Filing of the Monthly Return of Income Tax Withheld

September 8, 1989 BIR RULING NO. 197-89 72 000-00 197-89 S i r : This refers to your letter dated February 1, 1989 requesting in effect a ruling as to whether or not registered withholding agents are exempt from filing the Monthly Return of Income Tax Withheld (BIR Form 1734-W) if there are no taxes to be withheld or remitted, and consequently, be spared from the penalties imposed by reason of such failure notwithstanding the mandatory instruction indicated in the said BIR Form that the same be filed "monthly in duplicate whether or not taxes have been withheld." In reply, please be informed that under Section 6 of Revenue Regulations No. 12-86 amending Section 22 of Revenue Regulations No. 6-82 otherwise known as the Withholding Tax Regulations on Compensation implementing Section 72 of the Tax Code, as amended, the total amount actually refunded by the employer to his employees resulting from the year-end adjustment shall be repaid from the remittable amount of taxes withheld for the month of December of the current year and succeeding month of the following year until the total amount actually refunded is fully repaid. Accordingly, A Monthly Return of Income Tax Withheld (BIR Form 1743-W) is still required to be filed by a withholding agent whether or not taxes have been withheld. cdtech Very truly yours, (SGD.) JOSE U. ONG Commissioner