The transitory provisions of Revenue Regulations 10-2008 provides the deadlines on its compliance requirements. The regulations, having been made to be effective starting July 2008, has provided transitory provisions as a bridge between the pro-rated year of application to the year of full implementation. The taxable year 2008 is the transitory period of Revenue Regulations 10-2008 as this regulations will take effect only on July 2008 while the full implementation year is taxable year 2009. The transitory provision provides the pro-rata application of personal and allowable deductions while the full benefits of the increase in personal and additional allowable deductions shall be fully enjoyed starting January 2009 yet. Also, the requirement on the updating of exemptions are mandated in the transitory provision.
For employees who already have Tax Identification Numbers but have changes in civil status and/or number of qualified dependent children shall accomplish and file the Certificate of Update of Exemption and of Employer’s and Employee’s Information (BIR Form 2305). These shall be BIR Forms shall be completed by the employees together with the required document/evidence of exemption. The deadline for the submission of these compliance requirements of Revenue Regulations 10-2008 to the employee’s employers shall be not later than October 31, 2008. The portion on employer’s information shall be filled-in by the employer. New employees who have no Tax Identification Number are required to register with the BIR within 10 days from the worker’s first day of work. The new employee may register, at employee’s option, either at the RDO where the office of the employee is under jurisdiction or at the RDO where the residence of the employee is under jurisdiction. New employees shall be using BIR Form 1902 or the Application for Registration. Employers shall then submit the original and duplicate copies of BIR Form 2305 and a duplicate copies of new employees’ 1902 on or before November 28, 2008 to the RDO or LTDO having jurisdiction over the business.
Employees with no change in either their civil status or number of qualified dependents may not anymore submit an Registration Update Form.
It is also important for employees and employers to remember that Minimum Wage Earners whose compensation was earned from January 1 to July 5, 2008, though not subject to withholding taxes, are still subject to income tax. Minimum Wage Earners are therefore still required to file an income tax return for the period covering January to July 5, 2008 on or before the 2009 Annual Income Tax Filing deadline, April 15, 2009.
These requirements are better be done in corporate offices than be made to be work at home. The guidance in complying these requirements are relevant.
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who are required to submit 2305? those who have changes in status as of 2008? when is the cut of date?