Economy


BIR reminds taxpayers on due date for installment




Posted on July 14, 2012


THE BUREAU of Internal Revenue (BIR) has reminded taxpayers who have opted to pay annual income taxes in two installments that the second tranche is due this Monday, July 16.

The National Internal Revenue Code allows individual and corporate taxpayers to pay in two installments if their income taxes for 2011 exceed P2,000.

The first installment was due on April 16, when income tax returns were also filed. The second installment is due three months after.

"… [J]ust like the April 16 income tax filing/payment deadline this year, there will be no extension. The corresponding penalties as provided for in the Tax Code will be imposed for late payment of the tax still due," the BIR said in a statement on Friday.

Moreover, the bureau hopes that the second wave of income tax payments will boost revenue collections in July. It aims to shore up P87.35 billion this month.

The BIR already collected P522.15 billion for the first semester. However, this is more than P13 billion away from the goal of P535.357 billion for the period. The bureau is struggling to make up for the sizeable shortfalls posted from March to May, when it missed revenue targets by an average of P7.5 billion a month.

The BIR, responsible for 70% of government revenues, aims to collect P1.066 trillion this year. Of this, income taxes are expected to comprise the largest share at P647.335 billion.

In 2011, the BIR raked in P571.95 billion in income taxes, more than half of the P924.146 billion total collection. -- D. C. J. Jiao