BIR extends deadline for filing of VAT refund claims due to COVID-19

The Bureau of Internal Revenue (BIR) has extended the deadline for the filing of value-added tax (VAT) refund claims as it suspended the processing of such claims due to the coronavirus disease (COVID-19) pandemic.

Bureau of Internal Revenue

BIR Commissioner Caesar Dulay issued the announcement following the temporary closure of the VAT credit audit division (VCAD) based in the national office due to COVID-19 infection among its personnel.

The BIR chief said the office which accepts and processes refund claims will resume it's operations on October 4, 2021 after undergoing thorough disinfection.

"A number of VCAD employees tested positive of COVID-19 and had exposed themselves to their co-workers prior to the release of the test results," Dulay said.

Dulay issued Revenue Memorandum Circular No. 101-2021 moving the deadline for the filing of VAT refund claims from September 20, 2021 to October 4, 2021.

Existing revenue regulations give taxpayers two years to reclaim excess payment upon filing the of VAT returns.

The memorandum did not mention when it will release the claims which have already been filed.

The refunds are supposed to be returned to taxpayers 90 days after submitting the VAT returns pursuant to Revenue Regulations No. 27-2020.