Revenue Memorandum Circular No. 038 – 2026


Pursuant to Section 236 of the National Internal Revenue Code of 1997, as amended (Tax Code) and its Implementing Rules and Regulations under Section 5 of Revenue Regulations (RR) No. 7-2026 and Section 5 of RR No. 15-2024, every person subject to any internal revenue tax is required to register with the Revenue District Office of the Bureau of Internal Revenue on or before the commencement of business, before payment of any tax due, or before or upon filing of any applicable tax return, statement or declaration as mandated by the Tax Code.

Moreover, Section 5(F) of RR No. 7-2024 provides for the issuance of Certificate of Registration (COR) or Electronic Certificate of Registration (eCOR) to each Head Office, Branch and Facility within the period of/time prescribed in the BIR Citizen’s Charter, upon submission of complete documentary requirements.

Section 5(G) of RR No. 7-2024 and Section 6 of RR No. 15-2024 require all persons subject to the provisions of Section 5(C) and (D) of RR No. 7-2024 (persons engaged in business or practice of profession) to post the COR or eCOR at the place where the business is conducted and at each branch and/or facility in a manner that is clearly visible to the public.

In addition, Section 5(H) of RR No. 7-2024 and Section 7 of RR No. 15-2024 further require the posting of proof of registration by sellers/merchants on their online websites, e-commerce or e-marketplace pages, and other platforms. In this regard, online businesses, sellers or merchants and service providers operating a business or with sales transactions through a website, social media or any digital or electronic means shall display conspicuously the electronic copy of their BIR COR/eCOR on their website, account or profile pages of the e-commerce platform or mobile application, where it is clearly visible and easily accessible to buyers or customers.

In line with the foregoing provisions, this Circular is hereby issued to implement the requirement under Section 5(H) of RR No. 7-2024 and Section 7 of RR No. 15-2024 on the posting of proof of registration on online websites, e-commerce or e-marketplace seller/merchant’s page, and other platforms. This requirement applies not only to online sellers of goods but also to persons engaged in providing services through digital or electronic means or with online presence, including but not limited to professionals or persons offering their services through online website, e-commerce platforms or mobile applications, bloggers, vloggers, live streamers, content creators, influencers, and individuals earning through online views, advertisements, affiliate commissions, brand sponsorships, or similar monetized digital activities.

To address taxpayers’ concerns over the online disclosure of sensitive information contained in their COR/eCOR, the BIR shall issue a BIR Registration Seal Badge (Annex A) to be displayed on the seller’s/content creator’s/online influencer’s website, online page/platforms, e-commerce shop, in lieu of the BIR COR/eCOR.

Policies and Guidelines

  1. The BIR Registration Seal Badge serves as proof of registration for businesses engaged in online selling of goods or services, and e-commerce activities. It is issued together with the BIR COR/eCOR and is intended to be posted on the taxpayer’s website, online store or platform, mobile application, social media business page, or e-commerce seller profile in lieu of posting of copy of the BIR COR/eCOR.
  2. The BIR Registration Seal Badge shall be issued [manually or electronically via the Online Registration and Update System (ORUS)] free of charge to all business taxpayers. For taxpayers engaged in online selling, online services and/or e-commerce activities, the following Philippine Standard Industrial Classification (PSIC) or Philippine Standard Occupational Classification (PSOC) code should be registered and available in their BIR COR/eCOR:

3. Both the BIR COR/eCOR and BIR Registration Seal Badge shall contain a Quick Response (QR) Code that can be verified online by scanning the QR Code using any mobile application or QR Code scanner. The QR Code will enable verification of the authenticity of the BIR COR/eCOR and validity of taxpayer’s business registration with the BIR.

4. Taxpayers are not required to replace their existing BIR COR/eCOR that does not contain a QR Code; however, they are encouraged to update or replace the same for the purposes of securing a BIR Registration Seal Badge. Taxpayers who are required to post online a proof of their BIR registration shall secure a BIR Registration Seal Badge with the Bureau’s Revenue District Office where they are registered by updating their registration information, or secure it online via ORUS by updating their registration information and paying the P30.00 Loose Documentary Stamp Tax (DST).

5. The BIR Regisrtation Seal Badge shall be posted on the following, including but not limited to:

6. To ensure consistent and proper online display of the BIR Registration Seal Badge on websites, mobile applications, online shops and e-commerce platforms, the following guidelines shall apply:

  • 6.1 Only the BIR Registration Seal Badge shall be posted on the taxpayer’s official website, mobile application, online shop, or e-commerce platform profile page.
  • 6.2 Taxpayers are not required to upload their entire registration document or the full page where the badge appears. Taxpayers may crop, scan, or extract only the BIR Registration Seal Badge image for the purpose of uploading or posting it to their official website, mobile application, online shop, or e-commerce platform profile page.
  • 6.3. The uploaded BIR Registration Seal Badge should remain clear, readable, and unaltered, preserving all design elements.
  • The posting of the BIR Registration Seal Badge must be compliant with the requirement under Item 5 above, ensuring that it is visible and easily accessible to customers as required under Section 5(H) of RR No. 7-2024 and Section 7 of RR No. 15-2024.

Government agencies, banks and financial institutions, e-commerce platforms and other relying parties may verify the validity of the BIR COR/eCOR/BIR Registration Seal Badge and taxpayer’s current registration with the BIR by scanning the QR Code on the document. When the QR Code is scanned, relying parties must ensure that the URL displayed is the official BIR verification domain or BIR link before relying on the result of verification of validity of the BIR COR/eCOR/BIR Registration Seal Badge.

The BIR COR/eCOR with QR Code and BIR Registration Seal Badge shall be available upon the issuance and publlication of this Circular on the BIR Website. A Taxpayer’s User Guide on how to generate and secure the BIR Registration Seal Badge through ORUS is provided in Annex C.

In view of the availability of BIR Form No. 1701-MS (Annual Income Tax Return for Individuals Classified as Micro and Small Taxpayers) in the Offline eBIRForms Package 7.9.6, pertinent provisions of Revenue Memorandum Circular No. 20-2026 dated March 16, 2026 is hereby amended to read as follows:

IV. GUIDELINES IN THE FILING OF BIR FORM NOS. 1701-MS, 1701 AND 1701A

In response to the inquiries raised by micro and small taxpayers regarding the filing of their AITRs, following guidelines are hereby issued to clarify the applicable procedures and provide guidelines are hereby issued to clarify the applicable procedures and provide guidance in the filing of BIR Form Nos. 1701-MS, 1701, and 1701A.

All internal revenue officials, employees, and others concerned are hereby enjoined to give this Circular as wide a publicity as possible.

This Circular is issued to announce the availability of the Offline eBIRForms Package Ver. 7.9.6.0, which can be downloaded form the BIR Website.

The Updated Offline eBIRForms Package v7.9.6.0 contains the following enhancements:

  1. Inclusion of BIR Form No. 1701-MS August 2024 [Annual Income Tax Return For Individuals Classified as MICRO or SMALL Tapayers], which shall be filed on or before the 15th of April each year covering income of the preceding taxable year. Pursuant to Revenue Memorandum Circular (RMC) No. 30-2026, the deadline for the filing of 2025 Annual Income Tax Return (AITR) is extended to May 15, 2026. Taxapayers are advised to download and install the latest version that includes improved security on efiling submission.
  2. New Alphanumeric Tax Codes (ATCs) have been added in BIR Form No. 1601-EQ, to wit:

3. Increase in character field length of Taxpayer Identification Number (TIN) Branch Code, from three (3) digits to five (5) digits branch code in all tax returns.

4. Updated tax rates, from 15% to 20%, in Schedule 1 for Foreign Currency Deposit based on the reutrn period being filed in BIR Form No. 1602Qv2018.

5. Bug fixes for the following BIR Forms: 0619E, 1601FQ, 1604F, 1702Qv2018C, 1702EXv2018, 1702MXv2018C, 1707v2021, 2000-OT and 2551Qv2018.

All internal revenue officials, employees, and others concerned are hereby enjoyed to give this Circular as wide a publicity as possible.

Implementing Executive Order No. 114, Series of 2026 “Temporarily Suspending the Excise Taxes on Specific Petroleum Products Pursuant to Section 148 of the Republic Act No. 8424 or the National Internal Revenue Code of 1997, As amended”

SECTION 1. BACKGROUND. – Section 148 of the National Internal Revenue Code of 1997, as amended (NIRC), provides that the President may, upon recommendation of the Development Budget Coordination Committee (DBCC), in coordination with the Secretary of Energy, susm=pended the imposition of, or reduce the excise taxes on fuel when the average Dubai crude oil price based on Mean of Platts Singapore (MOPS) reaches or exceeds Eighty US Dollars (USD 80.00) per barrel for one (1) month immediately preceding the issuance of the suspension or reduction order.

On April 16, 2026, President Ferdinand R. Marcos, Jr. issued Executive Order (EO) No. 114, Series of 2026 entitled “Temporarily Suspending the Excise Taxes on Specific Petroleum Products Pursuant To Section 148 of the Republic Act No. 8424 or the National Internal Revenue Code of 1997, As Ameded”.

Pursuant to the provisions of Section 244 in relation to Section 245 of the NIRC, and Section 6 of EO No. 14, series of 2026, this Revenue Regulations is hereby promulgated to implement the provisions of the EO temporarily suspending the imposition of excise taxes on Liquefied Petroleum Products (LPG), except when used as raw material for the production of petrochemical products or used for motive power, and Kerosene, except when used as aviation fuel, in accordance with Section 148 of the NIRC.

SEC. 2. SUSPENSION OF EXCISE TAXES. – Beginning April 17, 2026, the imposition of excise taxes on the following covered petroleum products is hereby suspended:

  • a. LPG, except when used as raw material for the production of petrochemical products or used for motive power; and
  • b. Kerosene, except when used as aviation fuel.

The suspension of excise taxes shall apply only to these petroleum products removed form the place of production or customs custody after the effectivity of the EO.

SEC. 3 DURATION OF THE TEMPORARY SUSPENSION AND AUTOMATIC REVERSION OF RATES. – The temporary suspension of excise taxes on the covered petroleum products shall be for a period of three (3) months from the effectivity of the EO. The suspension shall be subject to monthly review by the DBCC, which shall recommend to the President the continuation, modification, extension, or termination thereof.

The excise tax rates on the covered petroleum products shall automatically revert to the rates prescribed under Section 148 of the NIRC, without the need for further issuances, upon the occurrence of any of the following:

  • a. One (1) week after the one(1)-month average Dubai crude oil price based on MOPS falls below USD 80 per barrel, as certified by the Department of Energy; or
  • b. Upon expiration of the three months in the preceding paragraph.

SEC. 4. MONITORING AND INVENTORY REQUIREMENT – During the duration of the suspension, the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) shall submit to Congress a monthly report on the declared value and volume of the covered petroleum products based on:

  • a. For the BIR: Authorities to Release Imported Goods for imported petroleum products, and the Official Registry Books of manufacturers for locally-produced petroleum products.
  • b. For the BOC: Customs Entries filed in the E2M System.

Such monthly report shall be submitted every fifteenth day of the following month.

The Department of Finance (DOF), through the BIR and the BOC, shall conduct an inventory of existing stocks of LPG and kerosene as of the effectivity of the EO.

Revenue Officer On Premises (ROOPs) shall continue performing their duties of monitoring the activities of taxpayers in their establishments pursuant to Sections 5 and 6 of the NIRC, without prejudice to further legal action as the circumstances may warrant.

SEC 5. REPORTORIAL REQUIREMENTS. – For the effective implementation of the EO, the following guidelines shall be followed:

  • a. Submission of Returns and Reports:
    • i. Manufacturers of dometically-produced LPG and kerosene shall:
      • 1. Continue to submit the corresponding tax returns with the BIR indicating the corresponding tax rate as “zero” with remarks “EO NO. 114, SERIES OF 2026”. All other pertinent fields shall be filed out in the regular course of business; and
      • 2. Submit the corresponding Official Register Books (ORBs) per removal of LPG and kerosene products.
    • ii. Importers of LPG and kerosene products shall:
      • 1. Continue to submit corresponding tax returns to the BOC; and
      • 2. Secure the corresponding Authority to Release Imported Goods (ATRIG) with remarks “EO NO. 114, SERIES OF 2026”.
  • b. Stock Inventories. Concerned manufacturers, importers, and lessees of storage deports shall submit duly notarized inventories of all covered petroleum products as of April 16, 2026 to Excise LT Field Operations Division (ELTFOD) in the case of taxpayers registered within Revenue Region (RR) Nos. 4 (Central Luzon), 5 (CaMaNaVa and Bulacan), 6 (City of Manila and Palawan), 7A (Quezon City), 7B (East NCR), 8A (Makati City), 8B (South NCR), 9A (CaBaMiRo) and 9B (LaQueMar) or to the concerned Excised Tax Area (EXTA) in the case of taxpayers registered outside of RR Nos 4 to 9B, within ten (10) days after the effectivity of the EO, in the prescribed format in Annex “A”. These sworn statements shall likewise be subjected to verification as required under existing regulations and issuances.
  • c. Issuance of Withdrawal Certificates. All Withdrawal Certificates issued for the removal of covered petroleum products covered by the suspension shall be prominently covered petroleum products by the suspension shall be prominently stamped with the phrase “STOCKS COVERED Y EO No. 114, SERIES OF 2026”.

SEC. 6. PENALTIES. – Violations of the provisions of these Regulations, including non-compliance with the reportorial requirements, shall be subject to the corresponding penalties provided for under Title X of the NIRC, and applicable regulations.

SEC. 7. REPEALING CLAUSE. – All rules and regulations inconsistent with the provisions of these Regulations are hereby repealed or amended accordingly.

SEC. 8. EFFECTIVITY. – These Regulations shall take effect immediately following its complete publication in the Official Gazette or in the BIR Official Website, whichever comes first.

In view of the issuance of Executive Order (EO) No. 114, Series of 2026, entitled “Temporarily Suspending the Excise Taxes on Specific Petroleum Products Pursuant to Section 148 of Republic Act No. 8424, or the National Internal Revenue Code of 1997, as Amended,” this Circular is hereby issued for the information, guidance and observance of all internal revenue officials, employees, and others concerned.

EO No. 114, series of 2026, issued pursuant to Republic Act (RA) No. 12316, implements the temporary suspension of the excise taxes imposed under said provision on specific petroleum products, subject to the conditions and limitations provided therein.

Attached herewith as Annex “A” is a copy of the said EO.

For ease of reference and insofar as relevant to the functions of the Bureau of Internal Revenue, the following provisions are hereby reproduced:

“Section 1. Temporary Suspension of Excise Taxes on Specific Petroleum Products. The excise taxes on LPG, except when used as raw material for production of petrochemical products or used for motive power, and kerosene, except when used as aviation fuel, are hereby fully suspended for a period of three (3) months from effectivity of this Order.

Section 3. Automatic Reversion of Rates. The excise tax rates on petroleum products shall automatically revert to the rates prescribed under Section 148 of the NIRC, as amended, without need of further issuance, upon the occurrence of any of the following, whichever comes first:

  • i. One (1) week after the one (1)- month average Dubai crude oil price based on MOPS falls below USD 80 per barrel, as certified by the DOE; or
  • ii. Upon expiration of the duration provided under Section 2 hereof.

Section 4. Monitoring and Inventory Requirement. The DOE and the Department of Finance (DOF), through the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC), are directed to conduct an inventory of existing stocks of LPG and kerosene as of the effectivity of this Order.

The BIR and the BOC shall likewise submit to Congress monthly information on the declared value and volume of petroleum products covered by this Order.

Section 6. Implementing Guidelines. The DOF, through the BIR and the BOC, and the DOE, may issue such rules, regulations, and guidelines, as may be necessary, to effectively implement this Order and ensure compliance with requirements of RA No. 12316.”

Accordingly, all internal revenue officials and employees are hereby directed to take cognizance of the foregoing provisions and ensure compliance therewith, insofar as the same affects the administration of excise taxes on petroleum products under Section 148 of the National Internal Revenue Code of 1997, as amended.

Pending the issuance of more specific implementing rules and guidelines, all concerned offices shall be guided by the provisions of EO No. 114, Series of 2026, RA No. 12316, and existing revenue issuances on excise taxes on petroleum products.

In accordance with the implementing provision of Republic Act No. 11976 also known as “Ease of Paying Taxes (EOPT) Act” under Section 3 of Revenue Regulations (RR) No. 4-2024, this Circular is being issued to ensure an efficient and convenient process for the taxpaying public and reiterate the use of available Bureau of Internal Revenue (BIR) electronic platforms for the filing of Annual Income Tax Return (AITR) and the payment of corresponding taxes due thereon, for the Calendar Year ending December 31, 2025, on or before April 15, 2026.

I. FILING OF TAX RETURNS

Taxpayers are reminded of the existing procedures for the electronic filing of tax returns through the following BIR electronic filing platforms:

  1. Electronic Filing and Payment System (eFPS) – for taxpayers mandated to use the system or voluntarily opted to enroll shall file the AITR electronically and pay the taxes due thereon through the eFPS-Authorized Agent Banks (AABs) where they are enrolled. The AITRs availed in the eFPS are BIR Forms Nos. 1700,1701,1701A, 1702RT, 1702-EX, and 1702-MX; or
  2. Offline eBIRForms Package – for non-eFPS taxpayers, including theose filing “No Payment” returns shall use the eBIR Forms in filing their AITR electronically through the Offline eBIRForms Package v.7.9.5. The AITRs available are the following:

3. Tax Software Providers (TSPs) certified by BIR – for specific returns. For the list of TSPs and the certified BIR forms, please refer to Annex “A”.

Taxpayers submitting their tax returns through the Offline eBIR Forms Package are advised to capture a screenshot of the pop-up message indicating that a system-generated email confirmation has been sent to the taxpayer’s registered email address. The screenshot shall serve as proof of filing and successful submission of tax return, which may be presented to the AAB when paying the corresponding tax due, particularly in cases where there is a delay in the receipt of the official email confirmation that the return as been successfully filed.

Manual Filing shall only be allowed under the following instances:

  • When there is a BIR-issued Advisory on the unavailability of the said electronic filing platforms; or
  • When there is justifiable reason as may be determined by the Commissioner of the Internal Revenue or his authorized representative; or
  • When the Tax return is still unavailable in any of the aforementioned electronic filing platforms.

Taxpayers mandated to use eFPS shall use the eBIRForms facility for them to be able to comply with the electronic filing of tax returns in case filing cannot be made through the eFPS due to the following reasons:

  1. Enrollment in the BIR-eFPS and eFPS-AAB is still in process; or
  2. The enhanced form is not yet available in the eFPS; or
  3. Unavailability of eFPS-AAB systems covered by an Advisory published in the BIR Website (www.bir.gov.ph); or
  4. Unavailability of eFPS-AAB system covered by an Advisory released/published by the AAB/

II. USE OF BIR eLOUNGE FACILITY

The BIR eLounge facility of the Revenue District Offices (RDO) shall be available to all taxpayers who need assisstance in the electronic filing of their tax returns and payment of corresponding tax dues. However, priority shall be given to the following sectors:

  1. Senior Citizen or Persons with Disabilities in filing their own tax returns;
  2. Employees deriving purely compensation income from two or more employers, concurrently or successively at any time during the taxable year, or from a single employer, although the income of which has been correctly subjected to withholding tax, but whose spouse is not entitled to substituted filing;
  3. Employees qualified for substituted filing under Sec. 2.83.4 of RR No. 2-98, as amended, but opted to file an ITR and are filing for purposes of promotion, loans, scholarships, foreign travel requirements, etc.; and
  4. Taxpayers without internet facility who needs assistance in the electronic filing of their tax returns.

Priority should be given to taxpayers filing their own tax returns over tax practitioners who are filing several returns for their clients. Bookkeepers/accountants/tax practitioners/tax agents and tax payers are allowed to use the eLounge for a maximum of three (3) transactions only per day and not exceeding one (1) hour, whichever is shorter, pursuant to Revenue Memorandum Order No. 39-2024.

To ensure full utilization of the BIR eLounge Facility in the RDOs, revenue personnel assigned to assist shall accommodate taxpayers who are already withih the premised of the RDOs on or before the 5:00 PM of official working hour, regardless of jurisdiction, and shall continue to assist them until the completion of the filing of their 2025 AIRTs using the eBIRForms or eFPS, and the submission of the required attachments using the Electronic Audited Financial Statements (eAFS) systems.

III. PAYMENT OF TAXES

Consistent with existing regulations, payment of corresponding taxes due must be settled electronically in any of the following available electronic payment platforms:

  1. Electronic Filing and Payment System (eFPS) – for taxpayers mandated to use the system or voluntarily opt to enroll;
  2. Electronic Payment (ePayment) Gateways such as:
    • Land Bank of the Philippines’ (LBP) Link.Biz Portal – for taxpayers who have ATM account/s with LBP and/or holders of BancNet ATM/Debit/Prepaid Card or Taxpayer utilizing PESONet facility for depositors of Asia United Bank, Bank of the Philippine Islands, Philippine Savings Bank, Rizal Commercial Banking Corporation, Robinsons Bank and UnionBank of the Philippines;
    • UnionBank of the Philippines (UBP) Online/The Portal Payment Facilities – for taxpayers who have an account with the UBP or InstaPay using UPAY Facility (for individual Non-Account holder of UnionBank); or
    • Development Bank of the Philippines (DBP) PayTax Online – for taxpayers-holders of VISA/MasterCard Credit Card and/or BancNet ATM/Debit Card, Tax Software Provider (TSP) or through its partner TSPs, namely:
      • MyEG (using credit card or electronic wallets such as GCash, Maya, Grab Pay, or ShopeePay); and
      • MAYA (Mobile application)

Attached herein are the Guidelines in the Payment of Corresponding Taxes Due through BIR ePay Services or Annex “B”, for easy reference.

Likewise, taxpayers mandated to use eFPS but are not yet enrolled in eFPS and in any eFPS-AABs shall pay the corresponding taxes electronically through any ePAY facilities or manually through any Authorized Agent Banks (AABs), until their enrolment in the eFPS and eFPS-AABs has been approved.

Furthermore, tax payments may also be made manually through over-the-counter with any AABs under the following instances:

  • When the taxpayer electronically filed the tax return using the eBIRForms; or
  • When the enrolment of a mandated eFPS user in the eFPS-AAB is still in process; or
  • When the BIR-EFPS and/or eFPS-AAB system is unavailable.

IV. GUIDELINES IN THE FILING OF BIR FORM NOS. 1701-MS, 1701 AND 1701A

In response to the inquiries raised by micro and small taxpayers regarding the filing of their AITRs, the following guidelines are hereby issued to clarify and applicable procedures and provide guidance in the filing of BIR Form Nos. 1701-MS, 1701, and 1701A. Attached herewith is the Frequently Asked Questions marked as Annex “C” for Micro and Small Taxpayers on Filing their 2025 AITR.

  1. Individual business taxpayers classified as Micro or Small may file any of the prescribed AITR for individuals, regardless of the form type indicated in their Certificate of Registration (COR) – BIR Form No. 2303.

2. BIR Form No. 1701-MS is not yet available in the eFPS and Offline eBIRForms Package. Hence, individual taxpayers classified as Micro and Small who opted to use and file the return manually shall:

  • a. Download and accomplish the fillable BIR Form No. 1701-MS from the BIR website and print three (3) copies in legal or folio size bond paper; or
  • b. Requested three (3) copies of BIR Form No. 1701-MS at any RDO and accomplish the return manually.

3. Taxpayers classified as Micro and Small may opt to electronically file their 2025 AITR using BIR Form No. 1701 or BIR Form No. 1701 or BIR Form No. 1701A available in the eFPS and eBIRForms, whichever is applicable. Micro and Small taxpayers who already electronically filed their AITR using BIR Forms Nos. 1701 and 1701A and pais their taxes due, thereon, are no longer required to file the BIR Form No. 1701-MS manually.

4. Taxpayers classified as Medium or Large shall file electronically the AITR using BIR Form No. 1701 or 1701A, whichever is applicable.

5. In cases where Micro and Small taxpayers opt to file electronically using BIR Form No. 1701 or 1701A, they may accomplish only the minimum required fields, consistent with the information required in BIR Form No. 1701-MS, in order to simplify the filing of the AITR.

Attached herewith as Annex “D” is the Minimum Required Information in the Filinf of the AITR for Micro and Small Taxpayers Using BIR Form Nos. 1701 or 1701A.

6. IF the COR of the Micro and Small taxpayers reflects only the form “1701/1701A”, they are not required to update or change their COR to include the BIR form type 1701-MS or to reflect “1701/1701A/1701MS”.

V. SUBMISSION OF ATTACHMENTS TO FILED RETURNS

The stamping of the AITR or to have them stamped “Received” is not required. Instead, the Filing Reference Number (FRN) or the Tax Return Receipt Confirmation (TRRC) shall serve as proof of filing such AITR.

The attachement/s to the AITR, if there is/are any, shall be submitted electronically using the Electronic Audited Financial statement (eAFS)/Submission Facility. The eAFS-generated Transaction Reference Number (TRN)/ Confirmation Receipt shall serve as proof of submission by the taxpayer of the attachments to the BIR.

In case of unavailability of said facilities as announced by BIR, the attachments can be submitted manually to the BIR district office that has jurisdiction over the taxpayer.

The required attachements to the AITR are as follows:

  • FRN as proof of eFiling if eFPS;
  • TRRC as proof of eFiling in eBIRForms;
  • Proof of Payment/Acknowledgement Receipt of Payment;
  • Unaudited or Audited Financial Statements (AFS);
  • Notes to AFS;
  • Statement of Management Responsibilities (SMR);
  • BIR Form No. 2307 – Certificate of Creditable Tax Withheld at Sourcel
  • BIR Form No. 1606 – Withholding Tax Remittance Return for Onerous Transfer of Real Property Other Than Capital Asset (including Taxable and Exempt);
  • BIR Form No. 2304 – Certificate of Income Payments not Subjected to Withholding Tax;
  • BIR Form No. 2316 – Certificate of Compensation Payment/ Tax Withheld;
  • System generated Acknowledgement Receipt or Validation Report of Electronically submitted Summary Alphalist of Withholding Taxes (SAWT) thru es*********@*****ov.ph;
  • Duly approved Tax Debit Memo;
  • Proof of Foreign Tax Credits;
  • Proof of Prior Year’s Excess Credits;
  • Proof of Other Tax Credits/Payments; and
  • BIR Form No. 1709 – Information Return on Transactions with Related Party.

Only those applicable attachments mentioned above shall be submitted by the concerned taxpayers, to wit:

Companies who filed their AFS through the BIR eAFS system shall attach the system-generated TRN/Confirmation Receipt which contains a PDF document issued by the ea**@*****ov.ph confirming successful upload and contains the Company Name, TIN, Taxable Year, and files name submitted, in lieu of the manual “Received” stamp per Section 4(1) of Memorandum Circular No. 9 Series of 2026 of the Securities and Exchange Commission (SEC).

Manual submission of the attachments to the Large Taxpayers Office/Division or RDO, shall be allowed in case of system unavailability with a duly released advisory. Attachments shall be stamped only on the page of the Audit Certificate, Balance Sheet/Statement of Financial Position and Income Statement/Statement of Comprehensive Income.

VI. PENALTIES

No penalty shall be imposed for wrong venue and no penalty shall be imposed to the individual business taxpayers classified as Micro and Small for the following instances:

  1. Those who already filed 1701 or 1701A using Offline eBIRForms Package, eFPS or authorized eTSPs; and
  2. Those who filed and pay manually using BIR Form No 1701-MS.

Guidelines on the compliances of One Person Corporation (OPCs)

SECTION 1. INITIAL APPOINTMENT OF OFFICERS

The OPC must appoint its Treasurer, Corporate Secretary, and other Officers, and thereafter submit a form for Appointment for OPC (FAO) to the Commission iwthin twenty (20) days from the approval of its Certificate of Incorporation

Failure to comply with the initial appointment and timely submission of the FAO shall result in a one-time penalty of Ten Thousand Pesos (P10,000.00)

SECTION 2. SUBSEQUENT APPOINTMENT OF OFFICERS

In any instance that the single stockholder appoints an officer, the OPC must notify the Commission by filling the FAO within five (5) days from any succeeding appointment of its officers.

Non-compliance in filing of the Form for Appointment for OPC shall observe the scale of penalties as follows:

SECTION 3. SUBMISSION OF FINANCIAL STATEMENT (FS)

A. GENERAL GUIDELINES ON THE SUBMISSION OF FS BY THE OPC. The submission of Financial Statement (FS) by the OPC shall be in accordance with existing and pertinent circulars and memorandum orders issued or as may be issues by the Commission.

The AFS must be filed within 120 days from the end of the fiscal year indicated in its Articles of Incorporation/Financial Statement (FS), and/or subject to the period to be prescribed by the Commission in an annual schedule of filing of AFS. Accordingly, the AFS must conform with the existing rules and regulation, or its amendments, set forth by the Securities Regulation Code (SRC) Rule of the Commission.

Any irregularities, misstatements or misinterpretations of the AFS shall be subject to the applicable fines and penalties stated under SEC MC No. 08, series of 2009, also known as, “Scale of Fines for Non-compliance with the Financial Reporting Requirements of the Commission” or any issuance of the Commission thereafter, as the case may be.

B. EXPLANATIONS AS ATTACHMENT TO THE FS. As the case may be, the OPC’s report on all explanations or comments by the president on the qualification, reservation or adverse remarks made by the auditor in the FS, as required pursuant to Section 13 or SEC MC No. 7, Series of 2019, shall be filed annually as attachment to its FS.

C. SELF-DEALING AND RELATED PARTY TRANSACTION OF THE OPC. In cases of self-dealings and related party transactions, the OPC shall file for a disclosure of all its self-dealings and related party transactions entered into by the OPC and the single stockholder. The disclosure must be attached in the AFS/UFS. However, if there has already been substantial closure made in the Notes to AFS then said disclosure requirement may already be dispensed.

For purposes of monitoring, all registered OPCs must file its latest due AFS/UFS, in so far as applicable, as basis for the computation of fines/penalties.

SECTION 4. SCALE OF FINES AND PENALTIES FOR LATE AND/OR NON-FILING OF FS

For purposes of clarity, the following terms on the timeliness of submission of reports are accordingly defined as follows:

a. Files/Submission on Time means the punctual submission/submitting of the reportorial requirements, as prescribed by the Commission:

b. Late filing/Submission means the submission/submitting of the reportorial requirements which may either be:

  • Filing after the due date but still within a year of the prescribed deadline for filing and the computation of the monthly penalty shall not exceed twelve (12) months; or
  • Filing beyond one (1) year from the prescribed period, in which case the penalty shall be basic fine for “Non-filing” and the computation of the monthly penalty shall not exceed twelve (12) months;

c. Non-Filing means non-submission of the reportorial requirements and the computation of the monthly penalty shall not exceed twelve (12) months;

By way of amendment to SEC Memorandum Circular No. 6, Series of 2024, the following scale of penalties shall apply to the late and/or non-filing of FS by OPCs.

I. Late Filing Financial Statement for One Person Corporation

II. Non-Filing of Financial Statement for One-Person Corporation

SECTION 5. POSTING OF BOND

A. COVERAGE. OPCs whose single stockholder assumes the position of the treasurer shall post a surety bond, or other acceptable from of bond such as cash bond or property bond, in accordance with Section 10 of SEC MC No. 7, Series of 2019, subject to renewal every two (2) years or as may be required upon review of the Financial Statement (FS) or based on the latest Commission approved Amended Articles of Incorporation (AAI) in instances of appoval of an increase of authorized capital stock, as the case may be.

For property bonds, the same must be duly annotated on the corresponding certificate of title to ensure enforceability against the property. A certified copy of the title with annotation shall be submitted to the Commission.

B. BOND COVERAGE AND CERTIFICATION. The surety bond and other acceptable form of bond shall be computed based on the authorized capital stock of OPC:

A custodian fee in the amount of Five Thousand Pesos (P5,000.00) shall be charge for every posting of bond.

The OPC must secure its bond from a reputable insurance company, which must be duly registered with the conforms with the prescirbed format set forth by the Insurance Commission. The obligee must bee named before the Securities and Exchange Commission and its amount must be compliant to the table of the ACS Figures listed above. The original proof of compliance shall be submitted to the CRMD Receiving Unit/ processing Extension Office (EOs). The processing EOs will be responsible for the safekeeping of the submission of the OPC while those processed by the CRMD shall be forwarded to Financial Management Department (FMD) for safekeeping.

Upon evaluation that the bond is compliant, a Certification on the Posting of Bond shall be issued to the OPC by the CRMD – Compliance Monitoring Division (CMD)/EOs.

C. TIMELESS OF POSTING OF BOND. The following are the deadlines for posting of bond in case the single stockholder is the self-appointed treasurer at the time of incorporation:

*The biennial posting of bond is a continuing requirement should the single stockholder of the OPC remains to be its treasurer.

Non-compliance with the deadlines on posting of bond shall result to the following penalty:

*A fraction of a month shall be considered a month.

D. APPOINTMENT OF NEW TREASURER; EFFECT ON BOND REQUIREMENT. The posting of bond will no longer be required when the OPC files an amendment of its FAO reflecting therein the appointment of a new treasurer, other than that of the single stockholder.

In the event that the OPC filed a bond, the OPC may file a written request for the release of its bond (Annex B) through the CRMD-CMD/EO. The outgoing single stockholder must submit the withdrawal or release of the bond.

The Commission shall determine if the filed FAO is substantially compliant for the approval of the release of the Bond. Accordingly, the Commission shall process the request for the released bond to the OPC through the Financial Management Department (FMD) or through the respective processing EOs. In case of approval, the Commission shall direct the release of bond and transmit the respective processing EOs. In case of disapproval, the OPC shall comply with the requirements as may be ordered by the Commission.

E. CLAIMS AGAINST BOND.

  1. Any third party aggrivied may submit a written request to the CRMD-CMD/EO where the bond is in custody.
  2. The CRMD-CMD/EO shall order the concerned OPC to comment on the claim and to undertake replenishment should the claim against the bond be granted.
  3. The CRMD-CMD/EO shall forward to the company a Notice of Claim Against a Bond, upon and validity of the claim.
  4. If the company deems the claim to be valid, or determines that there is no basis for the claim, the OPC shall furnish the CRMD-CMD/EO with a copy of the findings.

If a valid claim is made against the bond, the OPC shall submit proof of replenishment of the bond amount as a condition for the single stockholder to continue serving as treasurer; otherwise, it shall comply with the requirements and a procedure provided under Section 5(D) of this Memorandum Circular.

SECTION 6. COMPLIANCE WITH SEC MEMORANDUM CIRCULAR NO. 27, SERIES OF 2020

OPCs incorporated before 18 December 2023 who failed to comply with the provisions of SEC Memorandum Circular No. 28, series of 2020 shall be subjected to a one-time penalty as provided for under the said Memorandum Circular and any amendments thereof.

SECTION 7. BY-LAWS

As provided for under Section 119 of the RCC, submission of by-laws is not required for OPCs.

SECTION 8. TRANSITORY PROVISION

I. EXISTING OPCs with no Filings of Appointment of Officers

All existing registered OPCs with no filings of Appointment of Officers and whose single shareholder who also assumes the position of the treasurer shall be given 30 days form the date of effectivity of this Memorandum Circular to comply with the necessary posting of the bonds, as the case may be. Otherwise, the necessary fines and penalties may be imposed. Additionally, those applicable OPCs who posted the necessary bonds with the Commission are directed to ensure their compliance are still valid and up to date.

II. OPCs Monitored but with No Penalty Imposed

OPCs that have been previously monitored for failure to timely post the required bond or for the late filing of their Appointment of Officers, but for which no penalties have yet been imposed, shall be assessed a penalty of Five Thousand Pesos (P5,000.00).

Upon payment of the penalty, the OPC shall not be considered as having committed a first offense. Thus, any subsequent violation shall still be treated and penalized as a first offense under the applicable rules.

III. OPCs with Pending Monitoring Applications

OPCs with pending monitoring applications as the date of effectivity of this Memorandum Circular shall no longer be processed under the previous guidelines. Should OPCs wish to continue, they must file a new monitoring request and shall be evaluated under the provisions of this Memorandum Circular.

IV. Adjustment of the Audit Threshold

Pursuant to Sec. 13 of SEC MC No. 7 Series of 2019, an Audited Financial Statements (AFS) must be prepared for OPCs with total assets/total liabilities of P600,000.00 or more. On the other hand, for OPCs with total assets/total liablilities of less than P600,000.00, an unaudited financial statement (UFS) may be prepared and certified under oath by the President and the Treasurer. The UFS must also be filed with 120 days from the end of the fiscal year indicated and its Articles of Incorporation, subject to the period to be prescribed by the Commission in an annual schedule of filing of AFS.

Effective for fiscal years ending on or after 31 December 2025, the audit threshold has been adjusted to Three Million Pesos (P3,000,000.00) pursuant to SEC MC No. 04, Series of 2026. Only OPCs with total assets or liabilities exceeding P3,000,000.00 are now required to submit an AFS. OPCs at or below this new threshold may submit financial statements accompanied by a Statement of Managements’ Responsibility (SMR) signed under oath by the President and Treasurer.

The Commission, hereby issues and prescribes the following guidelines on the filing of AFS and GIS for 2026:

Section 1. Deadline of Submission. All corporations, including branch offices, representative offices, regional headquarters and regional operating headquarters of foreign corporations, whose fiscal years end on 31 December, shall file their AFS through the SEC Electronic Filing and Submission Tool (eFAST). The deadline for filing of the AFS shall be on 29 May 2026.

All corporations under the jurisdiction of the SEC Extension Offices shall be governed by the same schedule in 2026.

Section 2. Corporations with Different Filing Schedule. The filing schedule prescribed in Section 1 hereof shall not apply to the following corporations:

  • (a)Those whose fiscal years end on a date other than 31 December. These entities shall file their AFS within 120 calendar days from the end of their respective fiscal years;However, for brokers and dealers whose fiscal years end on 31 December, SEC Form 52-AR shall be filed with the Commission on 30 April 2026. Brokers and dealers whose fiscal years end on a date other than 31 December shall file SEC Form 52-AR 110 calendar days after the close of their respective fiscal years;
  • (b)Those whose securities are listed on the Philippine Stock Exchange (PSE), those whose securities are registered but not listed on the PSE, those considered as public companies, and other entities covered under Section 17.2 of the Securities Regulation Code (SRC)shall file their AFS within 105 calendar days after the end of fiscal year, as attachment to their Annual Reports (SEC Form 17-A), in accordance with the Implementing Rules and Regulations of the SRC (SRC-IRR). Non-listed registered issuers of securities which filed SEC Form 17-EX (Notification of Suspension of Duty to File reports under Section 17 of the SRC) for 2026 shall observe the AFS filing period as prescribed in Section 1 or Section 2(a) of this Memorandum Circular, as applicable; and
  • (c)Those whose AFS are being audited by the Commission on Audit (COA), provided that the following documents are attached to their AFS:
    • (c.1)An affidavit signed by the President and Treasurer (or Chief Finance Officer, where applicable) attesting to the fact that the company timely provided the COA with the financial statements and supporting documents,and that the audit of the COA has just been concluded; and
    • (c.2) A letter from the COA confirming the information provided in theabove affidavit

Section 3. Late Filings. Late filings or submissions after 29 May 2026 shall be subject to the applicable penalties.

Section 4. Requirements in the Submission of AFS. The submission of AFS shall be accompanied by the following requirements:

  1. The AFS to be submitted, other than the consolidated financial statements, shall be stamped “received” by the Bureau of Internal Revenue (BIR). For companies, which filed their AFS through the BIR e-AFS system, they shall attach the system-generated Transaction Reference Number/ConfirmationReceipt which contains a PDF document issued by th*****@*****ov.phconfirming successful upload and contains the Company Name, TIN, Taxable Year, and file names submitted;
  2. The AFS shall include the basic components prescribed under Revised SRC Rule 68. Failure to comply with any of the formal requirements under said Rule, including any material deficiency or misstatement that may be found upon evaluation of the specific contents thereof, shall be considered a sufficient ground for the imposition of penalties by the Commission. The acceptance and receipt by the Commission of the financial statements shall be without prejudice to such
    penalties;
  3. The following shall submit annual audited financial statements (AAFS), as provided under the general financial reporting requirements stated in Revised SRC Rule 68, which was approved by the Commission En Bancon 19 August 2019, and SEC MCNo. 4, series of 2026:
  • Stock corporationswith total assets or total liabilities ofmore than Three Million Pesos (P3,000,000.00), as prescribed under the RCC and any of its subsequent revisions or such amount as may be subsequently prescribed;
  • Non-stock corporations with total assets or total liabilities of more than Three Million Pesos (P3,000,000.00), as prescribed under the RCC and any of its subsequent revisions or such amount as may be subsequently prescribed;
  • Branch offices/representative offices of stock foreign corporations with assigned capital in the equivalent amount of One Million Pesos (P1,000,000.00) or more;
  • Branch offices/representative offices of non-stock foreign corporation with total assets in the equivalent amount of One Million Pesos (P1,000,000.00) or more;and
  • Regional operating headquarters of foreign corporations with total revenues in the equivalent amount of One Million Pesos (P1,000,000.00) or more.

    Financial statements of branch offices of foreign corporations licensed to do business in the Philippines by the Commission shall comply with the requirements of this Rule,unless otherwise determined by the Commission;

4. Corporations which do not meet the thresholds stated in Item 3 herein may submit their AFS, accompanied by a Statement of Management’s Responsibility (SMR), signed under oath as follows:

  • For stock and non-stock corporations: by the Chairman of the Board, President or Chief Executive Officer, and Treasurer or Chief Financial Officer, all duly authorized by the Board of Directors;
  • For One Person Corporations(OPCs): by the President and Treasurer.

    In the absence of the authorized signatories, the Board of Directors may expressly delegate such authority to a specific officer or director vested with equivalent authority.

Section 5. Filing of General Information Sheet (GIS). All corporations shall file with the Commission, through eFAST, their GIS within thirty (30)calendar days from:

  • For Stock Corporations-the date of actual annual stockholders’ meeting;
  • For Non-stock Corporations-the date of actual annual members’ meeting;
  • For Foreign Corporations-the anniversary date of the issuance of their respective SEC licenses.

Section 6. Submission of SEC Form for Appointment of Officers (For One Person Corporations Only). The OPC-Appointment of Officers (OPC-AO) Form prescribed by the Commission shall be submitted within fifteen (15) days from the date of issuance of the OPC’s Certificate of Incorporation or within five (5)days from when the change was reflected (SEC MC No. 7, series of 2019)

Section 7. Submission of Annual Reports in eFAST. All corporations, both stock and non-stock, are required to file their annual reportorial requirements through eFAST, at the eFAST website following the deadline specified in Section 1, in the case of AFS submissions. All filers of GIS and AFS, regardless of the number of reports to be filed with the Commission, shall be accommodated through eFAST.

Other reports not yet accepted through eFAST shall be submitted through the iMessage Online Ticketing System. Submission of reports through email, mail, courier and/or over the counter shall no longer be accepted.

Inquiries and concerns in the enrollment and submission of annual reports in eFAST shall be accommodated through the iMessage Online Ticketing System and telephone numbers provided in the SEC Contact Center.

Section 8. Acceptance of the Report. The Commission shall accept all reports filed through eFAST regardless of their form and contents. The responsibility for ensuring the accuracy and completeness of the reports lies with the filers or the authorized signatories.

Reports maybe reverted for any of the following reasons:

  • Poor image quality (e.g.,blurred and unreadable);
  • Wrong page orientation;
  • Wrong Company Profile;
  • Wrong period covered and submission type; or
  • Any submission found to contain erroneous or incorrect report filed.

AFSsubmitted via eFAST are automatically received and issued a QR Code, subject to post review.

Section 9. eFAST Operating Hours. The eFAST shall be open twenty-four (24) hours. However, all review, acceptance and reversion shall be done only from Mondays to Fridays. Submissions made on a Saturday, Sunday, holiday or during work suspension shall be considered filed on the next working day

Non-listed registered issuers and non-listed public companies that timely filed their SEC Form 17-L (Notification of Inability to File All or Any Portion of SEC Form 17-A or 17-Q) to extend the submission of their SEC Form 17-A (Annual Report) or SEC Form 17-Q (Quarterly Report),pursuant to Rule 17.1.1.6.2.2 of the SRC-IRR, shall strictly observe the respective 15-and 5-calendar day extension period for the said reports,such that if the last day of the said extension period falls on a Saturday, Sunday, holiday or during work suspension, the Annual or Quarterly Report shall be filed no later than the last working day within the respective 15- and 5-calendar day extension period.

Section 10. Date of Receipt of the Report.The reckoning date for the receipt of reports is the date they are initially submitted through eFAST, if the filed report is compliant with the requirements stated above.

A report, which is reverted, is considered not filed or not received. A notification will be sent to the filer, stating the reason for the rejection of the report based on the reasons stated in Section 8 of these Circular.

All reportorial requirements submitted shall be subject to review by the Commission, and if warranted, appropriate penalties may be imposed for violation of existing laws, rules and regulations.

Section 11. Requirement to Engage SEC-Accredited External Auditors. Pursuant to the requirements of the Revised SRC Rule 68, all corporations under Part 1, Section 3 (B) thereof are required to engaged SEC-accredited external auditors under the appropriate accreditation category.

Section 12. Repealing Clause. All other circulars, memoranda and implementing rules and regulations inconsistent with the foregoing provisions shall be deemed modified or amended accordingly.

Section 13. Effectivity. This Memorandum Circular shall take effect immediately after publication in two newspapers of general and national circulation.

This Circular is issued to reiteriate, ans clarify existing policies on the registration of Permanently Bound Loose-Leaf Books of Accounts and Computerized Books of Accounts, and to announce the extension of registration deadlines due to intermittent technical issues affecting the ORUS.

I. Mandatory Registration Through ORUS

Pursuant to Revenue Memorandum Circular No. 3-2023, and considering that ORUS has been fully implemented nationwide since 2023, the registration of Permanently Bound Loose-Leaf Books of Accounts and Computerized Books of Accounts shall be strictly and mandatorily completed online through ORUS within the prescribed deadlines, unless an extension is granted by the Commissioner of Internal Revenue is duly authorized representative, upon representative, upon request of the taxpayer filed before the lapse of the original period.

After successful registration via ORUS, a QR Code stamp shall be generated, which can be validated online.

  1. For Permanently Bound Loose-Leaf Books of Accounts, the QR Code shall be affixed to the first page of the bound books.
  2. For Computerized Books of Accounts, the QR Code shall be printed and kept for record purposes.

II. Manual Registration; Exceptional Cases

In cases of system downtime or technical errors that prevent online registration through ORUS, taxpayers may be allowed to submit their application for registration manually (for stamping) at the RDO of the Head Office or Branch Office where the taxpayer’s TIN or Branch in registered.

Manual registration shall be accepted only upon compliance with any of the following conditions:

  1. An official advisory of ORUS system unavailability has been issued; or
  2. A screenshot of the error message encountered during the online registration process is presented.

III. Records Not Covered by ORUS Registration

The registration of Loose-Leaf Invoices, Receipts, and other accounting records shall continue to be processed manually at the concerned RDO, as these transactions are not yet available online through ORUS.

IV. Extension of Registration Deadlines

Due to intermittent log-in connectivity issued experienced by ORUS arising from ongoing technical concerns, the deadlines for registration are hereby extended as follows:

V. Compliance

Taxpayers are enjoined to comply strictly with the foregoing requirements within the extended deadlines to avoid the imposition of penalties under existing revenue laws, rules, and regulations.

Further amending the “De Minimis” Benefits Provisions of Revenue Regulations (RR) No. 2-98 as Amended, Increasing the Ceiling of Non-Taxable Benefits

Pursuant to Sections 4 and 244 in relation to Section 33 of the Tax Code of 1997, these regulations are hereby promulgated to further amend RR No. 2-98, as amended by RR No. 004-2025, with respect to “De Minimis” benefits which are exempt from income tax on compensation as well as from fringe benefit tax.

Section 1. Section 2.78.1 of RR No. 2-98, as amended by RR No. 004-2025, is hereby further amend to read as follows:

“Section 2.78.1. Withholding of Income Tax on Compensation Income

(A) Compensation Income Defined.

(3) Facilities and privileges of relatively small value

  • Monetized unused vacation leave credits of private employees not exceeding twelve (12) days during the year;
  • Monetized value of vacation and sick leave credits paid to government officials and employees;
  • Medical cash allowance to dependents of employees not exceeding P2,000.00 per employee per semester or P333.00 per month;
  • Rice subsidy of P2,500.00 or more (1) sack of 50 kg. rice per month amounting to not more than P2,500.00;
  • Uniform and clothing allowance not exceeding P8,000.00 per annum;
  • Actual medical assistance, e.g., medical allowance to cover medical and healthcare needs. Annual medical/executive checl-up, maternity assistance, and routine consultations not exceeding P12,000.00 per annum;
  • Laundry allowance not exceeding P400.00 per month;
  • Employee’s achievement awards, e.g., for length of service or safety achievement, in any form, whether cash, gift certificate, or any tangible personal property, with an annual monetary value or not exceeding P12,000.00 received by the employee under an established written plan which does not discriminate in favor of highly paid employees;
  • Gifts given during Christmas and major anniversary celebrations not exceeding P6,000.00 per employee per annum;
  • Daily meal allowance for overtime work and night/graveyard shift not exceeding thirty percent (30%) of the basic minimum wage on a per region basis; and
  • Benefits received by an employee by virtue of a collective bargaining agreement (CBA) and productivity incentive scheme provided that the total annual monetary combined value received from both CBA and productivity incentive schemes combined do not exceed twelve thousand pesos (12,000.00) per employee per taxable year.

Section 2. REPEALING CLAUSE – All existing rules and regulations and other issuances or parts thereof which are inconsistent with the provisions of these Regulations are hereby amended, modifies or repealed accordingly.

Section 3. EFFECTIVITY – These Regulations shall take effect after fifteen (15) days following its publication in the Official Gazette or in the BIR Official Website, whichever comes first.

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