What You Need To Know About BIR Form 1604-C?

What You Need To Know

A significant change had occurred in early 2018 where tax authorities had issued a Revenue Regulation (RR) No. 11-2018 which amended certain provisions of RR No. 2-98 and implemented new amendments introduced by the Tax Reform for Acceleration and Inclusion (TRAIN) Law in relation to withholding taxes. One such repercussion of this had been the splitting of BIR Form 1604-CF into BIR Form 1604-C and 1604-F.

BIR Form 1604-C is an Annual Information Return of Income Taxes Withheld on Compensation. This is because in the Philippines, employers have to calculate, subtract and withhold part of the value of an employee’s compensation before it’s actually paid to them.

This BIR form is filed by every employer or withholding agent/payor who is either an individual, estate trust, partnership, corporation, government agency, government owned and controlled corporation, local government unit and other juridical entity required to deduct and withhold taxes on compensation paid to employees.

Documents Required

This form must be filed on or before 31 January of the year following the calendar year in which the compensation payment or any other income payments were accrued or paid.

For example: BIR Form 1604-C relating to the year 2020, must be filed by 31 January, 2021

Along with the form you’ll need to attach some documentation. These documents are the alpha-list of Employees and the alpha-list of Minimum Wage Earners. These lists must be declared and certified using BIR Form No. 2316.