December 19, 2018
REVENUE MEMORANDUM ORDER NO. 005-19
| SUBJECT | : | Modification of Alphanumeric Tax Code (ATC) for Compensation Income under Republic Act (RA) No. 10963, Otherwise Known as the Tax Reform for Acceleration and Inclusion (TRAIN) Act and for Withholding Taxes |
| TO | : | All Collection Agents, Revenue District Officers and Other Internal Revenue Officers Concerned |
I. OBJECTIVE:
To facilitate the proper identification and monitoring of tax collection from Individual Income Tax in BIR Form Nos. 1700 (Annual Income Tax Return for Individuals Earning Purely Compensation Income Including Non-Business/Non-Profession Income), 1701 (Annual Income Tax Return for Self-Employed Individuals, Estates and Trusts) and 1701Q (Quarterly Income Tax Return for Individuals, Estates and Trusts) pursuant to RA No. 10963, and from withholding taxes and for Integrated Tax Systems (ITS) purposes, the following ATCs are hereby modified: acEHCD
EXISTING (per ATC Handbook) | MODIFIED/ |
ATC | Description | Tax Rate | BIR Form | Legal Basis | BIR Form |
II010 | Compensation Income | Graduated Income Tax Rates | 1701 | RA No. 10963 | 1700 |
1701Q | RR No. 11-2018 | 1701 | |||
1701Q | |||||
Income payments subject to final withholding taxes | 1600 | 1706 | |||
1601-E | 2307 | ||||
WI450 | 1. Capital gains Tax on sale/exchange or other disposition of real property — individual | 6% | 1601-F | RR 17-2003 | |
2307 | Sec. 2.57.1 (A) (6) | ||||
WC450 | 2. Capital gains tax on the...
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