Taxes To Be Imposed On Bloggers, Filmmakers, & Others Earning From Digital Ads

22 Jun Taxes To Be Imposed On Bloggers, Filmmakers, & Others Earning From Digital Ads

In a recently released Revenue Memorandum Circular No. 60-2020 by the Bureau of Internal Revenue (BIR), individuals who conduct business transactions through electronic platforms and other digital media are required to comply as follows:

• must register to the BIR
• must issue Official Receipt or registered Sales invoice for every service or sale of goods
• must keep a registered Book of Accounts and other accounting records of transactions
• must file and pay tax returns punctually

For those who have registered before the set deadline, which is on July 31, 2020, they will not be penalized for late registration but are encouraged to declare transactions in the past that are subject to taxes and pay the said taxes without the penalties.

Here is a list of digital merchants identified to register.

• bloggers
• content creators
• digital service, membership, and subscription
• digital transaction through electronic platforms and media
• e-commerce platform providers
• filmmakers
• internet retailers of consumer goods
• ride-hailing services for delivery, food, merchandise, and transportation

Taxation for such services that earn through digital ads is just the same with online merchants.

However, for those that earn below P250,000 a year are exempted from tax, but required to file their annual income tax returns.

Source: Yugatech