TAXATION act of a taxing authority, usually a government levying a financial obligation on its citizens or

residents.
TAXES are enforced proportional contributions from persons and property, levied by the State by virtue of its
sovereignty for the support of the government and for all its public needs.
INHERENT POWER means a power existing as a natural or basic part of every sovereign state, without being
conferred or granted by the people or the constitution.
The 3 inherent powers of the state:
POWER TO TAX - the act of levying or imposing a tax (power to destroy)
• It is the process or means by which the sovereign (independent State) through its law-making body (legislative
branch of the government) raises income to defray the necessary expenses of the government by apportioning
the cost among those who, in some measure, are privileged to enjoy its benefits, and therefore, must bear its
burdens.
• The power of taxation is the power to impose burdens on subjects and objects (person, property and
exercises/privileges) within its jurisdiction.
POLICE POWERS - to promote public welfare by restraining and regulating the use of liberty and property. It
may be exercised only by the government. The property taken in the exercise of this power is destroyed because
it is exercise noxious or intended for a noxious purpose.
EMINENT DOMAIN – to take private property for public purpose upon payment of just compensation.
Essential characteristics of tax:
A tax is a forced charge, imposition or contribution
• It is a pecuniary burden payable in money

• It is imposed for public purpose

• It is imposed pursuant to a legislative authority
• It is levied within the territorial and legal jurisdiction of a state
• It is assessed in accordance with some reasonable rule of apportionment
SIMILARITIES among Taxation, Eminent Domain and Police Power
a. They are inherent in the State.
b. They exist independently of the constitution although the conditions for their exercise may be prescribed by
the constitution
c. Ways by which the State interfere with private rights and property
d. Legislative in nature and character

e. Presuppose an equivalent compensation received, directly or indirectly, by the persons affected.

NATURE AND CHARACTERISTICS OF TAXATION
1. Inherent Power
2. Essentially a legislative function
3. Subject to inherent and constitutional limitations

4. For public purpose

5. The strongest of all the inherent powers of the state
6. Subject to international treaty or comity
7. Generally payable in money
8. Territorial in scope
THEORY AND BASIS OF TAXATION
1. Necessity Theory - the power of taxation proceeds upon the theory that the existence of government is
necessity. The government cannot continue to perform of serving and protecting its people without means to
pay its expenses. For this reason, the state has the right to compel all its citizens and property within its limits to
contribute.
2. Lifeblood Doctrine - taxes are the lifeblood of the government without which it can neither exist nor endure.
Upon taxation depends the State's ability to serve the people for whose benefits taxes are collected.
3. The Benefit-Protection Theory - the basis of taxation is the reciprocal duties of "protection and support"
between the State and its inhabitants. The State collects taxes from the subjects of taxation in order that it may
be able to perform the functions of government. The citizens, on the other hand, pay taxes in order that they
may be secured in the enjoyment of the benefits of organized society. This theory spawned the Doctrine of
Symbiotic Relationship which means, taxes are what we pay for a civilized society.
SCOPE OF THE TAXING POWER OF THE LEGISLATIVE
1. The subject or object (person, property and excises/privileges) to be taxed
2. The purpose of the tax as long as it is a public purpose

3. The amount or rate of the tax

4. Kind of tax
5. Apportionment of the tax
6. Situs of taxation
7. The manner or method of collection
STAGES/ASPECTS OF TAXATION
1. Levying or Imposition - this process involves the passage of tax laws or ordinances (in the case of local
government units) through the legislature.
2. Assessment and Collection - this process involves the act of administration and implementation of tax laws
by the executive through its administrative agencies such as the Bureau of Internal Revenue and the Bureau of
Customs.
• Assessment refers to the determination by the executive branch of the correct amount of the tax.
• Collection of the tax levied, which is administrative in character.
ELEMENTS OF SOUND TAX SYSTEM
1. Fiscal Adequacy - the sources of government revenue must be sufficient to meet government expenditures
and other public needs.
2. Theoretical Justice - a good tax system must be based on the taxpayer's ability to pay. This suggests that
taxation must be progressive conformably with the constitutional mandate that congress shall evolve a
progressive system of taxation.
3. Administrative Feasibility - tax laws must be capable of convenient, just and effective administration free
from confusion and uncertainty. Thus, the tax system should have the merits of simplicity, flexibility and
diversity.
KINDS OF DOUBLE TAXATION
1. Direct Duplicate Taxation - this is objectionable and prohibited because it violates the constitutional
provision on uniformity and equality. It means:
•Taxing twice;
•By the same taxing authority;

•Within the same jurisdiction or taxing district;

•For the same purpose;
•In the same year or taxing period; and
•Same kind or character of tax
2. Indirect Duplicate Taxation - It is not legally objectionable. It extends to all cases in which there is a
burden of two or more pecuniary imposition but Imposed by different taxing authorities.
LIMITATIONS ON THE TAXING POWER
A. Inherent Limitations
1. Public purpose
2. Situs of taxation or territoriality

3. International comity or treaty

4. Non-delegability of the taxing power.
5. Tax exemptions of the government
B. Constitutional Limitations
1. Observance of due process of law
2. Equal protection of law

3. Uniformity in taxation
4. Progressive scheme of taxation
5. Non-imprisonment for non-payment of poll tax
6. Non-impairment of the obligations of contracts
7. Free-worship clause
8. Exemptions of charitable institutions, churches, parsonages or convents appurtenant thereto, mosques and
non- profit cemeteries and all lands, buildings and improvements actually, directly and exclusively used for
religious, charitable or educational purposes.
9. Exemption from taxes of the revenues and assets of non-profit, non-stock educational institutions including
grants, endowments, donations or contributions for educational purposes.
10. Non-appropriation of public funds or property fo the benefit of any church, sect or system of religion, etc.

11. No money shall be paid out of the Treasury except in pursuance of an appropriation made by law.
12. Concurrence of a majority of ALL MEMBERS OF CONGRESS for the passage of a law granting tax
exemption.
13. Non-diversification of tax collections.
17. Each local government unit shall exercise the power to create its own sources of revenue and shall have a
just share in the national taxes.
REPUBLIC ACT NO. 11213 "ТАХ AMNESTY ACT"
An Act Enhancing Revenue Administration and Collection by Granting an Amnesty on All Unpaid Internal
Revenue Taxes Imposed by the National Government for Taxable Year 2017 and Prior Years with Respect to
Estate Tax, Other Internal Revenue Taxes, and Tax on Delinquencies
Basically, excise tax is an indirect tax, excise taxes are directly levied upon the manufacturer or importer upon
removal of the taxable goods from its place of production or from the customs custody. These taxes, however,
may be actually passed on to the end consumer as part of the transfer value or selling price of the goods sold,
bartered or exchanged.
Taxes play a significant role in the nation-building of the Philippines. They serve as the financial skeletal
system of the government, providing the necessary resources for the government to exist and support its
legitimate expenses Taxation is also important for economic stability, as taxes serve as the backbone and
fundamental key to maintaining a stable economy.
Additionally, taxes are crucial for promoting sound administrative systems, transparency, and accountability in
the government. The implementation of tax reforms, such as the Tax Reform for Acceleration and Inclusion
Law, can have both poverty-reducing and distributional effects, leading to an increase in household income and
a decrease in the number of poor individuals in the country. Furthermore, tax administration measures and
adjustments in tax rates are essential for revenue mobilization and maintaining tax equity in the Philippines.
Overall, taxes are indispensable for the development and progress of the nation.

NATURE OF TAX LAWS

Tax laws are civil and not penal in nature, although there are penalties provided for their violation. The purpose
of tax laws in imposing penalties for delinquencies is to compel the timely payment of taxes or to punish
evasion or neglect of duty in respect thereof.
CONSTRUCTION OR INTERPRETATION OF TAX LAWS IN CASE OF DOUBT OR AMBIGUITY
a. Tax statutes are construed strictly against the government and liberally in favor of the taxpayer. Taxes, being
burdens, are not to be presumed beyond what the statute expressly and clearly declares.
b. Provisions granting tax exemptions are construed strictly against the taxpayer claiming tax exemption and
liberally in favor of the government.
SOURCES OF TAX LAWS

a. Constitution
b. Tax Treaties and Conventions with foreign countries
c. The "Tax Code" [RA No. 8424-National Internal Revenue Code, as amended (RA 10963 - TRAIN LAW; RA
11534-CREATE LAW), Tariff and Custom Code, and portion of the Local Government Code.

d. Statutes and laws like RA 1125 (an Act creating the Court of Tax Appeals) and RA 7716 (E-VAT law)
e. Presidential Decrees and Executive Orders
f. Court decisions
g. Revenue Issuances promulgated by the Department of Finance such as Revenue Regulations (RR), Revenue
Memorandum Circulars (RMCs). Revenue Memorandum Orders (RMOS), BIR Revenue rulings and those of
the Bureau of Customs like Customs Memorandum Orders.
h. Local Tax Ordinances
ESCAPE FROM TAXATION

1.Evasion or Dodging - the taxpayer uses unlawful means to evade or lessen thi payment of tax.
2. Avoidance or tax minimization - it is the reduction or tally escaping payment o tax through legally
permissible means.
3. Shifting it is the transfer of tax burden to another. The imposition of tax i transferred from the statutory
taxpayer to another without violating the law.

• Impact - is the point at which a tax is originally imposed

• Incidence - is the point at which the tax burden finally rests or settles down.
4. Capitalization - the seller is willing to lower the price of the commodity provided the taxes will be
shouldered by the buyer.
5. Transformation - the manufacturer absorbs the additional taxes imposed by the government without passing
it to the buyers for fear of lost of his/its market. Instead, he/it increases quantity of production, thereby turning
their units of production at a lower cost resulting to the transformation of the tax into a gain through the medium
of production.
6. Exemption - it is an privilege or immunity, freedom from payment of a charge or burden to which others are
obliged to pay.

SYSTEMS OF INCOME TAXATION

a. Global System - all items of gross income, deductions are reported in one income tax return and the
applicable tax rate is applied on the tax base.
b. Schedular System - different types of income are subject to different sets of graduated or flat income tax
rates.

CLASSIFICATION OF EXEMPTION
a. Express or Affirmative- these are express provisions in the Constitution, statutes, treaties, ordinances,
franchises or contracts.
b. Implied or exemption by omission - this occurs when a tax is levied on certain classes of persons, properties
or transactions without mentioning other classes. Those not mentioned are deemed exempted by omission.
CLASSIFICATION OF TAXES
a. According to Subject Matter:
• Personal, Poll or Capitation Tax - tax of a fixed amount imposed upon individual, whether citizens or not,
residing within a specified territory without regard to their property or the occupation in which he may be
engaged (e.g. basic community tax)
• Property Tax - tax imposed on property, whether real or personal, in proportion either to its value, or in
accordance with some other reasonable method of apportionment. (e.g. real estate tax)
• Excise Tax - any tax which does not fall within the classification of a poll tax or a property tax. This is a tax
on the exercise of certain rights and privileges (e.g. income tax, estate tax, donor's tax, VAT)
b. According to Who bears the burden:
• Direct Tax (e.g. income tax, estate tax, donor's tax)

➤ Imposed on the person obliged to pay the same and this burden cannot be shifted or passed on to another.

➤ A tax in which the taxpayer who pays the tax is directly liable therefore, that is, the burden of paying the tax
falls directly on the person paying the tax.

➤ Demanded from the very person who, as intended, should pay the tax which he cannot shift to another

• Indirect Tax (e.g. VAT and OPT)

➤ Payment is demanded from a person who is allowed to transfer the burden of taxation to another

➤ A tax paid by a person who is not directly liable therefore, and who may therefore shift or pass the tax to
another person or entity, which ultimately assumes the tax burden

➤ Is demanded in the first instance from one person with the expectation that he can shift the burden to
someone else, not as a tax but as part of the purchase price
c. According to Determination of amount:
• Specific Tax - this is a fixed amount based on volume, weight or quantity of goods as measured by tools,
instruments or standards (e.g. excise tax on cigars and liquors)
• Ad Valorem Tax - this imposition is based on the value of the property subject to tax (e.g. VAT, income tax,
donor's tax and estate tax)
d. According to Purpose:
• Fiscal/General/Revenue Tax levied without a specific or pre-determined purpose (e.g. income tax, donor's
tax and estate tax)
• Regulatory/Special/Sumptuary Tax - those intended to achieve some social or economic goals (e.g. tariff
and certain duties on imports)
e. According to Jurisdiction/Scope or Authority:

• National Tax - imposed by the National Government

• Local Tax - imposed by municipal corporations (e.g. real estate tax)
f. According to Graduation or rate:
• Proportional/Flat Rate Tax - unitary or single rate (e.g. VAT, OPT)
• Progressive/Graduated Tax - as the tax base grows, the tax rate increases (e.g. income tax on individuals,
estates, trusts, estate tax, donor's tax)
• Regressive Tax - the tax rate increases as the tax base decreases.
ORDER OF PRIORITY
1. Constitution
2. Tax Treaties

3. Tax Laws/Statutes and judicial decisions

4. Revenue issuances
EXCISE TAX
Section 129 of the Tax Code, as amended, provides:
Excise taxes apply to goods manufactured or produced in the Philippines for domestic sales or consumption or
for any other disposition and to things imported as well as services performed in the Philippines. The excise tax
imposed herein shall be in addition to the value-added tax imposed under the Title IV of the Tax Code, as
amended. Excise tax is also known as tax on the production, sale or consumption of a commodity in a country,
including certain services. It is imposed on:

• Goods manufactured or produced in the Philippines for domestic sale or consumption or for any other
disposition;

• Goods imported; and

• Certain services provided under the TRAIN Law, specifically Invasive Cosmetic Procedures

GOODS SUBJECT TO EXCISE TAXES

Excise taxes specifically apply to:
a) Alcohol products,

b) Tobacco products,
c) Petroleum products,
d) Miscellaneous articles such as automobiles and non-essential goods,
e) Non-essential services,
f) Sweetened beverages, and

g) Mineral products
The excise tax imposed herein shall be in addition to the value-added to imposed.
KINDS OF EXCISE TAXES
1. Specific tax - an excise tax imposed and based on weight or volume capacity or any other physical unit of
measurement.
2. Ad valorem tax - an excise tax imposed and based on selling price or other specified value of the good.
MANNER OF COMPUTATION OF EXCISE TAX
a) Specific tax = Units x Specific tax rate
b) Ad valorem tax = Units x SP/unit x Ad valorem tax rate
EXAMPLES OF SPECIFIC TAX

a) Excise tax on Cigarettes Packed by Hand

b) Excise tax on Cigarettes Packed by Machine
c) Excise tax on petroleum products
d) Excise tax on mineral products
e) Excise tax on sweetened beverages
EXAMPLES OF AD VALOREM TAX

a) Excise tax on alcoholic products

b) Excise tax on cigars
c) Excise tax on automobiles
d) Excise tax on non-essential services
In 2020, the BOC released its amended general provisions for the consolidated shipment of duty and tax-free
balikbayan boxes, under Republic Act No 10863, otherwise known as the Customs Modernization and Tariff
Act (CMΤΑ). The agency grants the tax exemption of sending balikbayan boxes up to three times in a calendar
year (the period from January 1st to December 31st of a year). However, as per BOC's administrative order, the
privilege is only limited to qualified Filipinos while abroad (QFWA).
Who are the QFWAs?
To be qualified of tax and duty exemptions when sending your balikbayan boxes home, you must possess any
of the following criteria:
• You are an OFW with valid passports, certified for overseas employment by the Department of Labor and
Employment and Philippine Overseas Employment Administration;

• You are a non-resident Filipino with permanent residency abroad but have retained Filipino Citizenship; and
• You are a resident Filipino citizen with student visa, investors' visa, tourist visa, and/or similar visas that
allows you to establish temporary stay overseas.
How can you avail of the tax exemption?

For your balikbayan box to be duty and tax-free, you must observe the following guidelines EXCEPTIONS:
The Secretary of Finance, upon recommendation of the Commissioner may, by rules and regulations, prescribe:
(a) The time for filing the return at intervals other than the time prescribed in the preceding paragraphs for a
particular class or classes of taxpayers after considering factors such as volume of removals, adequate measures
of security and such other relevant information required to be submitted under the pertinent provisions of this
Code; and
(b) The manner and time of payment of excise taxes other than as herein prescribed, under a tax prepayment,
advance deposit or similar schemes. In the case of locally produced of extracted minerals and mineral products
or quarry resources where the mine site or place of extraction is not the same as the place of processing or
production, the return shall be filed with and the tax paid to the Revenue District Office having jurisdiction over
the locality where the same are mined, extracted or quarried: Provided, however, That for metallic minerals
processed abroad, the return shall be filed and the tax due thereon paid to the Revenue District Office having
jurisdiction over the locality where the same are mined, extracted or quarried.
The following are exempt from excise tax:
(f) Under special laws:
(1) Importation from March 25, 2020 to December 19, 2020 of critical or needed healthcare equipment or
supplies intended to combat the COVID-19 public health emergency. The importation of inputs, raw materials,
and equipment necessary for the manufacture or production of the abovementioned essential goods related to
the containment or mitigation of COVID-19 shall be exempt from excise taxes. Provided, the importing
manufacturer is included in the Master List of the DTI and other incentive granting bodies.11, 12, 13
(2) Importation of waste management equipment from June 25, 2020 to December 19, 2020 The importation
from June 25, 2020 to December 19, 2020 of equipment for waste management including, but not limited to
waste segregation, storage, collection, sorting, treatment, and disposal services, as approved by the Department
of Environment and Natural Resources ("DENR"), DOH, or other concerned regulatory agencies shall be
exempt from excise taxes. 14
PERSONS LIABLE TO FILE A RETURN
Every person liable to pay excise tax shall file a separate return for each place of production setting forth,
among others:
a) the description and quantity or volume of products to be removed,
b) the applicable tax base and the amount of tax due thereon.
In the case of indigenous petroleum, natural gas or liquefied natural gas, the excise tax shall be paid by the first
buyer, purchaser or transferee for local sale, barter or transfer. Excise tax on exported products shall be paid by
the owner, lessee, concessionaire or operator of the mining claim. Should domestic products be removed from
the place of production without the payment of the tax, the owner or person having possession thereof shall be
liable for the tax due thereon.

PERSONS LIABLE TO EXCISE TAX:

1. In General:
a. On Domestic or Local Articles
• Manufacturer
• Producer
• Owner or person having possession of articles removed from the place of production without the payment of
the tax
b. On Imported Articles
• Importer
• Owner
Person who is found in possession of articles which are exempt from excise taxes other than those legally
entitled to exemption
2. OTHERS
On Indigenous Petroleum

• Local Sale, Barter or Transfer

- First buyer, purchaser or transferee
• Exportation
- Owner, lessee, concessionaire or operator of the mining claim
TIME FOR FILING OF TAX RETURN AND PAYMENT OF THE
With respect to the excise tax on locally produced or extracted metallic mineral or mineral products, the person
liable shall file a return and pay the tax within fifteen (15) days after the end of the calendar quarter when such
products were removed subject to such conditions as may be prescribed by rules and regulations to be
promulgated by the Secretary of Finance, upon recommendation of the Commissioner. For this purpose, the
taxpayer shall file a bond in an amount which approximates the amount of excise tax due on the removals for
the said quarter. The foregoing rules notwithstanding, for imported mineral or mineral products, whether
metallic or nonmetallic, the excise tax due thereon shall be paid before their removal from customs custody.
Unless otherwise specifically allowed, the return shall be filed and the excise tax paid by the manufacturer or
producer before removal of domestic products from place of production. Excise tax on locally manufactured
petroleum products and indigenous petroleum levied under Sections 148 (Manufactured Oil and Other Fuels)
and 151(A)(4) (Indigenous Petroleum), respectively, shall be paid before removal from the place of production
of such products.
Excise tax on nonmetallic mineral or mineral products, or quarry resources shall be due and payable upon
removal of such products from the locality where mined or extracted.
TIME OF PAYMENT
• On domestic products - before removal from the place of production
• On imported products - before release from the customs' custody
PLACE OF FILING OF RETURN AND PAYMENT OF THE TAX
Except as the Commissioner otherwise permits, the return shall be filed with and the tax paid to any authorized
agent bank or Revenue Collection Officer, or duly authorized City or Municipal Treasurer in the Philippines.
MANUFACTURER'S OR PRODUCER'S SWORN STATEMENT
Every manufacturer or producer of goods or products subject to excise taxes shall file with the Commissioner
on the date or dates designated by the latter, and as often as may be required, a sworn statement showing,
among other information:
A) the different goods or products manufactured or produced and their corresponding gross selling price or
market value,
B) together with the cost of manufacture or production
C) plus expenses incurred or to be incurred until the goods or products are finally sold

When goods locally produced or manufactured are removed and actually exported
When goods locally produced or manufactured are removed and actually exported without returning to the
Philippines, whether so exported in their original state or as ingredients or parts of any manufactured goods or
products, any excise tax paid thereon shall be credited or refunded upon submission of the proof of actual
exportation and upon receipt of the corresponding foreign exchange payment.
SHOULD PRICE BE LESS THAN THE COST OF MANUFACTURE
Should such price be less than the cost of manufacture plus expenses incurred until the goods are finally sold,
then a proportionate margin of profit, not less than 10% of such manufacturing cost and expenses, shall be
added to constitute the gross selling price.
Person Liable: Tax-free articles brought or imported into the Philippines by persons, entities, or agencies
exempt from tax
In the case of tax-free articles brought or imported into the Philippines by persons, entities, or agencies exempt
from tax which are subsequently sold, transferred or exchanged in the Philippines to non- exempt persons or
entitles, the purchasers or recipients shall be considered the importers thereof, and shall be liable for the duty
and internal revenue tax due on such importation
Person Liable: Excise tax on imported articles
Excise taxes on imported articles shall be paid by the owner or importer to the Custom Officers, conformably
with the regulations of the Department of Finance and before the release of such articles from the customs
house, or by the person who is found in possession of articles which are exempt from excise taxes other than
those legally entitled to exemption.
Person Liable: Importation of cigars and cigarettes, distilled spirits, fermented liquors and wines into the
Philippines
The provision of any special or general law to the contrary notwithstanding, the importation of cigars and
cigarettes, distilled spirits, fermented liquors and wines into the Philippines, even if destined for tax and duty
free shops, shall be subject to all applicable taxes, duties, charges, including excise taxes due thereon.
Person Liable: Non-labeling or re- selling of certain goods punishable
Cigars and cigarettes, distilled spirits and wines within the premises of all duty-free shops which are not labeled
as herein above required, as well as tax and duty-free articles obtained from a duty free shop and subsequently
found in a non duty-free shop to be offered for resale shall be confiscated, and the perpetrator of such non-
labeling or re-selling shall be punishable under the applicable provisions of this Code

Person Liable: Destruction of confiscated articles

Articles confiscated shall de destroyed using the most environmentally friendly method available in accordance
with the rules and regulations to be promulgated by the Secretary of Finance, upon recommendation of the
Commissioners of Customs and Internal Revenue.
Person Liable: Lien on the article
The tax due on any such goods, products, machinery, equipment or other similar articles shall constitute a lien
on the article itself, and such lien shall be superior to all other charges or liens, irrespective of the possessor
thereof. before sending it home:
1. The total value should not exceed P150,000. Any amount that exceeds the value will be subjected to payment
of duties and taxes.
2. The box must contain only personal and household effects. Personal effects are new or used commodities for
personal consumption and not for commercial purposes, including wearing apparel, personal adornments,
electronic gadgets, and toiletries. Household effects are household furnishing intended for personal use, such as
furniture, dishes, linen, and libraries.
3. Items should neither be in commercial quantities nor intended for barter, sale, or for hire. Commercial
quantities refer to the excess in "what is compatible with and commensurate to your normal requirements" for
personal use. For single senders with multiple consignees (receivers), these quantities are determined by the
total quantity of all sent boxes to all consignees.
The following are exempt from excise tax:
(a) Naptha and pyrolysis gasoline used as raw material in the production of petrochemical products or in the
refining of petroleum products, or as replacement fuel for natural-gas-fired-combined cycle power plant;
(b) Production of petroleum products, whether or not they are classified as products of distillation, and for use
solely for production of gasoline;
(c) Liquefied petroleum gas when used as production of petrochemical products; a raw material in the
(d) Petroleum coke, when used as feedstock to any power generating facility;
(e) Purely electric vehicles, and pick-ups;
(f) Under special laws:
BIR Form No. 2200-A - Excise Tax Return for Alcohol Products
This return shall be filed in triplicate by the following:
1. Manufacturer or producer of locally manufactured or produced alcohol products; and
2. Owner or person having possession of the alcohol products which were removed from the place of production
without the payment of excise tax.
Filing Date: For each place of production, a separate return shall be filed and the excise tax shall be paid before
removal of the alcohol products from the place of production.
Illustration: Shipment: 200 cases of Vodka
Degree of strength: 80 pf
Bottles/case: 12
Volume capacity: 750 ml/bottle
NRP/btl: P500

Compute total excise tax.

1. TGL= (12x200) x 0.751 = 1,800 liters
2. TPL= 1,800 x 80% = 1,440
3. TST= 1,440 x P66/pl = P95,040
4. TAVT = (P500 x 2,400) x 80% x 22% = P211,200
5. Total Ex tax = P95,040 + P211,200= P306,240

Illustration: Shipment: 300 boxes of Novelino

Bottles/box: 10,
Volume capacity: 750 ml/bottle
Compute total excise tax.
1. Total Liters = (10 x 300) x 0.75L = 2,250
2. Total Specific = 2,250 x P63.12 = P142,020

Illustration: Shipment: 200 boxes of beer

Bottles/box: 12
Volume capacity: 750 ml/bottle
Compute total excise tax.
1. TGL = (12 x 200) x 0.75L = 1,800
2. Total Excise tax = 1.800 x P4 = -P77,400
BIR Form No. 2200-AN - Excise Tax Return for Automobiles and Non-Essential Goods
This return shall be filed in triplicate by the following:
1. Manufacturer, producer or assembler of locally manufactured/produced/assembled automobiles;
2. Manufacturer or producer of locally manufactured or produced non-essential goods such as jewelries,
perfumes, toilet water, yachts and other vessels intended for pleasure or sports;
3. Buyer or transferee of automobile not previously taxed and subsequently sold or transferred by the tax-
exempted seller; and
4. Owner or person having possession of the above articles which were removed from the place of production
without the payment of excise tax.
Filling Date: For each place of production, a separate return shall be filed and the excise tax shall be paid before
removal of the abovementioned products from the place of production
BIR Form No. 2200-C - Excise Tax Return for Cosmetic Procedure
This return shall be filed in triplicate by any person, whether natural or juridical, performing invasive cosmetic
procedures, surgeries, and body enhancements directed solely towards improving, altering, or enhancing the
patient's appearance and do not meaningfully promote the proper functions of the body or prevent or treat
illness or disease and liable to pay excise tax.
Filling Date: This excise return shall be filed and the excise tax due, if any, shall be paid at the same time within
ten (10) days following the close of the month.

BIR Form No. 2200-M- Excise Tax Return for Mineral Products
This return shall be filed in triplicate by the following:
1. Owner, lessee, concessionaire or operator of the mining claim;
2. First buyer, purchaser or transferee for local sale, barter, transfer or exchange of indigenous petroleum,
natural gas or liquefied natural gas; and
3. Owner or person having possession of the minerals and mineral products which were mined, extracted or
quarried without the payment of excise tax.
Filling Date: For each place of production, a separate return shall be filed and the excise tax shall be paid upon
removal of the mineral products from the place of production. In the case of locally produced or extracted
minerals or quarry resources where the mine site or place of extraction is not the same as the place of processing
or production, the return shall be filed and the excise tax paid to the Revenue District Office having jurisdiction
over the locality where the same are mined, extracted or quarried.
On locally produced or extracted metallic mineral or mineral products, the person liable shall file a return and
pay the tax within fifteen (15) days after the end of the calendar quarter when such products were removed,
subject to the filing of a bond in an amount which approximates the amount of excise tax due on the removals
for the said quarter.
BIR Form No. 2200-P - Excise Tax Return for Petroleum Products
This return shall be filed in triplicate by the following:
1. Manufacturer, or producer of locally manufactured, produced or refined petroleum products;
2. Any person engaged in blending, reprocessing, re-refining or recycling of previously taxed petroleum
products;
3. Importer or purchaser who resells or uses kerosene as aviation fuel;
4. Any person using denatured alcohol for motive power; and
5. Owner or person having possession of petroleum products, which were removed, from the place of
production without the payment of excise tax.
Filling Date: For each place of production, a separate return shall be filed and the excise tax shall be paid before
removal of the petroleum products from the place of production
BIR Form No. 2200-S - Excise Tax Return for Sweetened Beverages
This return shall be filed in triplicate by the following:
1. Manufacturer or producer of locally manufactured or produced sweetened beverages; and
2. Owner or person having possession of sweetened beverages which were removed from the place of
production without the payment of excise tax.
Filling Date: For each place of production, a separate return shall be filed and the excise tax due shall be paid
before removal of the sweetened beverages from the place of production.
BIR Form No. 2200-T- Excise Tax Return for Tobacco, Heated Tobacco, Vapor and Novel Tobacco
Products
This return shall be filed in triplicate by the following:
1. Manufacturer or producer of locally manufactured or produced tobacco products;
2. Wholesaler, manufacturer, producer, owner or operator of the redrying plant, as the case may be, with respect
to the payment of inspection fee on leaf tobacco, scrap, cigars, cigarettes and other tobacco products; and
3. Owner or person having possession of tobacco products which were removed from the place of production
without the payment of excise tax.
Filing Date: For each place of production, a separate return shall be filed and the excise tax due shall be paid
before removal of the tobacco products from the place of production.
Illustration: Shipment: 100 boxes of cigar
Total number of cigars: 24 per box
NRP: P25 per cigar

Compute total excise tax.

1. TAVT = P25 x (24 x 100) x 20% = P12,000
2. TST = (24 x 100) x P7.70 = P18,480
3. Total Excise Tax = P12,000 + P18,480 = P30, 480
Illustration: Shipment: 200 boxes of cigarette
Number of reams: 50 per box

Number of packs: 10 per ream

Compute total excise tax.
1. Number of packs = (10 x 50 x 200) = 100,000
2. Total Excise tax = 100.000 x P41.60 = P4,160,