BACAYO,JENIFER BORJA

BSBA MARKETING MANAGEMENT

Course Packet # : 2

Module Name : Income Tax Documentary Requirements

Worksheet no. 2

A. Research and copy-paste the BIR forms discussed on course packet 2

BIR Form 1700 - Annual Income Tax For Individuals Earning Purely Compensation Income

(Including Non-Business/Non-Profession Related Income)

BIR Form 1701 - Annual Income Tax Return Individuals, Estates and Trusts

Documentary Requirements

BIR Form No. 1701Q

Quarterly Income Tax Return for Individuals, Estates and Trusts

This return shall be filed in triplicate by the following individuals regardless of amount of gross

income:

1) A resident citizen engaged in trade, business, or practice of profession within and without the

Philippines.

2) A resident alien, non-resident citizen or non-resident alien individual engaged in trade,

business or practice of profession within the Philippines.

3) A trustee of a trust, guardian of a minor, executor/administrator of an estate, or any person

acting in any fiduciary capacity for any person, where such trust, estate, minor, or person is

engaged in trade or business.

BIR Form No. 1702-EX

Annual Income Tax Return For Corporation, Partnership and Other Non-Individual Taxpayer

EXEMPT Under the Tax Code, as Amended, {Sec. 30 and those exempted in Sec. 27(C)} and

Other Special Laws, with NO Other Taxable Income

This return shall be filed by a Corporation, Partnership and Other Non-Individual

Taxpayer EXEMPT under the Tax Code, as amended [Sec. 30 and those exempted in Sec.

27(C)] and other Special Laws WITH NO OTHER TAXABLE INCOME such as but not
limited to foundations, cooperatives, charitable institutions, non-stock and non-profit educational

institutions, General Professional Partnership (GPP) etc.

BIR Form No. 1702-MX

Annual Income Tax Return for Corporation, Partnership and Other Non-Individual with MIXED

Income Subject to Multiple Income Tax Rates or with Income Subject to

SPECIAL/PREFERENTIAL RATE

BIR Form No. 1702Q

Quarterly Income Tax Return for Corporations, Partnerships and Other Non-Individual

Taxpayers

This return is filed quarterly by every corporation, partnership, 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.

BIR Form No. 1709

Information Return on Transactions with Related Party (International and/or Domestic)

Description

This information return and its supporting documents shall be filed as an attachment to the

Annual Income Tax Return. This is to ensure that proper disclosures of related party transactions

are made and that these transactions have been conducted at arm’s length so as to protect the tax

base. An entity’s financial statements shall contain the disclosures necessary to draw attention to

the possibility that its financial position and profit or loss may have been affected by the

existence of related parties and by transactions and outstanding balances, including

commitments, with such parties.

BIR Form No. 2316

Certificate of Compensation Payment / Tax Withheld For Compensation Payment With or

Without Tax Withheld

A Certificate to be accomplished and issued to each employee receiving salaries, wages and
other forms or remuneration by each employer indicating therein the total amount paid and the

taxes withheld therefrom during the calendar year. This Certificate in turn should be attached to

the Annual Income Tax Return (BIR Form 1700 - for individuals receiving purely compensation

income, or BIR Form 1701 for individuals with mixed income).

BIR Form No. 2304

Certificate of Income Payment Not Subject to Withholding Tax (Excluding Compensation

Income)

A Certificate to be accomplished and issued by a Payor to recipients of income not subject to

withholding tax. This Certificate should be attached to the Annual Income Tax Return - BIR

Form 1701 for individuals, or BIR Form 1702 for non-individuals.

BIR Form No. 2306

Certificate of Final Tax Withheld at Source

A Certificate to be accomplished and issued by a Payor/WA to each recipient of income

subjected to final tax. The column amount of payment should indicate the total amount paid and

the total taxes withheld and remitted during the period.

BIR Form No. 2307

Certificate of Creditable Tax Withheld at Source

A Certificate to be accomplished and issued to recipients of income subject to expanded

withholding tax paid by a Payor/Withholding Agent including government money payments

made by a government office showing therein the monthly breakdown of the total income

payments made and the total taxes withheld and remitted during the quarter/period.

For EWT - This Certificate in turn should be attached to the Quarterly/Annual Income Tax

B. Enumerate the applications and purpose of all the BIR forms discussed on course

packet 2.

BIR Form 1700

Documentary Requirements

1. Certificate of Income Tax Withheld on Compensation (BIR Form 2316)

2. Duly approved Tax Debit Memo, if applicable

3. Proofs of Foreign Tax Credits, if applicable

4. Income Tax Return previously filed and proof of payment, if filing an amended return for

the same taxable year.

Procedures

1. For Electronic Filing and Payment System (eFPS) Filer

a. Fill-up applicable fields in the BIR Form No. 1700

b. Pay electronically by clicking the "Proceed to Payment" button and fill-up the

required fields in the "eFPS Payment Form" click "Submit" button.

c. Receive payment confirmation from eFPS-AABs for successful e-filing and e-

payment.

2. For Non-eFPS Filer

a. Fill-up applicable fields in the BIR Form No. 1700 in the downloaded Electronic Bureau

of Internal Revenue Form (eBIRForm) Package

b. Print the duly accomplished BIR Form No. 1700

c. Proceed to the nearest Authorized Agent Bank (AAB) under the jurisdiction of the

Revenue District Office where you are registered and present the duly accomplished BIR

Form 1700, together with the required attachments and your payment.

d. In places where there are no AABs, proceed to the Revenue Collection Officer or duly

Authorized City or Municipal Treasurer located within the Revenue District Office where

you are registered and present the duly accomplished BIR Form 1700, together with the

required attachments and your payment.

e. Receive your copy of the duly stamped and validated form from the teller of the

AABs/Revenue Collection Officer/duly Authorized City or Municipal Treasurer.

3. For Manual Filer

a. Fill-up the BIR Form No. 1700 in triplicate copies.

b. Proceed to the Revenue District Office where you are registered or to any Tax Filing

Center established by the BIR and present the duly accomplished BIR Form 1700,

together with the required attachments.

c. Receive your copy of the duly stamped and validated form from the RDO/Tax Filing

Center representative.

Deadline

On or before the 15th day of April of each year covering taxable income for calendar year 2018

and thereafter

BIR Form 1701

Documentary Requirements

1. Certificate of Income Tax Withheld on Compensation (BIR Form 2316), if applicable

2. Certificate of Income Payments Not Subjected to Withholding Tax (BIR Form 2304), if

applicable

3. Certificate of Creditable Tax Withheld at Source (BIR Form 2307), if applicable

4. Duly approved Tax Debit Memo, if applicable

5. Proof of Foreign Tax Credits, if applicable

6. Income Tax Return previously filed and proof of payment, if filing an amended return for

the same year

7. Account Information Form (AIF) or the Certificate of the independent Certified Public

Accountant (CPA) with Audited Financial Statements if the gross annual sales, earnings,

receipts or output exceed three million pesos (P3,000,000.00)

8. Account Information Form or Financial Statements not necessarily audited by an

independent CPA if the gross annual sales, earnings, receipts or output do not exceed

P3,000,000.00 and is subject to graduated income tax rates under Section 24(A)(2)(a)

9. Proof of prior year’s excess tax credits, if applicable

Procedures

1. For eFPS Filer

a. Fill-up applicable fields in the BIR Form No. 1701

b. Pay electronically by clicking the “Proceed to Payment” button and fill-up the

required fields in the “eFPS Payment Form” then click “Submit” button.

c. Receive payment confirmation from eFPS-AABs for successful e-filing and e-

payment.
2. For Non-eFPS Filer

a. Fill-up fields in the BIR Form No. 1701 in the downloaded Electronic Bureau of

Internal Revenue Form (eBIRForm) Package

b. Print the duly accomplished BIR Form No. 1701

c. Proceed to the nearest Authorized Agent Bank (AAB) under the jurisdiction of the

Revenue District Office where you are registered and present the duly

accomplished BIR Form 1701, together with the required attachments and your

payment.

d. In places where there are no AABs, proceed to the Revenue Collection Officer or

duly Authorized City or Municipal Treasurer located within the Revenue District

Office where you are registered and present the duly accomplished BIR Form 1701,

together with the required attachments and your payment.

e. Receive your copy of the duly stamped and validated form from the teller of

the AABs/Revenue Collection Officer/duly Authorized City or Municipal

Treasurer.

3. For Manual Filer

a. Fill-up the BIR Form No. 1701 in triplicate copies.

b. Proceed to the Revenue District Office where you are registered or to any Tax

Filing Center established by the BIR and present the duly accomplished BIR Form

1701, together with the required attachments.

c. Receive your copy of the duly stamped and validated form from the RDO/Tax

Filing Center representative.

Deadline

Final Adjustment Return or Annual Income Tax Return - On or before the 15th day of April of

each year covering income for calendar year 2018 and thereafter

BIR Form No. 1701A

The return shall be filed by individuals earning income PURELY from trade/business or from the

practice of profession, to wit:

1. A resident citizen (within and without the Philippines);

2. A resident alien, non-resident citizen or non-resident alien (within the Philippines).

The return shall only be used by said individuals as follows:

A. Those subject to graduated income tax rates and availed of the optional standard deduction as

method of deduction, regardless of the amount of sales/receipts and other non-operating income;

OR

B. Those who availed of the 8% flat income tax rate whose sales/receipts and other non-

operating income do not exceed P3M

Filing Date

This return is filed on or before April 15 of each year covering income for the preceding taxable

year.

BIR Form No. 1701Q

This return shall be filed in triplicate by the following individuals regardless of amount of gross

income:

1) A resident citizen engaged in trade, business, or practice of profession within and without the

Philippines.

2) A resident alien, non-resident citizen or non-resident alien individual engaged in trade,

business or practice of profession within the Philippines.

3) A trustee of a trust, guardian of a minor, executor/administrator of an estate, or any person

acting in any fiduciary capacity for any person, where such trust, estate, minor, or person is

engaged in trade or business.

BIR Form No. 1702-EX

This return shall be filed by a Corporation, Partnership and Other Non-Individual

Taxpayer EXEMPT under the Tax Code, as amended [Sec. 30 and those exempted in Sec.

27(C)] and other Special Laws WITH NO OTHER TAXABLE INCOME such as but not

limited to foundations, cooperatives, charitable institutions, non-stock and non-profit educational

institutions, General Professional Partnership (GPP) etc.

Filing Date

This return is filed on or before the 15th day of the 4th month following the close of the

taxpayer'staxable year.
BIR Form No. 1702-MX

This return shall be filed by every Corporation, Partnership and Other Non-Individual Taxpayer

with MIXED Income subject to MULTIPLE INCOME TAX RATES or with income subject to

SPECIAL/PREFERENTIAL RATE.

Filing Date

This return is filed, with or without payment, on or before the 15th day of the 4th month

following the close of the taxpayer's taxable year.

BIR Form No. 1702Q

This return is filed quarterly by every corporation, partnership, 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.

Filing Date

The corporate quarterly income tax return shall be filed with or without payment within sixty

(60) days following the close of each of the first three (3) quarters of the taxable year whether

calendar or fiscal year.

BIR Form No. 1704

This form is to be filed by every domestic corporation classified as closely-held corporation

except banks and other non-bank financial intermediaries, insurance companies, taxable

partnerships, general professional partnerships, non- taxable joint ventures and enterprises duly

registered with the Philippine Economic Zone Authority (PEZA) under R.A. 7916, and

enterprises registered pursuant to the Bases Conversion and Development Act of 1992 (R.A.

7227), and other similar laws, shall render a true and accurate tax return in accordance with the

provision of the Tax code.

Filing Date

The return shall be filed within 15 days after the close of the year immediately succeeding taxpayer's covered taxable
year.
BIR Form No. 1709

Description

This information return and its supporting documents shall be filed as an attachment to the

Annual Income Tax Return. This is to ensure that proper disclosures of related party transactions

are made and that these transactions have been conducted at arm’s length so as to protect the tax

base. An entity’s financial statements shall contain the disclosures necessary to draw attention to

the possibility that its financial position and profit or loss may have been affected by the

existence of related parties and by transactions and outstanding balances, including

commitments, with such parties.

Related party transactions shall include, but not limited to the following:

Purchases or sales of goods (finished or unfinished);

Purchases or sales of property and other assets;

Rendering or receiving of services; Leases;

Transfers of research and development;

Transfers under license agreements;

Transfers under finance arrangements (including loans and equity contributions in cash or in

kind);

Provision of guarantees or collateral;

Commitments to do something if a particular event occurs or does not occur in the future,

including executory contracts, i.e., contracts under which neither party has performed any of its

obligations or both parties have partially performed their obligations to an equal extent

(recognized and unrecognized); and

Settlement of liabilities on behalf of the entity or by the entity on behalf of that related party.

BIR Form No. 2316

A Certificate to be accomplished and issued to each employee receiving salaries, wages and

other forms or remuneration by each employer indicating therein the total amount paid and the

taxes withheld therefrom during the calendar year. This Certificate in turn should be attached to

the Annual Income Tax Return (BIR Form 1700 - for individuals receiving purely compensation

income, or BIR Form 1701 for individuals with mixed income).

Filing Date

To be issued to payee on or before January 31 of the succeeding year in which the compensation
was paid, or in cases where there is termination of employment, it is issued on the same day the

last payment of wages is made.

BIR Form No. 2304

A Certificate to be accomplished and issued by a Payor to recipients of income not subject to

withholding tax. This Certificate should be attached to the Annual Income Tax Return - BIR

Form 1701 for individuals, or BIR Form 1702 for non-individuals.

Filing Date

Payor must furnish the payee on or before January 31 of the year following the year in which the

income payment was made.

BIR Form No. 2307

A Certificate to be accomplished and issued to recipients of income subject to expanded

withholding tax paid by a Payor/Withholding Agent including government money payments

made by a government office showing therein the monthly breakdown of the total income

payments made and the total taxes withheld and remitted during the quarter/period.

For EWT - This Certificate in turn should be attached to the Quarterly/Annual Income Tax

Return - BIR Forms 1701Q / 1701 for individuals, or BIR Form 1702Q/ 1702 for non-

individuals, in which case, the amount of withholding tax shall be allowed as a tax credit against

the income tax liability of the income recipient in the taxable quarter or year in which the income

was earned or received.

For Percentage Taxes on Government Money Payments - This Certificate is to be attached to the

Quarterly Percentage Tax return (BIR Form No. 2551M and 2551Q).

For VAT Withholding - This Certificate is to be attached to the Monthly VAT Declaration (BIR

Form No. 2550M) and Quarterly VAT Return (BIR Form No. 2550Q).

Filing Date

For EWT - To be issued to payee on or before the 20th day of the month following the close of
the taxable quarter. Upon request of the payee, however, the payor must furnish such statement to the payee
simultaneously with the income payment.

For Percentage Tax On Government Money Payments - To be issued to the payee on or before

the 10th day of the month following the month in which withholding was made. Upon request of

the payee, however, the payor must furnish such statement to the payee simultaneously with the

income payment.

For VAT Withholding - To be issued to the payee on or before the 10th day of the month

following the month in which withholding was made. Upon request of the payee, however, the

payor must furnish such statement to the payee simultaneously with the income payment.

C. Are there any penalties on the failure to submit the BIR forms discussed on course

packet 2? Describe each briefly.

As I read the course packet 2 I didn’t see anything in each BIR forms about penalties only the procedures, requirements
and deadlines, but as I research about the penalties I’ve seen that in General there shall be assessed and collected on
any unpaid amount of tax, interest at the rate of twenty percent (20%) per annum, or such higher rate as may be
prescribed by rules and regulations, from the date prescribed for payment until the amount is fully paid and the BIR
collects an Annual Registration Fee (ARF) of PHP500 for every separate place of business, on or before the 31st of
January each year. A compromise penalty of PHP1,000 plus a 25% surcharge and 12% annual interest will be imposed
in case of delay or failure to pay.

D. Research and briefly describe the following other BIR Forms:

1. BIR Form 1927

Application and Joint Certification

Description

This form is used pursuant to Revenue Regulations 18-2001 prescribing the Guidelines on the Monitoring of the Basis of Property Transferred and
Shares Received, Pursuant to a Tax-Free Exchange of Property for Shares under Section 40(C)(2) of the National Internal Revenue Code of 1997,
Prescribing the Penalties for Failure to Comply with such Guidelines, and Authorizing the Imposition of Fees for the Monitoring Thereof.

The parties to a tax-free exchange of property for shares under Section 40(C)(2) of the Tax Code of 1997 who are applying for confirmation that the
transaction is indeed a tax-free exchange shall, together with such information as the Commissioner of Internal Revenue may require, submit this
form on the basis of the property to be transferred pursuant to such exchange.

2. BIR Form No. 1800

Donor’s Tax Return

Description

This return shall be filed in triplicate by any person, natural or juridical, resident or non-resident, who transfers or causes to transfer property by
gift, whether in trust or otherwise, whether the gift is direct or indirect and whether the preoperty is real or personal, tangible or intangible.
Filing Date

The return shall be filed within thirty (30) days after the gift (donation) is made. A separate return is filed for each gift (donation) made on different
dates during the year reflecting therein any previous net gifts made in the same calendar year. Only one return shall be filed for several gifts
(donations) by the donor to the different donees on the same date. If the gift (donation) involves conjugal/community property, each spouse shall
file separate return corresponding to his/her respective share in the conjugal/community property. This shall likewise apply in the case of co-
ownership over the property being donated.

3. BIR Form No. 1801

Estate Tax Return

Description

This return shall be filed in triplicate by:

1. The executor, or administrator, or any of the legal heirs of the decedent, whether resident or non-resident of the Philippines, under any of the followin
situations:

a. In all cases of transfers subject to estate tax; 

b. Regardless of the gross value of the estate, where the said estate consists of registered or registrable property such as real property, motor vehicle, share
of stock or other similar property for which a clearance from the BIR is required as a condition precedent for the transfer of ownership therof in the name o
the transferee; or

2. If there is no executor or administrator appointed, qualified, and acting within the Philippines, then any person in actual or constructive possession of any
property of the decedent.

Filing Date

The return shall be filed within one (1) year from the decedent's death.

4. BIR Form No. 2550M

Monthly Value-Added Tax Declaration

Description

This return/declaration shall be filed in triplicate by the following taxpayers;

1. A VAT-registered person; and

2. A person required to register as a VAT taxpayer but failed to register.

This return/declaration must be filed by the aforementioned taxpayers for as long as the VAT registration has not yet been cancelled, even if there
is no taxable transaction during the month or the aggregate sales/receipts for any 12-month period did not exceed the P1,500,000.00 threshold.

Filing Date

For Manual EFPS

A) Large and Non- Not later than the 20th day In accordance with the schedule
large Taxpayer following the close of the set forth in RR No. 26-2002 as
month. follows:
 
 Group A : Twenty five (25) days
following end of the month
 
Group B : Twenty four (24) days
following end of the month
 
Group C : Twenty three (23) days
following end of the month
 
Group D : Twenty two (22) days
following end of the month
 
Group E : Twenty one (21) days
following end of the month

5. BIR Form No. 0605

Payment Form

Description

This form is to be accomplished every time a taxpayer pays taxes and fees which do not require the use of a tax return
such as second installment payment for income tax, deficiency tax, delinquency tax, registration fees, penalties, advance
payments, deposits, installment payments, etc.

Filing Date

This form shall be accomplished: 

1 Every time a tax payment or penalty is due or an advance payment is made; 
2. Upon receipt of a demand letter / assessment notice and/or collection letter from the BIR; and 
3. Upon payment of annual registration fee for a new business and for renewals on or before January 31 of every year.

6. BIR Form No. 0619-E

Monthly Remittance Form for Creditable Income Taxes Withheld (Expanded)

Description

This monthly remittance form shall be filed in triplicate by every withholding agent/payor required to deduct and
withhold taxes on income payments subject to Expanded/Creditable Withholding Taxes.  

Filing Date

Manual Filers

This form shall be filed and the tax remitted on or before the 10th day following the month in which withholding was
made. This shall be filed for the first two (2) months of each calendar quarter.

eFPS Filers

In accordance with the schedule set forth in RR No. 26-2002 as follows:

Group A:Fifteen (15) days following the month in which withholding was made

Group B: Fourteen (14) days following the month in which withholding was made

Group C: Thirteen (13) days following the month in which withholding was made
Group D: Twelve (12) days following the month in which withholding was made

Group E: Eleven (11) days following the month in which withholding was made

7. BIR Form No. 1600-VT

Monthly Remittance Return of Value-Added Tax Withheld 

Description

This return shall be filed in triplicate by the following:

1. All government offices, bureaus, agencies or instrumentalities, local government units, government owned or
controlled corporation relative to the money payments made to private individuals, corporations, partnerships,
associations and other juridical/artificial entities as required under RA Nos. 1051, 7649, 8241, 8424, 9238, 9337, 10001,
10378 and 10963.

2. Private withholding agents making payments to non-residents subject to VAT.

Filing Date

The withholding tax remittance return shall be filed and the tax paid on or before the tenth (10th) day of the month
following the month in which withholding was made.

8. BIR Form No. 1600WP

Remittance Return of Percentage Tax on Winnings and Prizes Withheld by Race Track Operators

Description

This return shall be in 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.

Filing Date

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

9. BIR Form No. 1601-C

Monthly Remittance Return of Income Taxes Withheld on Compensation

Description

This return shall be filed in triplicate by every Withholding Agent (WA)/payor required to deduct and withhold taxes on
compensation paid to employees.

Filing Date

For the months of To (Manual) To

January to (EFPS)
 November
A) Large and Non- On or before the tenth (10th) day of In accordance with the schedule
large Taxpayer the following month in which set forth in RR No. 26-2002 as
withholding was made follows:

Group A : Fifteen (15) days

following end of the month

Group B : Fourteen (14) days

following end of the month

Group C : Thirteen (13) days

following end of the month

Group D : Twelve (12) days

following end of the month

Group E : Eleven (11) days

following end of the month

For the month of To

To (Manual)
December (EFPS)
A) Large and Non- On or before January 15 of In accordance with the schedule set forth
large Taxpayer the following year in RR No. 26-2002 as follows:

Group A : Fifteen (15) days following

end of the month

Group B : Fourteen (14) days following

end of the month

Group C : Thirteen (13) days following

end of the month

Group D : Twelve (12) days following

end of the month

Group E : Eleven (11) days following

10. BIR Form No. 1604-C

Annual Information Return of Income Taxes Withheld on Compensation 

Description

This return is filed by every employer or withholding agent/payor who is either an individual, estate, trust, partnership,
corporation, government agency and instrumentality, government-owned and controlled corporation, local government
unit and other juridical entity required to deduct and withhold taxes on compensation paid to employees.

Filing Date

On or before January 31 of the year following the calendar year in which the compensation payment and other income
payments were paid or accrued.