RMO No. 79-2010 — Modifies the description of Alphanumeric Tax Code for Life Insurance Premiums pursuant to RMC No. 22-2010 Digest | Full Text

SUBJECT REPUBLIC OF THE PHILIPPINES TO DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE Quezon City August 11, 201OO October 14, 2010 REVENUE MEMORANDUM ORDER NO. 79-2010 : Modification of Description of Alphanumeric Tax Code (ATC) for Life Insurance Premiums Pursuant to Revenue Memorandum Circular No. 22-2010, Publishing the Full Text of Republic Act No. 10001 entitled "An Act Reducing the Taxes on Life Insurance Policies, Amending for this Purpose Sections 123 and 183 of the National Internal Revenue Code of 1997, as Amended." : All Collection Agents, Revenue District Officers and Other Internal Revenue Officers Concerned I. Objective : To facilitate the proper identification and monitoring of taxes on Life Insurance Policies, the following ATCs are hereby modified: EXISTING (per ATC Handbook) MODIFIED/NEW BIR Form Tax Rate Legal Tax Rate Legal No. Description Basis Basis ATC ATC Description PT120 Tax on life 5% Section 123 PT120 Tax on life insurance premiums 2% Section 1 2551M insurance premiums of RA No. of RA No. 8424 and 10001 Section 2 of RR No. 4-2002 DS109 Documentary P0.50/P200 Section 7 of DS109 Documentary Stamp Tax on life Section 3 2000 Stamp Tax on or fractional RA No. insurance policies if the amount of RA No. life insurance part thereof 9243 and of insurance: policies of the Section 7 of Does not exceed P 100,000 10001 amount of RR No. Exceeds P 100,000 but does premium 13-2004 not exceed P 300,000 Exempt collected Exceeds P 300,000 but does P 10.00 not exceed P 500,000 P 25.00 Exceeds P 500,000 but does P 50.00 not exceed P 750,000 P 75.00 Exceeds P 750,000 but does not exceed P 1,000,000 P 100.00 Exceeds P 1,000,000 II. Repealing Clause: This Revenue Memorandum Order (RMO) revises portions of all other issuances inconsistent herewith. III. Effectivity: This RMO shall take effect immediately. ((( F (Original Signed)(Original Signed KIM S. JACINTO-HENARES Commissioner of Internal Revenue B-3/tbm