The Bureau of Internal Revenue (BIR) issued a memorandum on the revised withholding tax table last December 29, 2018. All companies must update their employees’ compensation records starting January 1, 2018 which is the implementation date of Tax Reform Law (RA 10963) also known as Tax Reform for Acceleration and Inclusion (TRAIN).
Under the revised withholding tax table issued by the bureau, employees who are earning P685 per day or P20,833 per month will be exempted from withholding tax come 2018.
If you don’t fully understand the table above, we have made a simplified revised withholding tax table of BIR. This will be effective starting January 1, 2018 until December 31, 2022. Please be guided accordingly.
- Highlights of Tax Reform Law 2018 (TRAIN)
- Take Home Pay Under 2018 Tax Reform Law
- PDF Download Link of TRAIN or Republic Act RA 10963
- Salary Standardization Law (SSL) Effective January 1, 2018 | Third Tranche
- Updated DOF Tax Calculator