Has it ever happened to you: You agreed on a price for your services, then you find out that your client needs to withhold. Your client then presents you with a computation and you just say, Ok. For some reason it’s less than you expected but, hey, at least they… Read More »How to compute your fee if your client needs to withhold
The BIR Form 1700 is the form you file as an employee earning PURELY from your employment. In this article, I’ll walk you through the basics and then into the nitty-gritty of filing this form. Why do I have to file my income tax? Isn’t my employer supposed to do… Read More »How to File a BIR Form 1700
Congratulations! You’ve finally decided to resign from your job and go full time into your profession. Whether you’re going to become a freelancer, a licensed professional, or a small business owner, you’re now your own boss! Now to make sure that things are on the up and up, the first… Read More »How to Transfer Your RDO Using BIR Form 1905
In this article, we’ll talk about how to submit attachments to Annual ITR using eAFS. Submitting the attachments to your annual income tax return (ITR) is now more convenient thanks to the recently released AFS eSubmission Portal (aka eAFS) of the BIR! They announced it via RMC 049-2020 that details the… Read More »How to submit attachments to Annual ITR using eAFS
UPDATE! BIR recently released a new portal to submit your AFS submissions online! Woot! Kudos to you, BIR! Here’s a quick run through of the new AFS eSubmission Portal aka eAFS: How to submit attachments to Annual ITR using eAFS It’s that time of the year! Tax Filing Season! Time… Read More »Submitting your Annual ITR – how to and attachments
Whether you’re a freelancer or a business owner, obtaining a BIR registration certificate is a must for you. Also known as BIR Form 2303 and Certificate of Registration (COR), this type of document gives you the legal rights to operate your business in the Philippines. All professionals licensed by the Philippine… Read More »BIR Certificate of Registration Guide: What is Form 2303 and Why Do You Need It?
First off, congratulations! You are now collecting taxes on behalf of the BIR. Granted, you probably didn’t really have a choice but, fret not: compliance to this tax type is not as hard as you think. And with some tools (*cough*Taxumo*cough), it’s not much more effort! Now, before you proceed… Read More »Making Sense of Expanded Withholding Tax – Forms 2307, 0619E, 1601EQ, and the QAP
What is this “withheld” amount? Why did my client not pay the full amount? What is this 2307? Is this the “ITR”? When you get your check from your client and, specially, if this is the first you’re getting paid, you probably have these questions in mind. So let us help… Read More »Withholding Tax Table 2018 for Freelancers / Professionals OR How much should my client withhold?
Income Tax for 2018 in the Philippines has been an interesting space lately because of the TRAIN Law (aka R.A. 10963). For self-employed individuals, it has been of particular interest because they now have an option to avail of a simpler 8% Income Tax Rate Option. The BIR released Revenue… Read More »How to Avail of the 8% Income Tax Rate on Gross Sales/Receipts
The Tax Reform for Acceleration and Inclusion, more popularly known as TRAIN, has amended the tax code to increase the VAT Threshold from P1.919 Million to P3.0 Million. If you are a registered VAT taxpayer earning less than P3.0 Million, you may now opt to be non-vat instead. This is… Read More »Tax Reform: How to Change from VAT to Non-VAT