Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 371)
Presidential Decree No. 371 amends Section 45(c) of the National Internal Revenue Code by prescribing separate filing dates for income tax returns of individuals whose incomes are fixed in nature.
The amendment was necessary because the number of income tax filers had tripled, causing difficulty and inconvenience for both the government and taxpayers due to a single fixed filing date for all individuals. More than fifty percent of taxpayers had fixed incomes, so setting a separate filing date would reduce workload and inconvenience.
The new deadlines are March 15 for individuals whose income is fixed in nature and April 15 for all other individuals, including nonresident citizens.
Resident citizens or aliens whose income is derived solely from salaries, wages, interests, dividends, allowances, commissions, bonuses, fees, pensions, or any combination thereof; and residents with no income or income below PHP 1,800 or no business transactions, but who are still required to file.
All other individuals not covered by the March 15 deadline, including nonresident citizens, must file on or before April 15.
Yes, it applies to income tax returns required to be filed for the taxable year 1973.
The Secretary of Finance, upon recommendation by the Commissioner of Internal Revenue, shall promulgate the implementing regulations.
Yes, they are required to file an income tax return but by the earlier deadline of March 15, unless they had transactions in a business carried on for gain or profit during the preceding year.