RMC No. 88-2021: Circularizes the Lists of Withholding Agents required to deduct and remit the 1% or 2% Creditable Withholding Tax for the purchase of goods and services under Revenue Regulations No. 31-2020

Key points

1. Published lists. The lists of withholding agents for inclusion and deletion are posted on the BIR website (www.bir.gov.ph). The 1% or 2% CWT applies to income payments to suppliers of goods and services, respectively.
2. Effectivity of the obligation. The duty to deduct and remit the 1% and 2% CWT continues, starts or ceases, as the case may be, effective August 1, 2021. A taxpayer not on the published TWA list is deemed excluded and need not deduct and remit under RR No. 31-2020.
3. Separate proof of TWA status. Newspaper publication is deemed sufficient. A taxpayer that still wants separate written proof of being identified as a TWA files a written request with the Revenue District Office, which issues a Certification through its Revenue District Officer where the withholding agent is registered.

Who is affected

• Top Withholding Agents (TWAs)
• Taxpayers not on the published TWA list

Deadlines and effectivity

• Effective August 1, 2021