BIR pushes back income tax payment deadline to May 30

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The deadline may be pushed back anew if the enhanced community quarantine is again extended.

Metro Manila (CNN Philippines, April 15) — Taxpayers have been given more time to settle their 2019 income taxes owing to the extension of the enhanced community quarantine.

The Bureau of Internal Revenue recently issued Revenue Regulation 10-2020 which extends most tax payment deadlines, including the filing of annual income tax returns until May 30. This means that taxpayers can submit their ITRs and settle their dues from 2019 until next month without any penalties.

This is two weeks later than the first extension to May 15. The BIR said the fresh reprieve followed the extension of the Luzon-wide lockdown over the COVID-19 outbreak to April 30, as the government seeks to contain the spread of the deadly disease.

By law, all ITRs are due every April 15.

The Department of Finance said the extension would lead to a ₱145 billion shortfall in tax collections, which would mean fewer funds for government spending at a time when authorities are scrambling to fund subsidies and other interventions to soften the impact of COVID-19 to families and the economy.

Employees, the self-employed, and companies usually flock to the BIR’s district offices leading up to the due date, even if payments are being accepted as early as January. Bureau officials earlier appealed to taxpayers to settle their accounts ahead of the deadline to avoid huge crowds, in keeping with the “social distancing” protocol amid the pandemic. This involves staying about a meter away from other people to contain the spread of the disease.

The BIR said tax payments can be settled online ahead of the deadline through their partner banks and financial firms.

Deadlines for other types of documents have been pushed back by the agency, including monthly and quarterly reports on tax refunds, withholding taxes, value-added tax declarations, and sales reports, to name a few.

New BIR rules also specify that tax payment deadlines will be automatically pushed back "if the ECQ period will be extended further." Taxpayers will be given a month after the lifting of the strict stay-at-home protocol to settle their dues without incurring interest charges.