RMO No. 17-2022: Prescribes the policies and procedures in the issuance of Tax Credit Certificate arising from Personal Equity Retirement Account (PERA) and its utilization using the ePERA system

Key points

1. Reports by PERA Administrators. Under the Report Compliance module, the Administrator submits a Quarterly Report on PERA Contributions not later than the fifteenth (15th) day after each quarter closes (Annex A). The Quarterly Report on Distributions, Early Withdrawals and Terminations is due within sixty (60) days after the quarter end of the termination or withdrawal (Annex B). The two annual reports are cumulative and due within sixty (60) days from the close of the calendar year (Annexes C and D).
2. Penalties for reports. Late or missing reports are subject to compromise penalties under existing issuances. Paying the penalty does not excuse submitting the report, and failure to supply any required report counts as a single act of omission.
3. Applying for and issuing the PERA-TCC. The Administrator files batch applications using BIR Form 2338 (Annex E) and BIR Form 1942 (Annex F) through the PERASys within sixty (60) days from the close of the calendar year. After approval, the PERA-TCC is printed or sent in PDF upon the contributor’s written request, in full or partial amount, and tagged ISSUED. When an employer contributes, only the employee may request the PERA-TCC.
4. Using the PERA-TCC. It pays income tax of qualified employee and self-employed contributors, and any internal revenue tax of qualified overseas Filipino contributors. It is presented to the RDO before filing, where the Collection Section validates it and tags it CLAIMED, and an employee gives it to the employer for year-end adjustments.
5. Reprint, cancellation and balance. A PERA-TCC is printed once, but on written request for meritorious reasons it can be reprinted and cancelled, and a cancelled amount reverts to the balance. Each year’s balance is stored separately and each utilization is deducted automatically once tagged CLAIMED.
6. Spurious certificates and confidentiality. A contributor who uses a spurious PERA-TCC pays the amount utilized plus a 50% fraud penalty and 12% interest per annum, without prejudice to criminal charges. Heads of offices are responsible for PERA data and unauthorized disclosure is a ground for administrative sanctions, except for information that does not name the contributor and is used for regulatory purposes.

Who is affected

• PERA Administrators
• Qualified employee, self-employed and overseas Filipino PERA contributors
• Employers contributing to employees’ PERA accounts
• RDO Collection Sections

Deadlines and effectivity

• Quarterly contributions report: not later than the fifteenth (15th) day after quarter close
• Quarterly distributions report: within sixty (60) days after the quarter end of the withdrawal or termination
• Annual reports and PERA-TCC applications: within sixty (60) days from the close of the calendar year