Clarification of the Base Amount for the Imposition of the Twenty Percent (20%) Early Withdrawal Penalty (EWP) under PERA Law

The CIR of the BIR has issued the RMC No. 091-2026 last July 28, 2026 with subject "Clarification of the Base Amount for the Imposition of the Twenty Percent (20%) Penalty Relative to the Early Withdrawal of Personal Equity and Retirement Account (PERA) Assets, and Accounts Classified as Unqualified, and Amending Certain Provisions of Revenue Memorandum Circular (RMC) No. 4-2023.

Pursuant to Section 10(C) of RR No. 17-2011, as amended, an EWP shall be imposed on any unqualified early withdrawal of PERA assets.

The EWP shall consist of the following:

1. Twenty percent (20%) of the Gross Income attributable to the PERA assets or portion of PERA assets withdrawn, calculated from the data of opening or creation of the relevant PERA account or sub-account up to the date of withdrawal; and

2. The recovery of any five percent (5%) tax credit previously availed of with respect to such withdrawn PERA assets for the entire period.

Only the Gross Income Earned attributable to PERA assets that are actually withdrawn shall be included in the EWP base. Any Gross Income Earned that remains invested, reinvested, or otherwise retained within the PERA - including unrealized gains and proceeds from the sale, redemption, or liquidation of PERA investment products that continue to be held under PERA custody - shall be excluded from the EWP base, as such amounts have not been subject to an early withdrawal.

 Accordingly, the EWP shall apply only to the Gross Income attributable to the portion of PERA assets actually withdrawn  and shall not affect other PERA accounts, sub-accounts, or investment product categories that remain intact. Any losses incurred in other PERA accounts or sub-accounts shall not be deductible from the Gross Income Earned attributable to the withdrawn PERA assets.

For the Definition of Terms and Illustrations, please read the full text of RMC No. 091-2026.

REFERENCE: Bureau of Internal Revenue (BIR) RMC No. 091-2026.   

New Version of eBIRForms Offline Package Version 7.9.6.1

The Operations Group and Information Systems Group of the Bureau of Internal Revenue (BIR) has issued a Tax Advisory on August 17, 2026 of  the latest version of eBIRForms Offline Package. The BIR advises all taxpayers using the eBIRForms Offline Package to update to Version 7.9.6.1 to ensure proper functionality and access to the most recent enhancements while Version 7.9.6.0 remains operational.

It is stated in the Tax Advisory that older versions of the eBIRForms Offline Package will be discontinued and will no longer be supported. To avoid any disruption in the preparation and filing of tax returns, taxpayers are encouraged to update to the latest version at the earliest opportunity. 

Taxpayers are advised to carefully follow the procedures outlined in the User Manual to ensure the successful installation of the updated versions of eBIRForms Offline Package version 7.9.6.1 and the preservation of previously saved returns. 

Click the link https://bir-cdn.bir.gov.ph/BIR/pdf/eBIRForms_Package_Installation%20User%20Guide%20ver1.1.pdf of the User Manual in downloading and installing the latest version of the eBIRForms Offline Package; properly backing up tax returns and related data saved in the previous version; and restoring backed-up data, where applicable, after installation of the new version.

Click the link https://bir-cdn.bir.gov.ph/BIR/pdf/Offline_eBIRForms_Package_v7.9.6.1_setup.zip to download the Offline eBIRForms Package v7.9.6.1

REFERENCE: https://bir-cdn.bir.gov.ph/BIR/pdf/Tax%20Advisory_eBIRForms%202018Aug17.pdf

New Version of Offline Electronic Bureau of Internal Revenue Forms (eBIRForms) Package Version 7.9.6.0

The Bureau of Internal Revenue (BIR) has issued Revenue Memorandum Circular (RMC) No. 036-2026 signed by the Commissioner of Internal Revenue (CIR) on April 28, 2026,  in relation of the availability of the new version Offline Electronic Bureau of Internal Revenue Forms (eBIRForms) Package Version 7.9.6.0 to update the previous eBIRForms Package Version 7.9.5.0.

The updated Offline eBIRForms Package v7.9.6.0 contains the enhancements of the returns for ease of doing business in the community.

Click the links:  https://bir-cdn.bir.gov.ph/BIR/pdf/Offline_eBIRForms_Package_v7.9.6.0_setup.zip and     https://bir-cdn.bir.gov.ph/BIR/pdf/eBIRForms_Package_Installation%20User%20Guide.pdf to download the Offline eBIRForms Package v7.9.6.0 and Job Aid - eBIRForms Installation Guide, respectively.

Reference: https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2036-2026.pdf

Corporate Income Tax Rates - RR No. 007 - 2025

The CIR has issued Revenue Regulations (RR) No. 007 - 2025 on February 27, 2025, Implementing the Amendments to Sections 27, 28, and 34 of the National Internal Revenue Code of 1997, as amended by Republic Act No. 12066.

In Section 2 of these regulations, it stated of the Corporate Income Tax Rates for domestic and resident foreign corporations pursuant to Sections 27 and 28 of the Tax Code, as amended by RA No. 12066 as follows:

A. DOMESTIC CORPORATIONS:

B. RESIDENT FOREIGN CORPORATIONS:

Please click the link: https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%207-2025.pdf of the full text of RR No. 007 - 2025.

Revised Private Retirement Benefit Plan Regulations - Revenue Regulations No. 015 - 2025

The bureau has issued Revenue Regulations (RR) No. 015-2025 on April 29, 2025 with subject "Revised Private Retirement Benefit Plan Regulations", hereby promulgated to revise policies and guidelines on the taxability of the retirement benefits received by employees under a reasonable private retirement benefit plan. 

It is stated in the regulations, that the term "reasonable private retirement benefit plan" means a plan maintained by an employer for the benefit of some or all of its officials or employees, wherein contributions are made by such employer for the officials or employees, or both, for the purpose of distributing to such officials and employees the earning and principal of the fund thus accumulated, and wherein it is provided in said plan that at no time shall any part of the corpus or income of the fund be used for, or be diverted to , any purpose other than for the exclusive benefit of the said officials and employees.

Reference: (Full Text): Bureau of Internal Revenue (BIR) RR No. 015-2025

Offline Electronic Bureau of Internal Revenue Forms (eBIRForms) Package Version 7.9.5.0 - New Offline eBIRForms Package

The Offline Electronic Bureau of Internal Revenue Forms (eBIRForms) Package Version 7.9.5.0 is now available for download. The previous version is eBIRForms Package Version 7.9.4.2. 

The new Offline eBIRForms Package v7.9.5.0 includes new BIR Forms and enhancements of  related BIR Forms stated in Revenue Memorandum Circular (RMC No). 049-2025 issued on May 9, 2025.

The Offline eBIRForms Package is a tax preparation software that allows taxpayers and ATAs to accomplish or fill up tax forms offline. Instead of the conventional manual process of filling up tax returns on pre-printed forms that is highly susceptible to human error, taxpayers/ATAs can directly encode data, validate, edit, save, delete, view, print and submit their tax returns. The package can do automatic computations and has the capability to validate information encoded by taxpayers/ATAs. After filing out the forms in this package, taxpayers/ATAs can submit it to the Online eBIRForms System. (Reference:  BIR eBIRForms)

To download the Offline eBIRFors Package v7.95.0 click here.

Reference: BIR RMC No. 049-2025

Alphalist Data Entry and Validation Module Version 7.4 - An update of the Old Version 7.3 Data Entry Module

The Bureau of Internal Revenue (BIR) has issued Revenue Memorandum Circular (RMC) No. 015 - 2025 dated February 25, 2025, to inform all concerned diverse taxpayers of the Availability of the Alphalist Data Entry and Validation Module Version 7.4 for use and can be downloaded from the website of the Bureau at www.bir.gov.ph. 

Please click the link: https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2015-2025.pdf of the full text of RMC No. 015 - 2025.

Documentary Requirements to be Submitted by Motor Vehicle Manufacturer/Assembler/Importer as Basis for the BIR to Determine Whether the Automobiles Subject to Excise Tax Exemption are Hybrid or Purely Electric Vehicles

The bureau has issued Revenue Regulations (RR) No. 001-2025 dated January 06, 2025, amending Section 9 of RR No. 25-2023 Relative to the Documentary Requirements to be Submitted by Motor Vehicle Manufacturer/Assembler/Importer as Basis for the BIR to Determine Whether the Automobiles Subject to Excise Tax Exemption are Hybrid or Purely Electric Vehicles pursuant to the Provisions of Republic Act No. 10963, Otherwise known as the "Tax Reform for Acceleration and Inclusion (TRAIN) Law.

SECTION 3. Further Amending Section (E) of RR No. 25-2003. Section 9 (E) of RR No. 25-203, as amended, it is further amended to read as follows:

"SEC. 9. TAX-EXEMPT REMOVALS OF AUTOMOBILES. The following removals of locally manufacture/assembled or release of imported automobiles from the place of production or for customs custody, relatively, are exempt from the payment of the appropriate excise taxes subject to certain conditions.

a. xxx

    xxx     xxx     xxx

E. Purely Electric Vehicles shall be exempt from the Excise Tax on Automobiles. Hybrid Vehicles shall be subject to Fifty Percent (50%%) of the applicable Excise Tax. Prior to the removal of the Automobiles from the Manufacturing Plant or Customs Custody the Commissioner of Internal Revenue (CIR), shall refer to the Electric Vehicle Recognition List Published by the Information and Classification for Battery Electric Vehicles (Purely Electric Vehicles/BEV), Plug-In Hybrid Electric Vehicles (PHEV), and Hybrid Electric Vehicles (HEV).

The BIR shall make a determination whether the Automobile is Exempt from Excise Tax or Subject to 50% Excise Tax, respectively, on the basis of the DOE's List of Recognized Electric Vehicles, published on its website, without prejudice to the BIR's Authority to conduct any Post-Verification Assessment of the Automobiles.

 For purposes of keeping up to date with the latest Publications of the List of recognized Electric Vehicles, the DOE shall furnish the BIR with a Certified True Copy of an updated List of recognized Electric Vehicles."

Please refer https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%201-2025.pdf of the full text of RR No. 001-2025

The Validity of Certificate Authorizing Registration (eCAR) and its Revalidation

As part of ease of doing business with regards of the Certificate Authorizing Registration (eCAR) being issued by the Bureau of Internal Revenue (BIR), Revenue Regulations (RR) No. 12-2024 dated March 21, 2024 was published by the bureau, amending Section 5 and 6 of RR No. 3-2019, on the Validity of Certificate Authorizing Registration (eCAR) and it Revalidation.

SECTION 3. AMENDMENTS

Section 5 and 6 of RR No. 3-2019 are hereby amended to read as follows:

"SEC. 5 - VALIDITY OF eCAR - The eCAR shall be valid from the date of its issuance until such time that it is presented to the concerned Registry of Deeds (RD)."

"SEC. 6 - REVALIDATION - Only CARs issued outside of the BIR's eCAR System, if any, shall be allowed for revalidation.

Please refer: https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%2012-2024.pdf of the full text of RR No. 12-2024.

   

Adjustment of the Selling Price Threshold of the Sale of House & Lot, and Other Residential Dwellings for VAT Exempt Purposes

Revenue Regulations (RR) No. 1-2024 dated January 10, 2024 was issued by the Bureau of Internal Revenue (BIR) amending Section 2, Sub-section 4, 109-1 (B)(p) of RR No. 4-2021, as Amended by RR No. 8-2021, to Implement the Adjustment of the Selling Price Threshold of the Sale of House and Lot, and Other Residential Dwellings for Value-Added Tax (VAT) Exemption Purposes.

In Section 2 of this RR No. 1, 2024, stated the Adjusted Amount with regards of the new price threshold. for sale of house and lot and other residential dwellings for VAT exemption purposes, rounded up is Three Million Six Hundred Thousand (Php3,600,000.00) Pesos from the current threshold amount of Php3,199,200, computed using the following formula:

New Threshold = Current Threshold x CPI (2023) / CPI (2021

Please refer https://bir-cdn.bir.gov.ph/BIR/pdf/RR%20No.%201-2024.pdf of the full text of RR No. 1-2024.