MANILA, Philippines – The Bureau of Internal Revenue (BIR) constantly reminds the public of the annual April 15 deadline for the filing of income tax returns (ITRs).
This year's filings and payments are for taxable year ending December 31, 2013.
The Tax Reform Act of 1997 states that individuals deriving income from sources within the Philippines are required to pay taxes. (READ: Why do we pay taxes?)
The BIR, however, exempts the following individuals from filing ITRs:
Business tax exemption
Self-employed individuals who are categorized as marginal income earners (MIEs) are still subject to income tax, but they are exempted from paying business taxes, such as value added tax (VAT) and percentage tax.
The MIEs, according to BIR's description, are:
Self-employed taxpayers pay VAT and percentage taxes on monthly (20th day of succeeding month) and quarterly (25th day of the month following the end of a particular quarter) basis. – Rappler.com