by: Robelyn Martinez Yambao
Today is another 20th of the month and it's time for me to do my obligation in BIR. Last month, I filed my percentage tax through online using the EBIR forms. What is this 2551M?
Form 2551M or Percentage Tax Returns
According to our speaker during the orientation day in applying for certificate of registration in BIR, there are different types of tax returns. It depends on your business of what kind of tax types are applicable for you. This percentage tax is obligatory to pay every 20th of the following month after you register your business. You need to compute your tax due in order to pay the percentage tax. How to compute?
For example: You earned 20,000 for the month of January. You will pay your percentage return on February 20. From 20,000 deduct all your expenses like for instance electric/water bills, transportation, etc. If the remaining amount will be left is 5000, that will be the taxable amount so, just multiply that to 3% equals tax due.
How to File The Percentage Tax Returns
In my experience, I didn't know at first how to do it. I registered my business last January 5, 2017 so, when I filed my form 2551M it was almost an error. But, I was relieved that when I verified it in BIR it came out okay. Then, today I filed my return through manual filing. I remembered in our orientation that I should only file in EBIR forms online if only I don't have tax due or I'm exempted. I almost forgot it when I filed last month that's why I did it online. This month, it is a successful filing I should say because it's so easy as 1, 2, 3.
Last month, I downloaded the EBIR forms in my computer so I can file my returns or obligations monthly and other returns quarterly. Since I did not know how to do it, I experimented by just filling out the forms online. I followed the instructions and as expected I committed errors. I did trial and error, it was okay because that means I was learning. After submitting the form online, I printed 3 copies of the returns. When I checked my email, I received a confirmation of my submission. So, I also printed a copy of that email confirmation. Then, I went straight to the bank. That was my error because the first step should be going first to the BIR district office for TIN verification before going to the bank for payment. Luckily, the bank accepted my returns. In my hometown, the Metrobank don't accept BIR payments during Mondays. They only entertain BIR clients every Tuesdays through Thursdays. I didn't know that rules again so, when I went there last February 20 which was a Monday, the personnel informed me about the bank rules and in my mind I was panicking because the filing should be every 20th. I got mental block that I didn't think that there are still other banks where I can pay my BIR tax, so funny. By the way, the personnel referred me to the supervisor to present my concern. I asked the supervisor if they can accept my online form. He was confused at first because they never encountered online application in BIR. So, he asked me if I already verified it through BIR. I reacted to him saying why should I if I have already confirmation in my email. I showed to him my email print out saying go to the bank to pay. So, he took my papers and gave to the teller. They accepted it! When I went home, I was still worrying about what I did. So, I went to the BIR just to verify my payment. Then, they said it was okay but they reminded me to go to the BIR first before paying to the bank. That's the time I remembered that I should file online only if no need to pay tax due because of exemption. But, this experience is good for me because I didn't know what category to put in paying the tax due. Through online filing, it was automatic so I just copied the information I made online when paying my next returns this month. In online filing they have category choices to click while in manual it is a blank space so, I know what to write now that I tried online.
This month, I went to the BIR district office to get form 2551M. Of course I already have my filled out copy from last month so, the one I got was for preparation next month. The guard gave me the number for the window personnel and it was counter 4. It was so fast, the personnel checked my form and then their system and then stamped it with her signature. By the way, I also asked her to give me a TIN ID Card during that time. She got my information and told me to return after a week because they were going to request for it. Afterwards, I went to the Landbank. I didn't go to Metrobank because the date today is Monday as what I've mentioned earlier they have bank rules. In Landbank, they have their BIR payment slip. That was so nice unlike in Metrobank only ordinary payslip which is confusing to fill up. No comparison of course, I just want to mention it. I asked the guard to complete the BIR payment slip for me because there are codes or account I didn't know. Then, after that he gave me my number for the teller. That's it! So, easy!
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A licensed teacher in the Philippines who shifted her career into another direction to follow her passion to be a blogger and a YouTuber. Her blogs are related in traveling and simple passions like giving advises, referrals and tutorials.
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