RMO No. 72-2010: Prescribes the guidelines on the processing of Tax Treaty Relief Applications pursuant to existing Philippine Tax Treaties

Summary

RMO No. 72-2010 sets the guidelines for processing Tax Treaty Relief Applications (TTRA) under existing Philippine Tax Treaties. It adopts new TTRA forms that replace BIR Form No. 0901 and BIR Form No. 1928.

Key points

1. New TTRA forms. BIR Form No. 0901 (from RMO No. 1-2000) and BIR Form No. 1928 (from RMO No. 30-2002) are superseded. The new forms are 0901-P (business profits), 0901-T (shipping and air transport), 0901-D (dividends), 0901-I (interest), 0901-R (royalties), 0901-C (capital gains), 0901-S (services) and 0901-O (other income).
2. General documents. Each TTRA is filed in 3 copies, signed by the income earner or an authorized representative. Attachments are Proof of Residency, Articles of Incorporation (for non-individuals), Special Power of Attorney, Certification of Business Presence in the Philippines and Certificate of No Pending Case.
3. Where and when to file. Applications go only to the International Tax Affairs Division (ITAD), and filing elsewhere is improper. Filing must come before the first taxable event, and failure to file properly with ITAD in time disqualifies the TTRA.
4. No withdrawal. Filed TTRAs and documents, including archived ones, cannot be withdrawn. If the transaction is discontinued, the filer sends a letter to close the TTRA, and the documents stay with ITAD.
5. No-Ruling Area and confidentiality. Ruling requests with incomplete documents, or based on hypothetical or future transactions, are a No-Ruling Area and ITAD does not accept them. Officers may not disclose a draft ruling or recommendation until the proper signatory signs, but an applicant may learn the status of the TTRA without learning the BIR’s stand.

Who is affected

• Income earners seeking tax treaty relief and their authorized representatives
• International Tax Affairs Division (ITAD)

Deadlines and effectivity

• Filing: before the first taxable event

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.