Hello, once again! We’re back with another How To Use Taxumo Article and in this blog post, we will teach you how to set up your Company Information in Taxumo.
Setting up our Company Information is very easy. You will have a guide at the left side of your screen. Once you have successfully updated a portion, a green check mark will be seen. The goal is to have all of these points checked at the end of the session.
So let’s get on with this How To Use Taxumo guide!
In the first page, indicate the Tax Identification Number of your Company. If you are a sole proprietor or a professional, indicate your own TIN. If you have a Company or Partnership, please use the TIN of your company / partnership.
Indicate your registered address, your Revenue District Office (which is indicated in your Certificate of Registration or COR) and your Zip Code.
For “File my Taxes from”, please indicate the date from which you’d like to file your taxes. If you have filed your taxes manually prior to today, you can just indicate the date when you want to start using Taxumo. This will have an effect on the tax cards that will be shown to you.
Tax Cards = each tax card which will be shown later on is a type of tax that you need to pay. In a tax card, the amount of tax due and the deadline will be shown.
For Tax Type Selection, please answer the questions according to the year being reported. Note that in your Taxumo Settings page, you can have a different setting or answers for the other years.
For the source of your income, the three choices are:
- From Business only
- From Business and from an employer (be sure that you have an employee contract and a 2316 from that employer)
- From practicing a profession if you are a licensed or non-licensed professional (ex. Freelancer, consultant, doctor, etc.)
For the Income Tax Rate Type, for those earning beyond Php 3 Million Annual Gross Sales / Revenue, your only option is Graduated Income Tax. If you earn below Php 3 Million Annual Gross Sales / Revenue, you can opt to choose 8% Gross Receipt Tax. You will have to check with your Revenue District Office though on how to avail of this. For some RDOs, they still require your COR to be updated. For most of the RDOs though, you can just indicate that you’re opting in during your first quarter income tax filing.
In cases where you missed your first quarter income tax filing, you will HAVE to choose Graduated Income Tax for that year being reported.
For the Deduction method, you have Optional Standard Deduction and Itemized Deduction as choices. Here is an article on the deduction methods: http://help.taxumo.com/en/articles/2881209-deduction-methods
If you’ve chosen 8% Gross Receipt Tax, you can just choose Optional Standard Deduction, but the deduction method would that you choose would not matter since the computation will always be based on our Gross Revenue.
Now in setting up your Business Profile, your have three choices for business type:
- Selling of goods
- Selling of services
- Selling both goods and providing services
For the Taxpayer type, you can choose Single Proprietor if you are a sole proprietor with a DTI Permit, a Business Permit from the Mayor’s Office and a Certificate of Registration from the BIR. You are a professional if you have the Certificate of Registration from the BIR and either an Occupational Tax Receipt or a Professional Tax Receipt. For the rest (Corporation, Partnership, Estate and Trust), it’s self explanatory.
For the line of business, you can refer to your Certificate of Registration. Just copy it and the industry will pop out in the system. If you have no COR yet, you can choose the closest industry. You can update it once you get your Certificate of Registration.
And for the BMBE (Republic Act No. 9178) question, choose YES if you have received a BMBE Certificate of Authority. Otherwise, choose No.
And that’s it! As you can see, all of the items on the left side has been marked with a green check mark. This indicates that I have completed filling out all sections.
Remember to always check and update your profile before filing. Please note that for the Income Tax Rate Type and the Deduction method, you can only change it at the beginning of the year (when you haven’t file anything for the year yet).
If you have any questions, kindly check out our blog posts in https://www.taxumo.com/blog/ We are sure that we have articles that will be very informative.
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