BIR extends tax filing deadline to May 15
MANILA, Philippines– The Bureau of Internal Revenue (BIR) gave in to taxpayers' plea and extended the deadline for the filing of 2019 annual income tax returns (ITRs) by a month to May 15, 2020, the agency announced on Thursday, March 19.
But the BIR appealed to those ready to file their ITRs on or before the original April 15 deadline to do so, "in order to help the Duterte administration raise enough funds" to combat the economic impact of the novel coronavirus.
A revenue memorandum circular dated March 18 and signed by BIR Commissioner Caesar Dulay granted the one-month extension for income tax filing and payments without the imposition of penalties on taxpayers.
"This emergency measure is being offered to provide relief to Filipino taxpayers who will not be able to prepare, let alone file, the necessary ITR documents on or before the original annual deadline of April 15 because of skeletal workforce arrangements and enhanced community quarantine rules that the national government has implemented to contain the pandemic," the BIR said.
The "enhanced community quarantine" of Metro Manila is in effect until April 14, while for Luzon, it is until April 12. During this period of total lockdown, movements of at least 57 million people are restricted, with most mandated to stay at home.
The BIR noted that the extension will lead to a shortfall in tax collections of around P145 billion. This may have to be covered by additional borrowings by the national government. – Rappler.com