withhold any internal revenue tax under any of the withholding tax laws and implementing regulations;

b) Those who fail or cause the failure to remit taxes deducted and withheld within the time prescribed by law, and implementing regulations; and

c) Those who fail or cause the failure to file a return or statement within the time prescribed, or render or furnish a false or fraudulent return or statement required under the withholding tax laws and regulations.

If the withholding agent is the government or any of its agencies, political subdivisions or instrumentalities, or a government-owned or controlled corporation, the employee thereof responsible for the withholding and remittance of the tax shall be personally liable for the additions to the tax prescribed by the National Internal Revenue Code.

Attachment Required

Alphabetical list of payees indicating the following:

 using the format prescribed/reflected in the Tax Return (if the same be cannot be accommodated in the return).

Note: All background information must be properly filled up.
- All returns filed by an accredited tax representative on behalf of a taxpayer shall bear the following information
A. For CPAs 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.
- The last 3 digits of the 12-digit TIN refers to the branch code.
- TIN = Taxpayer Identification Number.
- The ATC in the Alphabetical List of Payees shall be taken from the List of ATCs in Part II of this form/return. 

ENCS