RMO No. 26-2018: Prescribes the guidelines in monitoring, identification, inclusion and deletion of Top Withholding Agents pursuant to the pertinent provisions of RR No. 11-2018

Key points

1. Who are TWAs. They include existing top taxpayers classified and notified by the CIR as a Large Taxpayer under RR No. 1-98, Top 20,000 Private Corporations or Top 5,000 Individual Taxpayers under RR No. 6-2009, unless de-classified or no longer operating. Newly-identified Medium Taxpayers and those under the Taxpayer Account Management Program (TAMP) are also included.
2. Semestral lists. Each RDO submits its list of taxpayers recommended for inclusion or deletion not later than every April 30 and October 31. The ACIR, Large Taxpayers Service does the same for large taxpayers.
3. Publication. The ACIR, Collection Service, through the Chief of MOMD, publishes the CIR-approved list in a newspaper of general circulation not later than every June 15 and December 15. It is also posted on the BIR website and issued through a Revenue Memorandum Circular.
4. Notice and withholding start. Publication is sufficient notice, though RDOs may also serve individual written notices. The duty to withhold 1% on goods and 2% on services starts on the first day of the month following publication (July 1 and January 1, respectively, of each calendar year).
5. Lists maintained. A complete, updated TWA list is kept on the BIR website. MOMD keeps a master list, but publication shows only complete names and the RDO or LTS office of registration.

Who is affected

• Top Withholding Agents
• Revenue District Offices
• Large Taxpayers Service

Deadlines and effectivity

• RDO lists due April 30 and October 31
• Publication not later than June 15 and December 15
• Withholding starts July 1 and January 1