REVISED INCOME TAX FORMS FOR 2012 FILING

The BIR further revised BIR Form No. 1700 (Annual Income Tax Return for Individuals Earning Purely Compensation Income), BIR Form No. 1701 (Annual Income Tax Return for Self-Employed Individuals, Estates and Trusts) and  BIR Form No. 1702 (Annual Income Tax Return for Corporation, Partnership and Other Non-Individual Taxpayer).

The amendment consists of the required disclosure on the Supplemental Information under Revenue Regulations No. 15-2010. 

It is still optional to provide the required disclosures for taxpayers who will file the BIR Forms No. 1700 and 1701 for calendar year 2011 due for filing on or before April 15, 2012.

However, individual income tax filers using Forms No. 1700 and 1701 will be required to fill up the Supplementary Information portion as it will be mandatory beginning the calendar year 2012. Taxpayers should demand from their payors and properly document their BIR Form No. 2307 and other pieces of evidence for final taxes withheld.

(Revenue Memorandum Circular No. 57-2011, November 25, 2011)

Full text: http://www.bir.gov.ph/iss_rul/cir2011.htm

VAT Threshold Amounts Increased

In compliance with the Consolidated VAT Regulations of 2005, the threshold amounts to be subject to the value-added tax were adjusted to the present value using the Consumer Price Index as published by the National Statistics Office (NSO).

The threshold amounts rounded off to the nearest hundred are as follows:

Section	Amount in Pesos (2005)	Adjusted threshold amounts
Section 109 (P) – sale of residential lot	1,500,000	1,919,500
Section 109 (P) – sale of residential house and lot or other residential dwellings	2,500,000	3,199,200
Section 109 (Q) – lease of residential unit	10,000	12,800
Section 109 (V) – sale or lease of goods or properties or performance of services	1,500,000	1,919,500

This will take effect starting January 1, 2012.

(Revenue Regulations No. 16-2011, October 27, 2011)