Revenue Memorandum Circular · RMC
RMC No. 69-2023 v2
To inform taxpayers that the rates of Percentage Tax, MCIT and RCIT on proprietary educational institutions and not-for-profit hospitals revert effective July 1, 2023 pursuant to the CREATE Act and its implementing regulations, and to illustrate how 2023 taxes are computed across the transition date for calendar-year and fiscal-year taxpayers.
- Document type
- RMC
- Number
- 69
- Year
- 2023
- Text quality
- Not specified
Document text
Reference copy · verify against the official sourceRMC 69-2023 announces that, effective July 1, 2023, the tax rates applicable to proprietary educational institutions and not-for-profit hospitals revert to their pre-CREATE levels: Percentage Tax back to 3% of gross quarterly sales or receipts (for corporations, self-employed individuals and professionals with gross sales/receipts not exceeding the ₱3 Million threshold, except cooperatives and those availing the 8% income tax rate), MCIT back to 2% of gross income for domestic and resident foreign corporations (including OBUs and ROHQs), and RCIT back to 10% of taxable income for proprietary educational institutions and non-profit hospitals. For taxable year 2023, taxes are computed at 1% for the period before July 1, 2023 and at 2%/10%/3% from July 1, 2023 onward, for both calendar-year and fiscal-year taxpayers.