RMC No. 58-2026 — Circularizing the procedures for the filing and payment of Quarterly Royalty under Republic Act No. 12253, otherwise known as the "Enhanced Fiscal Regime for Large-Scale Metallic Mining Act" Digest | Full Text

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BI.]REAU OF' INTERNAL REVEIYUE BrhgfutsinReurts BAGONG forNatimBuiHing PIL'P,,DIAS 21 !4AY 2026 SI]BIECT - REvENUE MEMoRAT\rDuM cTRCULAR No. 0 5 B 2 0 2 6 Procedures for the Filing and Payment of Quarterly Royalty under Republic Act No. 12253, Otherwise Known as the "Enhanced Fiscal Regime for Large-Scale Metallic Mining Act" TO All Internal Revenue Offrcers and Others Concemed This Circular is hereby issued to prescribe the procedures for the filing of quarterly royalty retum and payment of royalty under Section 15l-A of the National Intemal Revenue Code of 1997, as amended (Tax Code), as introduced under Republic Act (RA) No. 12253, otherwise known as the "Enhanced Fiscal Regime for Large-Scale Metallic Mining Act," and its Implementing Rules and Regulations pending the availability of the dedicated return for payment of royalty, in order to ensure compliance by affected taxpayers. SECTION 1. COVERAGE. - The procedures herein shall apply to all large-scale metallic mining contractors and operators who are required to file quarterly royalty retums and pay the corresponding royalty under Section 15l-A of the Tax Code, pursuant to the provisions of RA No. 12253, which provide that they shall become subject to the fiscal regime provided therein after one hundred and fifty (150) days from the effectivity ofthe Act, or on February 17,2026. SECTION 2. F'ILING AND PAYMENT OF QUARTERLY ROYALTY. _ a) Filing Deadline. Large-scale metallic mining contractors and operators subject to the payment of royalty under Section 151-A of the Tax Code shall file the corresponding return and pay the royalty within sixty (60) days after the close of each calendar or fiscal quarter, as applicable. b) Filing and Payment Facility. Pending the issuance of a dedicated quarterly royalty return and the availability of the corresponding elecfionic filing and payment facilities, the quarterly royalty shall be filed and paid using BIR Form No. 0605, either elecfonically through the Elecfronic Filing and Payment System (eFPS) for eFPS filers or manually for non-eFPS filers, with the following specificationr' @RrrgorfrtRfo,,t^r6$,}f*Tf,Vr,$Jri i. Tor type: "MC" ll. Alphanumeric Tor Code (ATC): R l,tAY 2 8 2020 - MC 344 Operations Within Mineral Reservations r;-lTI I I: - MC 345 Operations Outside Mineral Reservations BY: MIN U BIR National Office Bldg., Senator Miriam P. Defensor-Santiago Avenue, Diliman, Quezon City Websib: w ur n'. bir. grrv. rrh / Trunkline: E9Et-7000 892*7676

iii. Manner of Payment: "Volunta4l Payment" lv Description field: "Others (Speciff)" and indicate: '?pe of agreement and agreement number" Example: "MPSA No. I 23-2026-XlIl" The filing and payment made through BIR Form No. 0605 shall be considered as advance or initial compliance with the quarterly royalty liability for the corresponding period, without prejudice to the subsequent filing of the prescribed quarterly royalty return, once available, and shall be subject to validation, monitoring, reconciliation, and necessary adjustment upon the issuance of the prescribed revenue issuance and/or forms governing the filing thereof. c) Separate Filing per Agreement under Ring-Fencing Requirement. Where a large- scale metallic mining contractor or operator holds two (2) or more mineral agreements, financial or technical assistance agreements (FTAAs), and/or operating agreements, the quarterly royalty return for each agreement shall be filed and paid separately. Each agreement shall be treated as a distinct ring-fenced project for purposes of determining, reporting, and accounting for the corresponding quarterly royalty liability, consistent with Section 151-C of the Tax Code. d) Computation of Quarterly Royalty. The quarterly royalty due for each ring-fenced project shall be computed in accordance with Section 151-A of the Tax Code, taking into account: l. the gross output base, and allowable deductions and applicable royalty rate which shall differ depending on whether the mining operations are conducted within or outside mineral reservations; and ii. such other rules and requirements as may be prescribed in the implementing Revenue Regulations to be issued pursuant to RA No. 12253. Pending the issuance of such implementing Revenue Regulations by the Bureau of Internal Revenue (BIR), covered taxpayers shall apply the computation methodology directly prescribed under Section 151-A of the Tax Code and the Implementing Rules and Regulations dated December 18,2025 issued by the Department of Finance. Mining contractors and operators shall likewise maintain and preserve, and submit upon request, such schedules, computations, and supporting documents as may be necessary to substantiate the royalty paid, including but not limited to records supporting the determination of gross output base, allowable deductions, and the applicable royalty rate. @ RH8$,9'^,h9.,6r'1l}.vr*vs R }.lAY 21 2026 A MIN UNIT.2 +'0q" BY: IIME:

ILLUSTRATIYE EXAMPLE. - ABC Nickel Corp. has two (2) existing Mineral Production Sharing Agreements (MPSA), namely: o MPSA No. 123-2026-Xlil (Operations Within Mineral Reservations); and o MPSA No. 456-2026-)(lll (Operations Outside Mineral Reservations) Pursuant to Section l5l-C of the Tax Code, separate BIR Form No. 0605 shall be filed for each MPSA. A. Filing and Payment for MPSA No. 123-2026-XIII (Operations Within Mineral Reservations) @ ffitrfiffi* R?rrblngPffia PaYment Form BIR Fsm No. 0605 September 2003(EltCS) ltu- CH.r4.;t t ea 3**or* ElDrrYral 5nl-ruerc 2fPiaEfYIY' i2-Olc.trE v I 2026r OrOrOrOr i.,--q".i-_;,,- zoasl[--f lffi- ,gqli__ ii., 7brgmytyni " ?qqi!E"rir.o..{rc-: rEE rffiE O- OOrmem tOO.rrEleElx*.E..rDEEl L CrlE OOOcErcrHrcrrfSqfirElrE+aH OOramrmr UPSA IZ}AELEI EdfrE t9' igo,@,o(l: ZoEl- . f5-!. H offi, d't 2r0t_:-:- :l-:!jE 20A1 .---,,r."AarB1.' ''' --q.qi2rci- turffiH Fre -tFproird [*t irtuert{.:+ts.J e!hi+ al'r, apf'sil# bi rr''$I4}t{1! 0f.a: trE I @'$, rq uo'A"e -{ R E v E f r u E ^q RECOT1 DS M At\,lA(i EM E^N1T DIVISION },lAY 21 2026 R A MIN UNItT -2 TIME: -th!99P BY: Page 3 of4

B. Filing and Payment for MPSA No. 456-2026-XI[ 8lR Fom 1{o. (Operations Outside Mineral Reseruations) 0605 @ ffiHffi*". PavmentForm Soptember 2003{E}ICS) EI C:lsndor Fal 3rcrro-r :H*r, tb..r*Ecdc E i 12 - O.cat..r v _ad OrrOzOrOr i.--G,i.-rli, -r01zo I:d, Im: (B 3tl i-_ ..*jture.c.cffi] tmrE kffiiEr O- OOs* *- OOmmurfttorl-r*rE OOmrupar OOmnorls*uaroffriEHD AC.d Oarcldrt as&ar2s[t trhErm.E 6i'.' 20rlm rEt S GE-. aq O.Ol 'iirio-lmi *r af---- OT HrlHFCh so.n.r F rEntrr od!a, ,r d ,*\ P?E,fgFlBed ily t4{e ;ientrP} {}ra* ll+i iF{H sfed I f iailrlq ;!i.,* l:ffl{* SECTION 3. BOI\D REQIIIREMENT. - The requirement for the submission of a bond to secure the payment of the royalty, if any, shall be subject to further guidelines to be issued by the BIR in a separate revenue issuance. SECTION 4. EFFECTMTY. - This Circular shall take effect immediately. All internal revenue offtcers and employees are hereby enjoined to give this Revenue Memorandum Circular as wide publicity as possible. CHARLTTO MARTIN R. C o mmi s s ioner of Int ernal D4 000 00241 @ BUREAU o,f^',llE*$fIHSMFSS*' RECORDS 1 },lAY 2 8 2026 Page 4 of4 I ll.9* ADMIN UNIT - 2 TIME: R BY: