Updates and Promos
 
[ Return ]

MEMORANDUM CIRCULAR No. 01-2013

 

MEMORANDUM CIRCULAR

No. 01-2013
TO : All Intermediaries
SUBJECT : Amended National Internal Revenue Code
DATE : 01 April 2013
 
________________________________________________________________________
 
For the information and guidance of all intermediaries, hereunder is a Tax Advisory pursuant to the Bureau of Internal Revenue (BIR) Title IV, Sec.108 and RR No.16-2011:
“ Republic Act No. 8424, more well known as the Amended National Internal Revenue Code, requires under Title IV, Sec. 108 and
Revenue Regulation No. 16-2011 that Insurance Intermediaries should be VAT Registered if their Annual Gross Income exceeds the amount
of Php1,919,500.00. If you are VAT Registered, you are required to pay Monthly VAT payments to the BIR. If your gross annual receipts/sales is below Php1,919,500.00, the Tax Code under Sec. 109 requires that you should pay the 3% Monthly Percentage Tax based on your Monthly Gross Income. “
 
Please be informed that insurance companies are required to submit a list of agents who are being paid commissions, which is done electronically, the BIR can easily match the list with who is paying. 
 
We are confident that all intermediaries will likewise comply to avoid complications in the the future. We suggest you talk to your accountant about this. It is better to be informed.
 
 
Thank you.
MANUEL M. MALOLES
Vice President - Marketing