Yesterday’s tax filing a.k.a. Annual Income Tax Return (1702 for Corporations and Partnerships) was a total rush! Is it? Or it was a total havoc? Of course, in any system that is under a transition process will always experience some sort of glitches.
Anyhow, the issuance of Revenue Memorandum Circular (RMC) No. 10-2012, the Bureau of Internal Revenue (BIR) has provided the transition procedures for all Electronic Filing and Payment System (eFPS) filers in using the enhanced income tax return (BIR Form Nos. 1700, 1701, and 1702-November 2011 version).
Now, if you have filed your ITR via eFPS you will notice that the system automatically computes for the tax due at 30% of the taxable net income or 2% of gross income whichever is higher. Further, you need to encode itemized deduction so that the system will capture operating expenses, truly; disclosure of direct cost and opex is so necessary. It’s an easy step basically should a filer or taxpayer had done this prior to the April 16 deadline. April 15 is a Sunday that is why…
The problem though is the attachment that is needed for the system to validate the transaction is somehow had glitches. Some taxpayers who filed via eFPS easily uploaded their ITR and accepted by the system even without the attachment. The syntax as provided by Revenue Memorandum Circular (RMC) No. 15-2012 in naming the attachment is quite unclear, especially the statement “where 000 is the branch code.” Other taxpayers understand this naming convention as the “000” shall be substituted by the “branch code per se.” For example RDO Code 044. But the thing is, there is NO need to change the 000 as the branch code.
Anyhow, until next time… for another BIR rush.
Bong Corpuz & Co. CPAs 