BIR extends application for tax amnesty to December 31
MANILA, Philippines – The Bureau of Internal Revenue (BIR) extended the deadline to apply for tax amnesty for delinquents until December 31.
Under BIR Revenue Memorandum Circular No. 61-2020, the availment of tax amnesty was extended from June 22 to the end of this year.
The BIR said the move is "in consideration of the current circumstances prevailing in the country" due to the coronavirus pandemic.
The new Tax Amnesty Act gives delinquents the chance to settle their tax liabilities from 2017 and years before that. (READ: #AskTheTaxWhiz: How do I avail of the tax amnesty on delinquencies?)
The deadline was originally April 23, which was one year after the implementing rules and regulations for the law took effect. It was later moved to May 23, June 8, and June 22, before the BIR finally set the December 31 deadline.
The Tax Amnesty Act's purpose was to encourage people to pay the right taxes by giving them a one-time offer of significantly reduced rates for previous delinquencies.
Taxpayers who inherited properties before January 1, 2018 will pay just 6% tax for the transfer, while delinquent taxpayers have an option to pay just half or 50% of the entire unpaid taxes.
If an individual is already facing cases, he or she needs to pay 80% of all unpaid taxes. – Rappler.com