At A Glance
- Candidates running for national and local elections, including barangay positions, are no longer required to register with the Bureau of Internal Revenue (BIR).<br>BIR registration and registration fees are not mandatory prerequisites for filing a Certificate of Candidacy.<br>But candidates who receive campaign contributions and make purchases for election-related activities still need to register with their local revenue district office (RDO) and pay the relevant registration fee.<br>Payments made by candidates or political parties for campaign-related expenses are subject to a five percent creditable withholding tax. In-kind contributions must be assessed at their current market value.<br>Candidates are required to obtain non-VAT BIR printed receipts from the RDO, which will be issued to donors.<br>Candidates must maintain a record of contributions and expenditures for the preparation of the Statement of Contributions and Expenditures to be submitted to the Commission on Elections.<br>Failure to comply with the requirements may result in penalties, including civil and criminal sanctions.
Candidates running for national and local elections, including barangay positions, no longer need to register with the Bureau of Internal Revenue (BIR).
BIR Commissioner Romeo D. Lumagui, Jr. clarified in Revenue Memorandum Circular (RMC) No. 97-2023 that registration and registration fees are not mandatory prerequisites for filing a Certificate of Candidacy.
Lumagui issued this circular to provide clarity on specific provisions of Revenue Regulations No. 8-2009 and RMC No. 31-2019, which govern the obligations of election participants.
However, candidates who receive campaign contributions and make purchases for election-related activities must still register with their local revenue district office (RDO) and pay the relevant registration fee.
Additionally, payments made by candidates or political parties for campaign-related expenses will be subject to a five percent creditable withholding tax under RR 11-2018.
In-kind contributions must be assessed at their current market value.
Candidates are also required to obtain non-VAT BIR printed receipts from the RDO, which will be issued to donors.
Furthermore, candidates must maintain a record of contributions and expenditures, which will be used to prepare the Statement of Contributions and Expenditures submitted to the Commission on Elections.
The circular also cautioned candidates to strictly comply with the requirements to avoid penalties as per existing laws and regulations, including both civil and criminal sanctions.