21/07/2026
๐๐๐ฅ ๐๐๐๐ฅ๐๐๐๐๐ฆ ๐๐ฅ๐๐๐๐ง๐๐๐๐ ๐ช๐๐ง๐๐๐ข๐๐๐๐ก๐ ๐ง๐๐ซ ๐ฅ๐จ๐๐๐ฆ ๐๐ข๐ฅ ๐ง๐ข๐ฃ ๐ช๐๐ง๐๐๐ข๐๐๐๐ก๐ ๐๐๐๐ก๐ง๐ฆ ๐จ๐ก๐๐๐ฅ ๐ฅ๐ฅ ๐ก๐ข. ๐ฎ๐ฐ-๐ฎ๐ฌ๐ฎ๐ฑ
The Bureau of Internal Revenue (BIR) advises all Top Withholding Agents (TWA), manufacturers, direct importers, taxpayers, and other stakeholders that it has issued Revenue Memorandum Circular (RMC) No. 79-2026, which clarifies the provisions of Revenue Regulations (RR) No. 24-2025 on the imposition of Creditable Withholding Tax (CWT) on Top Withholding Agents.
The Circular provides answers to frequently asked questions on the implementation of RR No. 24-2025, including the application of the one-half percent (1/2%) CWT on purchases from manufacturers and direct importers of covered goods intended for wholesale. It also clarifies the documentary requirements for establishing a supplier's status, the proper interpretation of "intended for wholesale," and the circumstances under which the preferential 1/2% CWT rate applies.
In addition, RMC No. 79-2026 clarifies the application of the withholding tax rules to purchases involving motor vehicles in Completely Built Unit (CBU) or Semi-Knocked Down (SKD) form, motorcycles, pharmaceutical products, and solid and liquid fuels and related products. It also prescribes the appropriate corrective measures when an incorrect withholding tax rate has been applied.
The issuance aims to promote the uniform implementation of RR No. 24-2025, provide clearer guidance to withholding agents and taxpayers, and ensure the proper application of withholding tax rules in covered transactions.
For the full text of RMC No. 79-2026, visit the BIR website or access the Circular through this link:https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2079-2026_redacted.pdf
