An Act Instituting A Simplified Tax Compliance System, Amending For This Purpose Sections 52 (A), 57, 58, 74, 75, 76, 77, 114 (A), 128, 232 (A), And 235 Of The National Internal Revenue Code Of 1997, As Amended, And For Other Purposes
- This proposed measure seeks to provide a Simplified Tax Compliance System (STCS) for the purpose of improving the country’s ease of doing business.
- The system will provide a simplified form of Income Tax Return (ITR), reduce the frequency of filing various tax returns, increase the ceiling for the requirements to adopt a simplified bookkeeping and to have the books of accounts audited by a certified public accountant, and specifically provide that the keeping of books of accounts and other accounting records is only for a period of three years. Also, it removes the creditable withholding tax system on the purchase of goods and services.
- The taxpayers shall now file their ITRs and pay the taxes due thereon every six months instead of quarterly filing and payment. The filing of returns for value-added tax (VAT) and percentage tax and the payment of corresponding taxes due thereon shall now be made quarterly instead of monthly filing and payment.
COMMENT : Off