Tax Alert No. 1 [Revenue Regulations (RR) No. 18-2024 dated 17 December 2024]

Implementing Section 32(B)(5) of the National Internal Revenue Code of 1997, as amended by Republic Act (RA) No. 12066, or the CREATE MORE Act

Please be informed that the BIR issued Revenue Regulations (“RR”) No. 18-2024 on 17 December 2024 implementing the amendment introduced by CREATE MORE Act to Section 32(B)(5) of the Tax Code. Under the said amendment, income of any kind shall be excluded from gross income and shall be exempt from income tax to the extent required by agreements entered into by the President with economies and administrative regions and duly concurred by the Senate.

You may access the full version of the RR, including Annex A which contains the List of Economies and Administrative Regions, through the BIR website.

For any inquiry or request for assistance, please feel free to contact anyone from our Tax Services group. You may also reach us through this link