Additional modes of payment of taxes were promulgated to reduce the burden and difficulties experienced by taxpayers in the payment of mandatory taxes and applicable fees.
Revenue Regulation (RR) 3-2016 was issued last March 23, 2016 to prescribe the policies and guidelines in the implementation of the Credit/Debit/Prepaid Card Payment System which was the provision of Section 244 and 245(g) of the National Internal Revenue Code (NIRC) of 1997, as amended.
The use of Philippine-issued credit/debit/prepaid card for the payment of taxes shall be voluntary or optional on the part of the taxpayer. Thus, the taxpayer shall bear any fees charged by the banks and/or credit card companies in addition to the amount of tax due to the Bureau of Internal Revenue (BIR). The taxpayer has the option to choose from the available online payment facilities provided by the Electronic Payment Service Provider (EPSP) for the processing of his tax payments.
The said online payment facility is available only to Authorized Agent Banks (AAB) who satisfied BIR requirements and was issued the notification of authority to accept tax payments thru credit/debit/prepaid card referred to as AABs-Acquirer.
The BIR shall neither have any responsibility nor liability on any issues concerning the taxpayer-cardholder and the card issuer, including, but not limited to, “charge back”, erroneous posting or charging, non-payment of taxpayer-cardholder to the issuer, and other issues. Any erroneous tax payment made by the taxpayer-cardholder through this payment mode shall not give rise to any automatic “charge back” to its/his/her account. The taxpayer shall apply for refund or tax credit with the BIR in accordance with any existing revenue issuance.
The AABs-Acquirer shall be primarily responsible in ensuring that all payment transactions are accurately and timely reported to the BIR and the Bureau of Treasury (BTr), and the same are timely remitted to the latter.
The payment of taxes through credit/debit/prepaid card shall be deemed made on the date and time appearing in the system-generated payment confirmation receipt issued to the taxpayer-cardholder by the AAB-Acquirer. The taxpayer has continuing liability for such taxes until the payment is actually received by the BIR.