Quezon City, 16 December 2010 – The BIR issued Revenue Regulations (RR) No. 15-2010 last December 13, 2010 prescribing additional requirements in the submission of Financial Statements by individual and corporate taxpayers, thereby amending Section 2 of RR No. 21-2002.
The regulations now requires taxpayers to include information on taxes, duties and license fees paid or accrued during the taxable year in addition to the disclosures mandated under the Philippine Financial Reporting Standards.
Taxpayers must now disclose information on the amount of VAT output tax declared during the year and the account title and amount upon which the same was based.
Information on the amount of VAT input taxes claimed beginning of the year as well the current year’s domestic purchases and payments for goods for resale/manufacture or further processing, goods other than for resale or manufacture, capital goods subject or not subject to amortization and services lodged under cost of goods sold and other accounts must also be indicated. It must also include claims for tax credit/refund and other adjustments and balance at the end of the year.
For businesses involving importation of goods, information on the landed cost of imports and the amount of customs duties and tariff fees paid or accrued thereon must be reported. Also the amount of excise tax classified per major product category, i.e., tobacco and alcohol products, automobiles, minerals, oil and petroleum paid on locally produced and imported excisable items must be incorporated in the report.
Information on documentary stamp tax (DST) on loan instruments, shares of stock and other transactions subject thereto as well as all other taxes, local and national, including real estate taxes, license and permit fees lodged under the taxes and Licenses account both under the cost of sales and operating expense accounts must be declared for One-Time-Transactions.
For withholding taxes, information must include tax on compensation and benefits, creditable withholding taxes and final withholding taxes.
In cases where there is deficiency tax assessment whether protested or not, the periods covered and amount involved must be disclosed. Also tax cases under preliminary investigation, litigation and prosecution in courts or bodies outside the bureau, including amounts involved must be part of the information disclosed.
Implementation of these regulations takes effect immediately fifteen (15) days upon publication.
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