The Bureau of Internal Revenue (BIR) has issued a memorandum on the revised withholding tax table. All companies must update their employees’ compensation records which has already started last January 1, 2018 under the implementation 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.
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.
2020 Withholding Tax Table
- Salary Standardization Law (SSL) Law V | SSL 2020
- PDF Download Link of TRAIN or Republic Act RA 10963
- Updated DOF Tax Calculator