Machica Group

Professional services firm offering solutions on audit, tax, corporate finance, business support, knowledge process, insurance and investments to local and overseas business communities groups and entrepreneurs.

(+63) 2 562 8190
(+1) 951 212 6889
(+35) 31657 213
  • Home
  • About us
    • Our Vision, Mission, and Values
    • Our Leaders
    • Our Affiliations
    • Our Accreditations
  • Services
    • Specialized Services
    • International & Corporate Business Advisory
    • Regulatory Compliance Services
    • BPO, Finance & Tax Services
    • Audit & Assurance | Tax & Consulting
    • Insurance, HMO & Investments
  • Industries
  • News Room
  • Career
    • Job Opening
  • Global Partners
  • Gallery
  • Contact us

BIR Revenue Memorandum Circular No. 40-2020

May 8, 2020 By Management

BIR Revenue Memorandum Circular No. 40-2020

REVENUE MEMORANDUM CIRCULAR NO. 40-2020 issued on April 8, 2020 publishes the full text of the Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 11256 (An Act to Strengthen the Country’s Gross International Reserves, amending for the Purpose Sections 32 and 151 of the National Internal Revenue Code, as Amended, and for Other Purposes). Based on the IRR, transactions specified hereunder are exempt from taxes, as follows:
a) Income derived from the following sale of gold are excluded in the gross income and shall be exempt from Income Tax and consequently from Withholding Taxes:
i. The sale of gold to the Bangko Sentral ng Pilipinas (BSP) by registered Small-Scale Miners (SSMs) and accredited traders; and
ii. The sale of gold by registered SSMs to accredited traders for eventual sale to the BSP. b) Excise Tax shall not be levied, assessed and collected on the following:
i. The sale of gold to the BSP by registered SSMs and accredited traders; and
ii. The sale of gold by registered SSMs to accredited traders for eventual sale to the BSP. b) Excise Tax shall not be levied, assessed and collected on the following:
i. The sale of gold to the BSP by registered SSMs and accredited traders; and
ii. The sale of gold by registered SSMs to accredited traders for eventual sale to the BSP. If an Excise Tax has been otherwise paid prior to the sale of gold to the BSP, the taxpayer may file a claim for refund or credit with the Commissioner of Internal Revenue for the Excise Tax paid.
The Bureau of Internal Revenue (BIR) shall issue a Taxpayer Identification Number to SSMs and traders to serve as a tag for the Income and Excise Tax exemption of their sale or eventual sale of gold to BSP. The details of the sales transactions from registered SSMs and accredited traders shall be reported by the BSP on a monthly basis to the BIR.
For purposes of applying the tax exemptions and non -withholding/collection of taxes under RA No. 11256, no further proof shall be required by the BSP from registered SSMs or accredited traders other than the documents mentioned under Sections 9 and 12 of the IRR. In the event that the tax exemption is found by the BIR as not applicable to a BSP transaction with a person or entity purporting to be a registered SSM and/or accredited trader, such person or entity shall be primarily and solely liable for any deficiency taxes that may be assessed by the BIR.

Filed Under: Uncategorized

Featured video

Connect with us

Facebooktwitterpinterestlinkedinyoutubeinstagram

Latest from the Newsroom

  • REVENUE MEMORANDUM CIRCULAR NO. 123-2022
  • REVENUE MEMORANDUM CIRCULAR NO. 119-2022
  • NEA Memorandum No. 2022 – 24
  • NEA Memorandum No. 2022 – 23
  • NEA Memorandum 2022 – 21

RSS Latest from our partners(Dezan Shira)

APEA 2018 Philippines

Our Awards and Recognitions

Our Awards

The International Arch of Europe Award (IAE)

Our Company Profile

Company Profile Cover Download a copy of our company profile.

OUR COMPANY BROCHURE

Download our company brochure.

Leading Edge Alliance

LEA-Cover-Photo Download LEA Global brochure.

Contact us

Makati Business Office:
Unit 1101 Cityland Condo 10 Tower 1
156 H. V. dela Costa St., Ayala North
Makati City, 1209 Philippines
Telefax No. +63 2 823 5904, 562 8190
Mobile No. +63 917 306 0208
Email: mail@machicagroup.com

Go to our contact page to contact our offices in Manila, Cebu and Tacloban, and use our contact form.

Copyright © 2023 · Machica Group · Developed by Optixor