RR No. 15-2001: Revises the regulations on the manner of purchase and affixture or payment of Documentary Stamp Tax on documents/facilities evidencing taxable transactions

Key points

1. General manner of payment. DST on any taxable document or transaction, whatever the amount, is paid by filing a tax return and paying the tax. If the DST due is P 15 or less, the taxpayer may instead buy loose documentary stamps.
2. Constructive stamping. Under this receipt system, the duplicate or certified true copy of the DST return or proof of payment is affixed to the document. Advance purchase of DST for future use is not allowed.
3. Alternatives to constructive stamping. The Tax Code allows purchase and actual affixture of loose stamps, or imprinting through a documentary stamp metering machine. Loose stamps are allowed only when DST due does not exceed P 15.
4. Metering machine users. Once the BIR authorizes a taxpayer to use a metering machine, all its DST payments, whatever the amount, are made through the conventional electro-mechanical DST metering machine or the on-line electronic DST imprinting machine. This continues until the permit is revoked and use of the machine is no longer mandatory for the taxpayer’s industry or business.
5. Branches and specified documents. For taxpayers authorized or required to use metering machines, two (2) or more branches but not exceeding four (4) branches may share one (1) machine, subject to conditions. The Regulations specify the medium for certain documents, such as insurance policies and taxable transactions of banks.

Who is affected

• Taxpayers paying DST on taxable documents or transactions
• Taxpayers authorized or required to use DST metering machines
• Banks and insurance companies (specified media)