President Rodrigo Duterte signed the Tax Amnesty Act for Delinquent Payers (Republic Act No. 11213) on February 14, 2019. The law took effect on March 2, 2019, allowing Filipino taxpayers with overdue tax liabilities and pending tax evasion cases to turn over a new leaf starting April 24, 2019.
Delinquent taxpayers will have a year to file application for amnesty.
The Bureau of Internal Revenue (BIR) sent out Revenue Regulations No. 4-2019 (RR 4-2019) last April 5, 2019, which serves as the Implementing Rules and Regulations (IRR) of the act.
This comes as a relief to delinquent payers as it clarifies some of the law’s more ambiguous provisions on Tax Amnesty on Delinquencies (TAD).
All natural and juridical persons who have tax liabilities for 2017 and previous years are eligible for TAD under the following circumstances:
Delinquent tax accounts:
A delinquent account pertains to tax due from a Filipino taxpayer based on a BIR audit, and who has been sent an Assessment Notice that is final and executory for the following reasons:
The same goes for delinquent accounts with pending criminal cases at the Department of Justice (DOJ), Prosecutor’s Office, or any of the regional and metropolitan courts, for tax evasion.
Criminal offenses covered by the amnesty fall under the scope of Section 275 of the Tax Code or Chapter II of Title X 1) Regardless of an assessment had been issued, and 2) Whether a final and executor court judgment on or before the IRR took effect.
How to file for amnesty
If you’re eligible for tax amnesty, you must gather the necessary documents and follow these steps:
For tax-related concerns, let FilePino assist you. Contact us today at +1.806.553.6552 (USA) or +63.917.892.2337 (Philippines).