ST.

 THOMAS  MORE  SCHOOL  OF  LAW  AND  BUSINESS  

College  of  Law  
Atty.  Chalm  C.  Aliviado,  CPA  
 
 
BRIEFER  ON  REPUBLIC  ACT  (R.A.)  10963  
TAX  REFORM  FOR  ACCELERATION  AND  INCLUSION  (TRAIN  LAW)  
 
 
RE:  INCOME  TAXATION  
 
 
1) Section  24,  NIRC  –  Income  tax  rates  on  individual  citizens  and  individual  
resident  aliens  in  the  Philippines:  
 
 
NIRC   TRAIN  LAW  
   
Taxable   income   of   individuals   are   subject   to   the   Revised   tax   schedule,   which   shall   be   effective   on  
following  graduated  income  tax  schedule:   January  1,  2018  up  to  December  31,  2022:  
   
Not  over  Php10,000   5%   Not  over  Php250,000   0%  
Over  Php10,000  but   Php500  +  10%  on  the   Over  Php250,000  but   20%  on  the  excess  of  
not  over  Php30,000   excess  of  Php10,000   not  over  Php400,000   Php250,000  
Over  Php30,000  but   Php2,500  +  15%  on  the   Php30,000  +  25%  on  
Over  Php400,000  but  
not  over  Php70,000   excess  of  Php30,000   the  excess  of  
not  over  Php800,000  
Over  Php70,000  but   Php8,500  +  20%  on  the   Php400,000  
not  over  Php140,000   excess  of  Php70,000   Php130,000  +  30%  on  
Over  Php800,000  but  
Php22,500  +  25%  on   the  excess  of  
Over  Php140,000  but   not  over  Php2,000,000  
the  excess  of   Php800,000  
not  over  Php250,000  
Php140,000   Php490,000  +  32%  on  
Over  Php2,000,000  but  
Php50,000  +  30%  on   the  excess  of  
Over  Php250,000  but   not  over  Php8,000,000  
the  excess  of   Php2,000,000  
not  over  Php500,00  
Php250,000   Php2,410,000  +  35%  on  
Php125,000  +  32%  on   Over  Php8,000,000   the  excess  of  
Over  Php500,000   the  excess  of   Php8,000,000  
Php500,000    
   
  Revised  tax  schedule,  which  shall  be  effective  in  2023  
  onwards:  
   
  Not  over  Php250,000   0%  
Over  Php250,000  but   15%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php22,500  +  20%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php102,500  +  25%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php402,500  +  30%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,202,500  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
 
Note:   Revenue   Memorandum   Circular   (RMC)   Nos.  
105-­‐2017   and   1-­‐2018—Revised   Withholding   Tax   on  
Compensation  Table  
 
 

  1  
  
2) Section   24,   NIRC   –   Income   tax   of   self-­‐employed   individuals   and/or  
professionals:  
 
 
NIRC   TRAIN  LAW  
   
Taxable  income  of  self-­‐employed  individuals  and/or   Purely   self-­‐employed   and/or   professionals,   whose  
professionals  are  subject  to  the  following  graduated   gross  sales/receipts  and  other  non-­‐operating  income  
income  tax  schedule:   DO   NOT   EXCEED   the   VAT   threshold   of  
  Php3,000,000,   shall   be   taxed,   at   the   option   of   the  
Not  over  Php10,000   5%   taxpayer,  at  either:  
Over  Php10,000  but   Php500  +  10%  on  the    
not  over  Php30,000   excess  of  Php10,000   1) 8%   income   tax   on   gross   sales/receipts   in  
Over  Php30,000  but   Php2,500  +  15%  on  the   excess   of   Php250,000   in   lieu   of   the  
not  over  Php70,000   excess  of  Php30,000   graduated   income   tax   rates,   and   the  
Over  Php70,000  but   Php8,500  +  20%  on  the   percentage  tax  under  Section  116;  or,  
not  over  Php140,000   excess  of  Php70,000    
Php22,500  +  25%  on   2) Income   tax   based   on   the   revised   tax  
Over  Php140,000  but   schedule,   which   shall   be   effective   on  
the  excess  of  
not  over  Php250,000   January  1,  2018  up  to  December  31,  2022:  
Php140,000  
Php50,000  +  30%  on    
Over  Php250,000  but   Not  over  Php250,000   0%  
the  excess  of  
not  over  Php500,00   Over  Php250,000  but   20%  on  the  excess  of  
Php250,000  
Php125,000  +  32%  on   not  over  Php400,000   Php250,000  
Over  Php500,000   the  excess  of   Php30,000  +  25%  on  
Over  Php400,000  but  
Php500,000   the  excess  of  
not  over  Php800,000  
  Php400,000  
  Php130,000  +  30%  on  
Over  Php800,000  but  
  the  excess  of  
not  over  Php2,000,000  
  Php800,000  
  Php490,000  +  32%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,410,000  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
 
Revised  tax  schedule,  which  shall  be  effective  in  2023  
onwards:  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   15%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php22,500  +  20%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php102,500  +  25%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php402,500  +  30%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,202,500  +  35%  on  
Over  Php8,000,000   the  excess  of  
 
Php8,000,000  

 
 
 
 
 
 
 

  2  
  
 
3) Section  24,  NIRC  –  Income  tax  of  mixed  income  earners:  
 
 
NIRC   TRAIN  LAW  
   
Taxable   income   of   individuals   who   are   mixed   Mixed  income  earners,  i.e.  those  who  are  earning  both  
income   earners,   are   likewise   subject   to   the   compensation   and   business   and/or   professional  
following  graduated  income  tax  schedule:   income,  shall  be  taxed  in  the  following  manner:  
   
Not  over  Php10,000   5%   1) Compensation   income  shall  be  subject  to  
Over  Php10,000  but   Php500  +  10%  on  the   the   revised   income   tax   schedule   for  
not  over  Php30,000   excess  of  Php10,000   individuals  provided  below:  
Over  Php30,000  but   Php2,500  +  15%  on  the    
not  over  Php70,000   excess  of  Php30,000   For   January   1,   2018   to   December   31,  
Php8,500  +  20%  on   2022—  
Over  Php70,000  but    
the  excess  of  
not  over  Php140,000   Not  over  Php250,000   0%  
Php70,000  
Php22,500  +  25%  on   Over  Php250,000  but   20%  on  the  excess  of  
Over  Php140,000  but   not  over  Php400,000   Php250,000  
the  excess  of  
not  over  Php250,000   Php30,000  +  25%  on  
Php140,000  
Over  Php400,000  but  
Php50,000  +  30%  on   the  excess  of  
Over  Php250,000  but   not  over  Php800,000  
the  excess  of   Php400,000  
not  over  Php500,00   Php130,000  +  30%  on  
Php250,000   Over  Php800,000  but  
Php125,000  +  32%  on   the  excess  of  
not  over  Php2,000,000  
Over  Php500,000   the  excess  of   Php800,000  
Php500,000   Php490,000  +  32%  on  
Over  Php2,000,000  but  
  the  excess  of  
not  over  Php8,000,000  
  Php2,000,000  
  Php2,410,000  +  35%  on  
  Over  Php8,000,000   the  excess  of  
  Php8,000,000  
 
Year  2023  onwards  –  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   15%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php22,500  +  20%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php102,500  +  25%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php402,500  +  30%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,202,500  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
 
2) Business   and/or   Professional   income  
shall  be  subject  to  the  following:  
 
i) If   the   taxpayer’s   gross   sales/receipts  
and   other   non-­‐operating   income   DO  
NOT   EXCEED   the   VAT   threshold   of  
Php3,000,000,    taxpayer  shall  be  taxed,  
at  his  option,  at  either:  
 
a) 8%   income   tax   on   gross  
sales/receipts   in   excess   of  
Php250,000   in   lieu   of   the  
graduated  income  tax  rates;  or,  
 
b) Income  tax  based  on  the  revised  

  3  
 tax   schedule,   which   shall   be  
effective   on   January   1,   2018   up  
to  December  31,  2022:  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   20%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php30,000  +  25%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php130,000  +  30%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php490,000  +  32%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,410,000  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
Revised   tax   schedule,   which   shall   be  
effective  in  2023  onwards:  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   15%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php22,500  +  20%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php102,500  +  25%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php402,500  +  30%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,202,500  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
 
ii) If   the   taxpayer’s   gross   sales/receipts  
exceed   the   VAT   threshold   of  
Php3,000,000,   the   taxpayer   shall   be  
taxed  based  on  the  revised  income  tax  
schedule   for   individuals,   which   shall  
be   effective   on   January   1,   2018   up   to  
December  31,  2022:  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   20%  on  the  excess  of  
not  over  Php400,000   Php250,000  
Php30,000  +  25%  on  
Over  Php400,000  but  
the  excess  of  
not  over  Php800,000  
Php400,000  
Php130,000  +  30%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php490,000  +  32%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,410,000  +  35%  on  
Over  Php8,000,000   the  excess  of  
Php8,000,000  
 
For  the    2023  onwards:  
 
Not  over  Php250,000   0%  
Over  Php250,000  but   15%  on  the  excess  of  
not  over  Php400,000   Php250,000  
   

  4  
 Over  Php400,000  but   Php22,500  +  20%  on  
not  over  Php800,000   the  excess  of  
Php400,000  
Php102,500  +  25%  on  
Over  Php800,000  but  
the  excess  of  
not  over  Php2,000,000  
Php800,000  
Php402,500  +  30%  on  
Over  Php2,000,000  but  
the  excess  of  
not  over  Php8,000,000  
Php2,000,000  
Php2,202,500  +  35%  on  
Over  Php8,000,000   the  excess  of  
 
Php8,000,000  

 
 
4) Section  24(B)(1),  NIRC  –  Final  Tax  on  Winnings:  
 
 
NIRC   TRAIN  LAW  
   
PCSO   and   LOTTO   winnings   shall   be   exempt   from   PCSO   and   LOTTO   winnings   amounting   to   more  
the  20%  Final  Tax.   than  Php10,000  shall  be  subject  to  the  20%  Final  Tax.  
 
 
 
5) Section   24(B)(1),   NIRC   –   Final   Tax   on   Interests   on   Foreign   Currency  
Deposit:  
 
 
NIRC   TRAIN  LAW  
   
Interest   income   received   by   individual   taxpayers,   Interest   income   received   by   individual   taxpayers,  
except   non-­‐residents,   from   a   depository   bank   under   except   non-­‐residents,   from   a   depository   bank   under  
the   expanded   foreign   currency   deposit   system   shall   the   expanded   foreign   currency   deposit   system   shall  
be  subject  to  7.5%  Final  Tax.   be  subject  to  15%  Final  Tax.  
   
 
 
6) Section   24(C),   NIRC   –   Capital   Gains   Tax   on   sales   of   shares   of   stock   not  
traded  through  the  stock  exchange:  
 
 
NIRC   TRAIN  LAW  
   
The   Capital   Gains   Tax   on   the   net   capital   gains   The   Final   Tax   rate   of   15%   shall   be   imposed   on   the  
realized   from   the   sale,   barter,   or   exchange   or   other   net   capital   gains   realized   during   the   taxable   year  
disposition   of   shares   of   stock   in   a   domestic   from   the   sale,   barter,   or   exchange   or   other  
corporation   not   traded   through   the   stock   exchange   disposition   of   shares   of   stock   in   a   domestic  
shall  be:   corporation  not  traded  through  the  stock  exchange.  
 
i) Not  over  Php100,000  –  5%;  
ii) On   any   amount   in   excess   of  
Php100,000  –  10%  
 
 
 
7) Section   25(C),   (D)   and   (E),   NIRC   –   Preferential   tax   rate   for   individuals  
employed   by   Regional   Headquarters   (RHQs),   Regional   Operating  
Headquarters  (ROHQs),  Offshore  Banking  Units  (OBUs)  and  Petroleum  
Contractors  and  Subcontractors:  

  5  
  
 
NIRC   TRAIN  LAW  
   
Alien   individuals   and   qualified   Filipino   employees   Additional   provision   was   made   under   subsection  
employed  by  the  following:   (F):  
   
i) RHQs   and   ROHQs   of   multinational   The   15%   preferential   tax   rate   provided   under  
companies;   Subsection   (C),   (D)   and   (E)   shall   not   be   applicable  
ii) OBUs;   to   RHQs,   ROHQs,   OBUs   or   Petroleum   Service  
iii) Petroleum   Service   Contractors   and   Contractors   and   Subcontractors   registering   with  
Subcontractors;   the  SEC  after  January  1,  2018.  
   
shall  be  subject  to  a  preferential  tax  rate  of  15%  Final   BUT,  existing  RHQs,  ROHQs,  OBUs  and  Petroleum  
Withholding   Tax   on   their   Gross   Compensation   Contractors   and   Subcontractors   presently   availing  
Income.   of   the   preferential   tax   rate   for   qualified   employees  
  shall   continue   to   be   entitled   to   avail   of   the  
preferential   tax   rate   for   present   and   future  
qualified  employees.  
 
NOTE:  PRESIDENTIAL  VETO  
 
The  President  vetoed  this  particular  line  item  under  
Subsection   (F),   “But,   existing   RHQs,   ROHQs,   OBUs  
and   Petroleum   Contractors   and   Subcontractors  
presently   availing   of   the   preferential   tax   rate   for  
qualified   employees   shall   continue   to   be   entitled   to  
avail  of  the  preferential  tax  rate  for  present  and  future  
qualified   employees”,   for  being  violative  of  the  equal  
protection  clause.  
 
The   President   further   stated   that   given   the  
significant   reduction   in   the   personal   income   tax,   the  
employees   of   these   firms   SHOULD   FOLLOW   the  
regular   tax   rates   applicable   to   other   individual  
taxpayers.  
 
 
 
8) Section  27  (C),  NIRC  –  Exemption  of  Government  Owned  and  Controlled  
Corporations  (GOCCs),  Agencies  and  Instrumentalities:  
 
 
NIRC   TRAIN  LAW  
   
The  Philippine  Charity  Sweepstakes  Office  (PCSO)  is   The   Philippine   Charity   Sweepstakes   Office   (PCSO)   is  
among   the   list   of   GOCCs,   agencies   and   removed   from   the   list;   hence,   it   shall   no   longer   be  
instrumentalities,   which   shall   be   exempt   from   exempt  from  income  tax.  
income  tax.  
 
 
 
9) Sections   31   and   35,   NIRC   –   Definition   of   Taxable   Income,   in   relation   to  
Section  35:  
 
 
NIRC   TRAIN  LAW  
   
Section   31:   Taxable   Income   refers   to   the   pertinent   The   phrase,   “and/or   personal   and   additional  
items  of  gross  income  specified  in  the  NIRC,  less  the   exemptions,   if   any”,   has   been   removed   in   the  
deductions   and/or   personal   and   additional   definition.  
exemptions,   if   any,   authorized   for   such   types   of  
income  by  the  NIRC  or  other  special  laws.  
 
 

  6  
  
NIRC   TRAIN  LAW  
   
Section  35:    
   
Individual  taxpayers  are  entitled  to:   The   Basic   Personal   Exemption   and   Additional  
  Exemptions   have   been   removed.   Likewise,   the  
i) Basic   Personal   Exemption   of   related   provision   on   furnishing   exemption  
Php50,000;  and,   certificate  is  removed.  
ii) Additional   Exemption   of   Php25,000  
per  qualified  dependent  child.  
 
 
 
10) Section  32  (B)  –  Tax  Exempt  13th  Month  Pay:  
 
 
NIRC   TRAIN  LAW  
   
th th
The  amount  of  tax-­‐exempt  13  month  pay  and  other   The  amount  of  tax-­‐exempt  13  month  pay  and   other  
benefits  shall  be  Php82,000.   benefits  shall  be  Php90,000.  

 
 
11) Section  33  (A)  –  Tax  on  Fringe  Benefits:  
 
 
NIRC   TRAIN  LAW  
   
Fringe  Benefits  given  to  employees,  other  than  rank-­‐ Fringe  Benefits  given  to  employees,  other  than  rank-­‐
and-­‐file   employees,   shall   be   subject   to   32%   Final   and-­‐file  employees,  shall  be  subject  to  35%  Final  Tax.  
Tax.    
  The  grossed-­‐up  monetary  value  (GMV)  of  the  Fringe  
The  grossed-­‐up  monetary  value  (GMV)  of  the  Fringe   Benefits   so   given   shall   be   determined   by   dividing   the  
Benefits   so   given   shall   be   determined   by   dividing   actual  monetary  value  by  65%.  
the  actual  monetary  value  by  68%.  
 
 
 
12) Section  34  (L)  –  Optional  Standard  Deduction:  
 
 
NIRC   TRAIN  LAW  
   
Individual   taxpayers,   except   non-­‐resident   aliens,   Individual  taxpayers,  except  non-­‐resident  aliens,  may  
may   elect   a   standard   deduction   not   exceeding   40%   elect   a   standard   deduction   not   exceeding   40%   of  
of  gross  sales/receipts;  and  corporate  taxpayers  may   gross   sales/receipts;   and   corporate   taxpayers   may  
elect  standard  deduction  not  exceeding  40%  of  gross   elect  standard  deduction  not  exceeding  40%  of  gross  
income,  in  lieu  of  itemized  allowable  deductions.   income,  in  lieu  of  itemized  allowable  deductions.  
   
For  General  Professional  Partnerships  (GPPs)  and  the  
partners  comprising  these  GPPs,  OSD  may  be  availed  
of  only  once,  that  is,  once  the  GPP  opts  for  OSD,  the  
partners   comprising   the   GPP   may   no   longer   opt   for  
OSD  in  their  respective  ITRs.  
 
 
 
 
 
 

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 13) Section  34  (M)  –  Allowable  deduction  for  Premium  Payments  on  Health  
and/or  Hospitalization  Insurance  (PPHHI):  
 
 
NIRC   TRAIN  LAW  
   
Premium   Payments   on   Health   and/or   Premium   Payments   on   Health   and/or  
Hospitalization  Insurance  (PPHHI)  in  the  amount  of   Hospitalization  Insurance  (PPHHI),  regardless  of  the  
Php2,400   per   year   or   Php200   per   month,   provided   amount,   can   no   longer   be   claimed   as   allowable  
the   gross   family   income   does   not   exceed   deduction.  
Php250,000,  may  be  claimed  as  allowable  deduction  
under  Section  34  of  the  NIRC.  
 
 
 
14) Section  51  –  Filing  of  Individual  Income  Tax  Return:  
 
 
NIRC   TRAIN  LAW  
   
An   individual   whose   gross   income   does   not   exceed   An   individual   whose   taxable   income   is   subject   to  
his   total   personal   and   additional   exemptions   for   zero   (0%)   percent   under   the   new   graduated   income  
dependents   are   not   required   to   file   income   tax   tax  schedule,  that  is  not  exceeding  Php250,000,  shall  
return  (ITR).   not  be  required  to  file  an  income  tax  return  (ITR).  
 
 
 
15) Section   52   (A)(2)   –   Installment   payment   of   tax   due   for   individuals   and  
corporate  income  taxpayers:  
 
 
NIRC   TRAIN  LAW  
   
When   the   tax   due   exceeds   Php2,000,   the   taxpayer,   When   the   tax   due   exceeds   Php2,000,   the   taxpayer,  
other   than   a   corporation,   may   elect   to   pay   the   tax   in   other  than  a  corporation,  may  elect  to  pay  the  tax  in  
two  (2)  equal  installments.   two  (2)  equal  installments.  
   
Payment  of  installments  shall  be:   Payment  of  installments  shall  be:  
   
i) First   installment   –   time   of   filing   of   i) First   installment   –   time   of   filing   of  
ITR;   ITR;  
ii) Second   installment   –   on   or   before   ii) Second   installment   –   on   or   before  
July   15   following   the   close   of   the   October   15  following  the  close  of  the  
calendar  year.   calendar  year.  
 
 
 
16) Section  57  –  Withholding  of  Creditable  Tax  at  Source:  
 
 
NIRC   TRAIN  LAW  
   
The   rate   of   withholding   tax   on   items   of   income   The   rate   of   withholding   tax   on   items   of   income  
payable  by  the  payor  of  the  income  shall  be  not  less   payable  by  the  payor  of  the  income  shall  be  not  less  
than  one  (1%)  percent  but  not  more  than  thirty  two   than   one   (1%)   percent   but   not   more   than   fifteen  
(32%)  percent.   (15%)  percent,  beginning  January  1,  2019.  
   
The   tax   withheld   shall   be   credited   against   the   The   tax   withheld   shall   be   credited   against   the  
income  tax  liability  of  the  income  taxpayer.   income  tax  liability  of  the  income  taxpayer.  
   
 
 

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 17) Section  58  –  Return  and  Payments  of  taxes  withheld  at  source:  
 
 
NIRC   TRAIN  LAW  
   
The  CIR  has  the  authority  to  require  the  payment  of   The   authority   of   the   CIR   to   require   the   payment   of  
taxes  withheld  at  more  frequent  intervals.   taxes   withheld   at   more   frequent   intervals   has   been  
  removed.  
   
See   Section   2.58   of   Revenue   Regulation   No.   2,   series   The  returns  for  the  FWT  and  EWT  shall  be  filed  and  
of  1998:   the   payment   be   made   not   later   than   the   last   day   of  
  the   month   following   the   close   of   the   quarter  
The   return   for   the   Final   Withholding   Tax   (FWT)   during  which  the  withholding  is  made  
and   the   return   for   the   Creditable   Withholding   Tax    
(EWT)   shall   be   filed   within   ten   (10)   days   after   the  
end  of  each  month.  
 
 
 
18) Section  62  –  Exemption  of  Estates  and  Trusts:  
 
 
NIRC   TRAIN  LAW  
   
Estates   and   Trusts   are   allowed   basic   exemption   of   Estates   and   Trusts   are   no   longer   allowed   any   basic  
Php50,000  from  income  derived  therefrom.   exemption.  
 
 
 
19) Section   74   –   Declaration   of   estimated   income   for   individual   income  
taxpayers:  
 
 
NIRC   TRAIN  LAW  
   
Every   individual   subject   to   income   tax   shall   make   Every   individual   subject   to   income   tax   shall   make  
and  file  a  declaration  of  his  estimated  income  for  the   and  file  a  declaration  of  his  estimated  income  for  the  
current   taxable   year   on   or   before   April   15   of   the   current   taxable   year   on   or   before   May   15   of   the  
same  taxable  year.   same  taxable  year.  
   
The   amount   of   estimated   income   with   respect   to   The   amount   of   estimated   income   with   respect   to  
which  a  declaration  is  required  shall  be  paid  in  four   which   a   declaration   is   required   shall   be   paid   in   four  
(4)  installments:   (4)  installments:  
   
i) First   installment   –   at   the   time   of   i) First  installment  –  May  15  
declaration;   ii) Second  installment  –  August  15;  
ii) Second  installment  –  August  15;   iii) Third  installment  –  November  15;  
iii) Third  installment  –  November  15;   iv) Fourth   installment   –   on   or   before  
iv) Fourth   installment   –   on   or   before   May  15  of  the  following  calendar  year  
April   15   of   the   following   calendar   when  the  final  adjusted  ITR  is  due  to  
year   when   the   final   adjusted   ITR   is   be  filed.  
due  to  be  filed.    
 
 
 

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