Summary
RR No. 11-2013 amends Section 2.83 of RR No. 2-98, as last amended by RR No. 10-08, to require filing with the BIR of a hard copy of BIR Form 2316 for employees qualified for substituted filing.
Key points
- Furnishing BIR Form No. 2316. Employers who withhold tax on compensation give each employee the Certificate of Compensation Payment/Tax Withheld on or before January 31 of the next year. If employment ends earlier, it is due on the day of the last payment of compensation. Failure to furnish it is a ground for mandatory audit of the payor’s income tax liabilities, on the payee’s verified complaint.
- Minimum wage earners. Employers of MWEs still issue BIR Form No. 2316 (June 2008 Encs version) to them on or before January 31 of the following year.
- Content and signing. The employee receives the original and duplicate copies showing employer and employee details, TINs, exemptions claimed, health and hospitalization premiums not exceeding P 2,400.00, compensation, tax due and tax withheld. Employer and employee both sign, with a declaration under penalties of perjury.
- Substituted filing. For employees under substituted filing, the employer gives the original copy to the employee and files the duplicate with the BIR not later than February 28 following the close of the calendar year.
- Penalties. Employers and withholding agents, including the government and GOCCs, that miss the filing may be liable under Section 250 of the Tax Code. Failure for two consecutive years is dealt with under Section 255.
Who is affected
- Employers and withholding agents, including the government, its political subdivisions and GOCCs
- Employees qualified for substituted filing
- Minimum wage earners (MWEs)
Deadlines and effectivity
- Furnish BIR Form No. 2316 to employees: on or before January 31 of the succeeding year
- File duplicate copy for substituted filing: not later than February 28
- Effective beginning calendar year 2013
Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.
Copies of BIR issuances are hosted here for reference. For the official version, check bir.gov.ph. Summaries by Tax Resources PH are not a substitute for the full text or professional advice.