|
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 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 supposed to pay income
tax, such tax to be paid by the individual partners.
When
and Where to File
The return shall be filed, with
or without payment, on or before the 15th day of the fourth month
following the close of the taxpayer's taxable year. This return
shall be filed with any Authorized Agent Bank(AAB) located 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 or place where its main books of accounts and
other data from which the return is prepared are kept.
In places where there are no AAB's the return shall be filed with
the Revenue Collection Officer or Duly Authorized City or Municipal
Treasurer of the municipality or city under the 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 or place
where its main books of accounts and other data from which the
return is prepared and kept.
( 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.)
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) .
Where the return is filed
with an AAB, the lower portion of the return must be duly machine-validated
and stamped received to serve as receipt of payment. The machine
validation shall reflect the amount paid, the date of payment
and the transaction code and the stamp mark shall show the name
of the AAB, branch code, teller's code and teller's initial. The
AAB may also issue an Official Receipt as additional proof of
payment.
Tax
Refund/Credit
An
excess of the total tax credits/payments over the actual income
tax due computed in the final adjusted return may be refunded
or issued with the Tax Credit Certificate to the taxpayer or credited
against his estimated income tax liabilities for the quarters
of the succeeding taxable years. The taxpayer shall exercise his
option by marking with an "x" the appropriate box, which
option shall be considered irrevocable for that taxable period.
Thus, once the taxpayer opted to carry-over and apply the excess
income tax against income tax due for the succeeding taxable year,
no application for cash refund or issuance of a tax credit certificate
shall be allowed. In case the taxpayer fails to signify his choice,
the excess payment shall be automatically carried-over to the
next taxable period.
|
|
Normal
Rate of Income Tax
Effective
January 1, 1998, the rate of income tax shall be 34%; 33% and
32% for 1999 and 2000, respectively.
In
addition to the appropriate income tax due, a tax equivalent to
10% shall be imposed on the improperly accumulated taxable income.
Minimum
Corporate Income Tax(MCIT)
A
minimum corporate income tax of two percent (2%) of the gross
income is imposed on a corporation beginning on the fourth year
immediately following the year in which such corporation commenced
its business operation, when the minimum income tax is greater
than the tax computed using the normal income tax rate. Any excess
of the minimum corporate income tax over the normal income tax
shall be carried forward and credited against the normal income
tax for the three (3) immediate succeeding taxable years.
The
MCIT shall be determined on a taxable year basis.
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:
|
| |
| |
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 amont 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.
|
Attachments
Required
1. Account Information Form (AIF) and the Certificate
of the independent CPA (The CPA Certificate is required if the
gross quarterly sales, earnings, receipts or output exceed P150,000);
2. Certificate of Income Payments not subjected to Withholding
Tax (BIR Form 2304);
3. Certificate of Creditable Tax Withheld at Source (BIR
Form 2307);
4. Duly approved Tax Debit Memo, if applicable;
5. Proof of prior year's excess credits, if applicable;
6. For amended return, proof of tax payment and the return
previously filed.
Note:
All background information must be properly filled up.
| |
•
|
No. 1 and 2 of this form refer to the 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
|
|