Tax Alert No. 15 [Revenue Memorandum Circular (RMC) No. 34-2022 dated 30 March 2022]

Availability of BIR Form No. 2316 (Certificate of Compensation Payment/Tax Withheld) September 2021 ENCS

The Commissioner of Internal Revenue (CIR) has issued RMC No. 34-2022 to disseminate the availability of the revised BIR Form No. 2316 (Certificate of Compensation Payment With or Without Tax Withheld) September 2021 ENCS. The Certificate was revised to include an additional line for the 5% tax credit pursuant to the Personal Equity and Retirement Account (PERA) Act of 2008.

Note that every employer shall furnish BIR Form No. 2316 for every employee from whom taxes were withheld, on or before 31 January of the succeeding calendar year, or if employment is terminated before the close of such calendar year, on the day on which the last payment of compensation is made. The said BIR Form is also required to be issued by every employer to employees classified as Minimum Wage Earners (MWEs) and to other employees whose compensation were not subjected to withholding tax.