return shall be filed, in triplicate copies, by every resident
citizen deriving compensation income from all sources, or resident
alien and non-resident citizen with respect to compensation
income from within the Philippines, except the following:
individual whose gross compensation income does not exceed
his total personal and additional exemptions;
individual whose compensation income derived from one employer
does not exceed P60,000 and the income tax on which has
been correctly withheld;
individual whose income tax has been subjected to final
withholding tax(alien employee as well as Filipino employee
occupying the same position as that of the alien employee
of regional or area headquarters of multinational companies,
petroleum service contractors and sub-contractors, and offshore
banking units; non-resident alien not engaged in trade or
individual who is exempt from income tax.
individuals shall file a single return for the taxable year
to include the income of both spouses, separately computing
their individual income tax based on their respective taxable
compensation income.e it is impracticable for the spouses to
file one return, each spouse may file a separate return.
and Where to File
income tax return with a tax payable shall be filed with any
Authorized Agent Bank (AAB) of the Revenue District Office where
the taxpayer is required to register/where the taxpayer has
his legal residence or place of office in the Philippines. In
places where there are no AABs, the return shall be filed with
the Revenue Collection Officer or duly Authorized City or Municipal
Treasurer. If taxpayer has no legal residence or place of office
in the Philippines, the return shall be filed with the Office
of the Commisioner or Revenue District Office (RDO)
where the taxpayer is required to register/ where the taxpayer
has his legal residence or place of office in the Philippines.
returns of the taxpyers shall be filed on or before the fifteenth
(15th) day of April of each year covering income for the preceding
It is suggested, however, that the tax return be filed with
the appropriate collection agent of the Revenue District Office
where the taxpayer is required to register.)
and Where to Pay
filing this return, the total amount payable shall be paid to
the AAB where the return is filed. In places where ther are
no AABs, the tax shall be paid with the Revenue Official Receipt
(BIR Form No. 2524). When the tax due exceeds P2,000.00, the
taxpayer may elect to pay in two equal installments, the first
installment to be paid at the time the return is filed and the
second, on or before July 15 of the same year.
the return is filed with an AAB, the lower portion must be duly
machine-validated and stamped received to serve as receipt of
payment. The machine validation shall reflect the amount paid,
date of payment and transaction code whereas the stamp mark
shall show the name of the AAB, branch code, teller's code and
teller's initial. The AAB shall also issue an official receipt
as additional proof of payment.
of income tax on compensation due to the fault of the employee
shall be forfeited in favor of the government.
and Additional Exemptions
filer's civil status shall be indicated by marking with an "x"
the appropriate box. The amount of personal exemption are as
||For single individual,
widow/widower or married individual judicially decreed as
legally separated with no qualified dependents
Head of the Family
each employed married individual
the case of married individuals where only one of the spouses
is deriving gross income, only such spouse shall be allowed
the personal exemption.
additional exemption of P8,000.00 shall be allowed for each
qualified dependent child, not exceeding four(4). The additional
exemption for dependents shall be claimed by the husband, who
is deemed the head of the family unless he explicitly waives
his right in favor of his wife.
the case of legally separated spouses, additional exemption
may be claimed only by the spouse who has custody of the child
or children; Provided, that the total amount of additional exemptions
that may be claimed by both shall not exceed the maximum additional
exemptions allowed byt the Tax Code.
the taxpayer marries or should have additional dependent(s)
during the taxable year, the taxpyer may claim the corresponding
personal or additional exemption, as the case may be, in full
for such year.
the taxpayer dies during the taxable year, his estate may still
be claim the personal and additional exemptions for himself
and his dependent(s) as if he died at the close of such year.
the spouse or any of the dependents dies or if any of such dependents
marries, becomes twenty-one (21) years old or becomes gainfully
employed during the taxable year, the taxpayer may still claim
the same exemptions as if the spouse or any of the dependents
died, or as if such dependents married, became twenty-one (21)
years old or became employed at the close of such year.
Taxable Compensation Income
payment on health and/or hospitalization insurance of an individual
taxpayer does not include SSS, GSIS, Medicare and Pag-ibig Contributions,
and Union Dues of individuals.
non-business/non-professional related income reported under
"other taxable income" should reflect only the net
Payment on Health and/or Hospitalization Insurance
payment on health and/or hospitalization insurance of an individual
taxpayer, including his family, in the amount of P2,400.00 per
year, per family, may be deducted from gross income. Provided,
that said taxpayer, including his fammily, has a yearly gross
income of not more than P250,000.00 In case of marred taxpayers,
only the spouse claiming the additional exemption for dependents
shall be entitled to this deduction.
of the Family" means an unmarried or legally separated
man or woman with one or both parents, or with one or more brothers,
sisters, or with one or more legitimate, recognized natural
or legally adopted children, living with and dependent upon
him for their chief support, where such brothers or sisters
or children are not more than twenty-one(21) years of age, unmarried,
not gainfully employed, or regardless of age, are incapable
of self-support because of mental or physical defect. The term
also includes a benefactor of a senior citizen under Republic
Child" means a legitimate, illegitimate or legally adopted
child chiefly dependent upon and living with the taxpayer if
such dependent is not more than twenty-one(21) years of age,
unmarried and not gainfully employed or if such dependent, regardless
of age, is incapable of self-support because of mental or physical
shall be imposed and collected as part of the tax:
of twenty five percent (25%) for each of the following
to file any return and pay the amount of tax or installment
due on or before the due date;
otherwise authorized by the Commissioner, filing a return
with a person or office other than those with whom it
is required to be filed;
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
to pay the deficiency tax within the time prescribed
for its payment in the notice of assessment.
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:
neglect to file the return within the period prescribed
by the Code or by rules and regulations; or
case a false or fraudulent return is willfully
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.
of Income Tax Withheld on Compensation (BIR Form 2316)
of the husband's right to claim additional exemption, if
approved Tax Debit Memo, if applicable.
of Foreign Tax Credits, if applicable.
amended return, proof of payment and the return previously
No. 1 refers to the transaction perod and not the date
of filing this return.
last 3 digits of the 12-digit TIN refers to the branch
= Taxpayer Identification Number