New List of Additional and Delisted Top Withholding Agents

New List of Additional and Delisted Top Withholding Agents

(Revenue Memorandum Circular No. 136-2019, December 19, 2019)

This Tax Alert is issued to inform all concerned on the publication of BIR’s lists of additional and delisted Top Withholding Agents last December 16, 2019. The list is based on the amended criteria in determining the Top Withholding Agents (TWAs) under Revenue Regulations(RR) No. 7-2019.

Pursuant to RR  No. 7-2019, the publication of the TWAs shall serve as the “notice” to the TWAs to deduct and remit to the BIR the 1% and 2% creditable withholding tax (CWT) from regular suppliers of goods and services, respectively.

For those in the December 16 publication, the obligation to withhold shall continue, commence or cease, as the case may be, beginning January 1, 2020.

Taxpayers that cannot be found in any of the lists of existing and additional TWAs published in October 2018, March 2019 and December 2019 are deemed to have been excluded and therefore, are not required to deduct and remit the 1% or 2% CWT on purchases of goods and services from regular suppliers.