Philippines: Guidance regarding responsibilities of banks in accepting tax returns and payments
Responsibilities of authorized agent banks (AABs) pertaining to the acceptance of 2021 annual income tax returns and payments
Accepting tax returns and payments
The Bureau of Internal Revenue (BIR) issued guidance to reiterate the relevant responsibilities of the authorized agent banks (AABs) pertaining to the acceptance of 2021 annual income tax returns and payments.
The guidance in Bank Bulletin No. 2022-06 (18 March 2022) highlights the following responsibilities, among others, of AABs:
- Accept all tax payments being made by taxpayers using the new versions of the income tax returns in addition to using official printed forms/copies of system-generated filing reference numbers, photocopies or computer-generated e-filed tax returns; and downloaded income tax returns filled out and signed by taxpayer/duly authorized representative).
- Stamp “RECEIVED” on not more than three copies of income tax returns, except for those filing the BIR Form No. 1702 who are allowed to extend the stamping of “RECEIVED” on at least two additional copies of the audited financial statements to satisfy Securities and Exchange Commission (SEC) requirements. (Note: Audited financial statements will only be stamped “RECEIVED” in the page of audit certificate, balance sheet, and income statement only.)
- Income tax returns and/or deposit slips must be machine-validated on the date of actual receipt of collection, with clearly imprinted details of tax payments in all copies. [If collection is received on a non-working (business) day, it will be reported by the AAB on the next working day’s batch control sheet.]
- Accept payments made through checks payable to BIR and/or combination of cash and check/s in payment for single tax liability (even without the receiving AAB branch indicated in the check but the same was prepared in accordance with Bank Bulletin No. 2020-19).
- Accept the tax payments from taxpayers who are already within the bank's premises by the end of the extended banking hours.
- Accept the manually filed and out-of-district returns, and corresponding payment of taxes from taxpayers enrolled in the eFPS in cases of unavailability of the electronic filing and payment system (eFPS) facility, as announced by the BIR, through an advisory posted in the BIR website.
- Not to impose penalties for any violations committed by taxpayers in filing of tax returns and payment of taxes since only the BIR can impose the appropriate penalties.
Read a March 2022 report prepared by the KPMG member firm in the Philippines
BIR also issued other guidance to remind AABs of certain matters related to the acceptance of tax payments. Read a March 2022 report prepared by the KPMG member firm in the Philippines
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.