Philpad

Your pad on anything Filipino...

New Income Tax Table 2019 Philippines

By 21 Comments

New Income Tax Table 2019 Philippines (BIR Tax Table 2019). The new income tax table below is applied effective January 2019 following the new BIR TRAIN, meaning, Tax Reform for Acceleration and Inclusion Act implementing the Income Tax Provisions of the Republic Act 10963. So if you are computing your 2018 and 2019 income tax, you must now use and apply this new tax table.

The Tax Reform for Acceleration and Inclusion was introduced last year while the implementation starts at 2018. Its objectives include reduction of tax rates, simplified tax system, expansion of VAT base, excise tax on sugary, automobiles, and petroleum products.

The Department of Finance also propose tax reforms for estate tax amnesty, general tax amnesty, amendments to bank secrecy law, lower estate and donor’s tax rates, lower rates on transaction taxes on land, limit on VAT zero-rating to direct exporters, rationalization of fiscal incentives, VAT refund in cash, harmonization of capital income tax rates on deposits, investments, dividends, equities and other passive income to 10% and increase on stock transaction tax from 0.5% to 1%.

BIR TRAIN timeline has started and the Bureau is still conducting seminars and training to properly assists people, companies and corporation for the implementation and execution of this new tax law. Package 1 has started in 2018 while Package 2 which tackles introduction and implementation of Corporate Income Tax has a timeline from 2018 to 2019. Packages 3 and 4 which tackle Capital Income Tax and other tax measures will eventually follow.

BIR Income Tax Table for 2019 Philippines

Annual Income Tax Table (Summarized 2018 – 2022 and 2023 onwards)

For the year 2019, the following tax rate shall apply for annual income tax for taxpayers defined under R.A. 10963. We simplified the table to guide taxpayers easier.

new income tax table 2019
new income tax table 2019
income tax table 2019 philippines

TRAIN Tax Calculator Sample

From the new Tax Table above, we got a sample following income computations.

If taxable income for the year for example resulted to 1,000,000, tax due will be 190,000.

1,000,000 falls under the 800,000 lower limit bracket. Basic amount will be 130,000. The excess 200,000 should be multiplied by 30%. You’ll get 60,000. Therefore,

130,000 + 60,000 = 190,000 tax due

Individuals Earning Purely Compensation Income shall be taxed on the income tax rates prescribed above.

There is an increased threshold for non-taxable 13th month pay and other benefits, from 82,000, it is now 90,000.

Taxable income for compensation earners is the gross compensation income less non taxable income/benefits such as but no limited to the 13th month pay and other benefits de minimis benefits and employee’s share in the SSS, GSIS, PHIC, Pagibig contributions and union dues.

Husband and wife shall compute their individual income tax separately based on their own taxable income; if any income cannot be attributed to or identified as income exclusively earned by either of the spouses, the same shall be divided equally between the spouses.

Minimum wage earners shall be exempt from the payment of income tax based on their statutory minimum wage rates. Holiday pay, overtime pay, night shift differential pay and hazard pay received by minimum wage earners are likewise exempt.

To further read the complete TRAIN law, please visit the BIR website.

BIR TRAIN Tax Table 2019

Here’s the non-summarized table from the BIR. Effective January 1, 2018 until December 31, 2022.

BIR TRAIN tax table 2019

BIR TRAIN Tax Table 2023 Onwards

Effective January 1, 2023 and onwards.

BIR TRAIN tax table 2023

Income Tax Guides:

Filed Under: tax Tagged With:

Reader Interactions

Comments

  2. what form should i use?? form 1701 vs 2018 or 1701A (VERSION7.4.1 OFFLINE MODE)

    ALSO kapag po ba below 250K tax rate..wala na pong babayaran? pde po ba mgfile sa BPI or pupunta pa mismo sa BIR para isubmit un ITR?

    thank you po sa magrereply

    Reply

    • I don’t understand why do we have to file Taxes.
      The BIR doesn’t care if your taxes or collected, let me share my story…

      I wasn’t given a 2316 by my former employer, so I filed a complaint to the Local RDU…
      They told me:
      “Go ask your employer, we can’t issue that for you”
      I left a letter addressed to the District Officer
      I never got a reply …

      So frustrated, I went to the Regional Investigation Office, showed him my papers,
      He said, “There’s no taxes deducted, I can’t help you”

      Next, I went to the BIR Main Office, expressed my complaint..
      They said, “Go to the RDU where your company is at”

      I still haven’t got my 2316 for 2019.

      Reply

  6. I filed and submitted my 1701A. When and how will i know if it is already validated by bir?
    Thanks

    Reply

  7. I am a government employee. During my free time I am doing a consultancy services. At present I am working with a project due this April. My professional fee will be 70,000 equivalent to 19 days of work. How much tax will I pay?

    Reply

  12. If I earn below 250k, that means my tax would be at 0%. Do I still need to “file” it or not? I’m new to the workforce and haven’t paid tax ever, don’t even have a TIN card yet. Not even SSS, Philhealth, etc… Do I just not do anything or filling even at 0% is still needed?

    Reply

    • Depends. If you are professional, freelance individual, sole proprietor, YES. You still need to file your ITR even your income fall at 0% or no tax due to pay. Only employed individual who does not need to file because of the substituting filing.

      Reply

    • I think you need to go to your nearest BIR offices then inform the frontliner about your lost TIN number. They will just generate it to their system and ask you to get an affidavit of lost to replace your TIN

      Reply

Leave a Comment:

More in tax
bir rdo codes 2019
BIR RDO Codes – Updated List of Revenue District Offices 2019

Close