RMC No. 80-2021 — Clarifies the suspension of the statute of limitations on assessment and collection of taxes due to the declaration of quarantine in various areas in the country Digest | Full Text

fwfi ,a', I REPUBLIC OF THE PHILIPPINES DEPARIMENT OF FINANCE BURE,+UJ OF INTERNAL REVENUE iqi/ Quezon City JUN 2 5 nll REvENUE MEMoRANDUM cTRCULAR No. W' 7P *Tl SUBJECT : Clarifying the Suspension of the Statute of Limitations on Assessment and Collection of Taxes Due to the Declaration of Quarantine in Various Areas in the Country TO All Revenue Officers and Employees and Others Concerned This Circular is being issued to supplement Revenue Memorandum Circular (RMC) No. 52-2021, which suspended the running of the statute of limitations on assessment and collection of taxes pursuant to Section223 of the National Internal Revenue Code of 1997, as amended, due to the declaration of Enhanced Community Quarantine in Metro Manila, Bulacan, Cavite, Laguna, and Rizal (NCR Plus), and other applicable jurisdictions. In Revenue Regulations (RR) No. 12-2020, amending RR No. 1l-2020, the definition of "quarantine" included both enhanced community quarantine (ECQ) and modified enhanced community quarantine (MECQ) since under both levels, there is limited mobility that restricts certain activities. Hence, in conformity with the said definition, the running of the statute of limitations in assessment and collection shall be suspended in areas placed under ECQ, as stated in RMC No. 52-2021, as well as MECQ. With such suspension, the concerned offices of the Bureau shall be provided with additional days for them to issue the Assessment Notices, Warrants of Distraint andlor Levy, as well as Warrants of Garnishment, to enforce collection of deficiency taxes against taxpayers covered by the ECQ and MECQ declaration, which is equivalent to the number of days the particular areawas placed under ECQ and MECQ, plus sixty (60) days from its lifting. For ease of determining the extended due date, please see matrix below, showing the extended due date computation for NCR Plus under Case 1 and illustrating other computations for shorter ECQ and MECQ periods under Cases 2 and 3. The computation under Case 1 is based on threedoecllaration of ECQ in NCR Plus from March 29, 2021 to April I 1 , 2021 , inclusive, under IUATlF' Resolution Nos. 107-A and 108-A arrd the declaration of MECQ from April 12,2021 to MIr ary 14,2(021, inclusive, under IATF Resolution Nos. 109-A and 113-A. ut.lft[:At I lht tFfir*,0,1 R[ lilrou'flf t'.wt,,

Case 1 OId Prescriptive New Prescriptive Due to declaration of Number of Case 2 Due Date Due Date ECQ and MECQ Declared ECQ Case 3 and MECQ Davs April 15, 2021 Per RMC 136-2020 December 15, 2021 47 days + 60 April 15,2021 August 30,2021 Novemb er 19, 2021 21 days + 60 August 30,2021 March 28,2022 28 days + 60 August 15,2021 December 30, 2021 All are enjoined to give this Circular a wide publicity as possible. l'" Commissioner of Internal Revenue o43B4g ryf ryjf tsUREAU OF INTERN,AL Re,v ENUh L Rffiffii,?P{;.-)0T043-dHLD *5i:1r*DSS tiri r. 0l vrs{ ON {. .r&i!