THE Bureau of Internal Revenue (BIR) said the government’s urgent need for funds rules out any further extensions of tax deadlines, though it will consider extending the availment period for the tax amnesty on delinquencies.
“The government urgently needs revenue collection to finance measures against COVID-19, so we cannot have further extensions. We want to encourage compliance and payment of taxes,” Deputy Commissioner Marissa O. Cabreros said in a mobile phone message Friday.
Commissioner Caesar R. Dulay issued Revenue Regulations (RR) No. 12-2020 on May 14, repealing the amended portion of RR No. 11-2020 which allows due dates to be pushed back “in case of quarantine extensions.”
The latest deadline extension came via RR No. 11-2020, in which the final date for filing and payment of income tax returns (ITR) was set at June 15. The deadline was moved three times from the traditional filing date of April 15.
RR No. 12-2020 was approved by Finance Secretary Carlos G. Dominguez III on May 20, and is “effective immediately”. A copy of the RR was published Friday.
The BIR is encouraging early payment due to the cash crunch, telling taxpayers that amendments are possible before due date.
BIR Deputy Commissioner for Operations Arnel S.D. Guballa told BusinessWorld that extending the cut-off period in availing of the tax amnesty on delinquent accounts beyond June 22 is “being evaluated.”
“For consideration, amnesty on delinquents,” he said in a text message yesterday when asked if the Bureau will consider making exceptions for the tax amnesty program.
According to a directive issued April 29, the cut-off period for availing of the tax amnesty on delinquencies was moved to June 22, from the intial April 23 deadline.
Republic Act No. 11213, signed into law in February, allows a one-year period for those seeking to avail of the amnesty on delinquent accounts while a longer, two-year window was given to avail of the estate tax amnesty program.
As of the end of October, the BIR collected over P1 billion from the two amnesty programs, P887.07 million from delinquent accounts and more than P360.5 million from the estate tax amnesty.
According to DoF data, 18 various tax amnesty programs have been implemented between 1972 and 2008, with the last one yielding P4.913 billion in collections. — Beatrcie M. Laforga