By Jun Ramirez
The Bureau of Internal Revenue (BIR) has issued a new withholding tax table on compensation, implementing the amendments in the Tax Code pursuant to the newly-approved Tax Reform for Acceleration and Inclusion (TRAIN) Law.
Revenue Memorandum Circular 105-2017 stated that “with the affectivity of the TRAIN it is imperative that a smooth transition as to withholding tax rates is ensured.”
Thus, it said “employers beginning January 1, 2018, making compensation payments to their respective employees shall deduct and withhold from such compensation a tax determined in accordance with the revised withholding tax table.”
A copy of the said table can be accessed at www.bir.gov.ph under Revenue Issuances (Revenue Memorandum Circulars).
The BIR is also set to issue revenue regulations on income, expanded withholding, value-added taxes and excise tax on petroleum.eee
It is also drafting the excise taxes on automobiles, mineral products, tobacco, sweetened beverage, cosmetic procedures, estate, donor’s , percentage and documentary stamp taxes.
The regulations on the VAT refund system will also be issued.
Tags: Bureau of Internal Revenue, compensation, Duterte administration, Manila Bulletin, Memorandum Circular 105-2017, revised withholding tax table, Rodrigo Duterte, Tax Reform for Acceleration and Inclusion, train