COVID-19: BIR Extends Filing Deadlines in Response to Extended ECQ – 14 April 2020

Please note that this article was updated on 15 April 2020 to account for more recent updates from the BIR, namely the release of Revenue Regulations No.10-2020.

The Bureau of Internal Revenue (BIR) has released a new Memorandum Circular and Revenue Regulations which now extends the previously extended deadline dates for various tax filings, submissions and payments originally due in March and April 2020.

We have summarised below the key points of information to consider.

1. BIR – Revenue Memorandum Circular No. 39-2020 & Revenue Regulations No.10-2020

The BIR has released Revenue Memorandum Circular No. 39-2020 and Revenue Regulations No.10-2020. Together, they extend further the deadline dates that were already extended under previous BIR issuances.

The reason for this further extension is to align with the Government’s recent extension of the Enhanced Community Quarantine period (ECQ).

Key points of information:

• By way of background, Revenue Regulations No.7-2020 previously extended the statutory deadlines for various tax filings, submissions and payments that had original due dates ranging between 16 March 2020 and 15 April 2020. RR No.7-2020 included a consolidated list of the deadline extensions which can be viewed HERE (click the link and scroll down to RR No.7-2020). You can also check out CloudCfo’s explainer on RR. No.7-2020 HERE.

• RR No.7-2020 gave the BIR power to further extend the already extended deadline dates as the circumstances warrant.

• The Enhanced Community Quarantine (ECQ) has now been extended by the Government until 30 April 2020. In response to this, the BIR have now released RMC No.39-2020 and RR. No. 10-2020 (which effectively amends RR No.7-2020). Under these new BIR issuances, the extended deadline dates listed under RR. No.7-2020 have now been extended again by the BIR for a further period of 15 calendar days. So, for example, if a filing deadline was previously extended from its original due date of 15 April 2020 to 15 May 2020, the deadline date is now extended to 30 May 2020 (or the next working day after this – see below).

• The 15 calendar day extension doesn’t apply to deadline dates where the extended date was based on the date of lifting of the ECQ. For example, the dates for certain filings/submissions were originally extended for 30 or 60 days after the lifting of the ECQ. These dates will now depend on the date of the lifting of the extended ECQ.

• The BIR has also clarified that the filing date for BIR Form 2551Q (Quarterly Percentage Tax Return), which was originally due on 25 April 2020, is now extended to 25 May 2020.

• Remember also – If the extended filing date falls on a holiday or a non-working day, the filing, payment or submission should be made on the next working day. So, as 30 and 31 May are weekend days, Monday 1 June would be the next working day.

• To see the full list of deadline date extensions under Revenue Regulations No.10-2020, click HERE, scroll down to RR. No.10-2020 and click “Full Text”.

• Finally, CloudCfo has created a new COVID-19 Resource for all accounting, finance and tax compliance updates in the Philippines. You can check it out HERE.

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