RR No. 15-2022: Further amends certain provisions of RR No. 2-98 as amended by RR No. 11-2018, which implemented the provisions of RA No. 10963 (TRAIN Law), relative to some changes in the rate of Creditable Withholding Tax on certain income payments

Key points

1. Amended Section 2.57.2. Section 2 of RR 11-2018, on amendments to Section 2.57.2 of RR 2-98, is amended to add items (P) and (Q) on income payments subject to Creditable Withholding Tax.
2. MERALCO refund. The gross amount of refund given by MERALCO to non-residential customers under the cited ERC Case orders is taxed at fifteen percent (15%).
3. Interest on meter deposit refunds, MERALCO. Interest paid directly or applied against billings is taxed at ten percent (10%) for Residential and General Service customers whose monthly electricity exceeds 200 kwh. Non-Residential Customers pay fifteen percent (15%).
4. Other distribution utilities. Item (Q) covers interest on meter deposit refunds by other electric Distribution Utilities under ERC Resolution No. 12, Series of 2016. Residential and General Service customers above 200 kwh monthly are taxed at ten percent (10%).

Who is affected

• MERALCO and other electric Distribution Utilities making refunds
• Customers receiving refunds or interest