If you are preparing to file your Annual Income Tax Return (AITR) with the Bureau of Internal Revenue (BIR) in the Philippines, here are some things you need to prepare:
1. Filing deadline
Know the deadline for filing your annual income tax returns to make sure you file and pay them on time. For most taxpayers, the AITR is usually filed on or before April 15th of each year. However, since April 15, 2023 falls on a weekend, the deadline is extended until April 17, 2023 (Monday).
2. Income documents
Gather all the necessary documents that show your income for the year, including payslips, bank statements, and receipts. Some receipts such as from charitable donations and medical expenses can be claimed as deductions.
3. Tax forms
Each taxpayer is required to file a specific annual income tax return based on his/her source of income and employment status. With the new TRAIN Law, there are now three types of forms available: BIR Form 1700 (For Individuals Earning Purely Compensation Income), BIR Form 1701 (For Individuals including Mixed Income Earners, Estates and Trusts), and BIR Form 1701A (For Individuals Earning Income Purely from Business/Profession).
Make sure to fill out the applicable tax form. You can download the forms from the BIR website and file them online using the eFPS facility.
4. Required Attachments
In filing your AITR, you also need to prepare and submit the following attachments, along with the duly accomplished BIR Forms.
- Certificate of Income Tax Withheld at Source (BIR Form 2307), if applicable.
- Certificate of Income Payments not Subjected to Withholding Tax (BIR Form 2304), if applicable.
- Duly approved Tax Debit Memo, if applicable.
- Previously filed return, if an amended return is filed for the same quarter.
5. Tax identification number (TIN)
Make sure you have your TIN, as it is required to file your tax return. If you don’t have a TIN, you can apply for one at the BIR.
Reminder:
While those earning less than P250,000 annually are exempt from paying income returns, they are still required to file their tax compliance requirements with the BIR.
It’s important to ensure that all the information on your tax return is accurate and complete to avoid any penalties or legal issues. If you have any questions or need assistance, you can consult with us
