BIR 1601-C - Monthly Tax Report
BIR Form 1601-C or Monthly Remittance Return of Income Taxes Withheld on Compensation is filed by the Employer who is responsible for deducting and withholding taxes on compensation paid to employees.
- Employees (EEs) are deducted every payroll cut-off (Daily, Weekly, Semi-Monthly, or Monthly payroll) for income taxes based on the Bureau of Internal Revenue (BIR) tax table
- No tax will be deducted for employees tagged as Minimum wage earners. You may enable this on ZipHR by enabling Wage tax exempt
- Employers (ERs) must remit the Income-tax withheld from employees to BIR
- The return must be filed and paid on or before the 10th day of the following month
- For EFPS filers, the deadline for filing and payment of the return shall be 5 days later than the deadline set above
ZipHR TAX CALCULATION
- Compensation Range - Compensation basis that ZipHR will use in the computation of income tax. This is computed as:
TOTAL WAGES + TAXABLE OTHER PAYMENTS - CONTRIBUTIONS (EE Share)
Note: EEs tagged as Minimum wage earners on ZipHR are not subject to income tax computation and deduction.Total wages sum of basic salary, tardy/absences, overtime, holiday pay, and night differential. Taxable Other Payments sum of Other payments tagged as regular on the tax status of Other payment types Contributions (EE Share) sum of SSS, PhilHealth and Pag-ibig contributions that EE contributed -
- After computing the Compensation basis, ZipHR will now compute the Prescribed withholding tax based on the BIR Withholding Tax Table:
- After computing the Compensation basis, ZipHR will now compute the Prescribed withholding tax based on the BIR Withholding Tax Table:
-
1601-C Form Mapping
Let's dive into how this report is mapped in ZipHR!
- For the Month (MM / YYYY) - Month and Year of the report
- Amended Return? - Yes or No (if applicable)
- Any Taxes Withheld? - Yes or No
- No. of Sheets attached - if applicable
- ATC
| Part I - Background Information | |
| 1601-C Field Name | ZipHR Mapped Field |
| 6 TIN | Company details or Subsidiaries (if more than 1 Company in 1 ZipHR account) |
| 7 RDO Code | |
| 8 Line of Business/Occupation | |
| 9 Withholding Agent's Name | |
| 9A ZIP Code | |
| 10 Contact Number | |
| 11 Category of Withholding Agent | |
| 12 Email Address | |
| 13 Are there payees availing of tax relief under Special Law or International Tax Treaty? | |
| 13A If yes specify | |
| Part II - Computation of Tax | |
| 14 Total Amount of Compensation Less: Non-Taxable/Exempt Compensation |
Basic Salary - OPs tagged as none in tax status |
| 15 Statutory Minimum Wage for Minimum Wage Earners (MWEs) | Basic Salary of employees tagged as Minimum Wage Employee |
| 16 Holiday Pay, Overtime Pay, Night shift differential pay, Hazard Pay (for MWEs only) | all holiday, overtime, night shift pay of MWEs |
| 17 13th Month pay and other Benefits | OPs tagged as Bonus in tax status |
| 18 De Minimis Benefits | OPs - De Minimus |
| 19 SSS, GSIS, PHIC, HDMF Mandatory contributions & Union Dues (employee's share only) | Contributions deducted to Employee payslip |
| 20 Other Non-Taxable Compensation (specify) | OPs tagged as None in tax status |
| 21 Total Non-Taxable Compensation (sum of items 15-20) | sum of items 15-20 |
| 22 Total Taxable Compensation (Item 14 less item 21) | Item 14 less item 21 |
| 23 Less: Taxable compensation not subject to withholding tax (for employees, other than MWEs, receiving P250,000 & below for the year) | Sum of all basic salary that is exempt from withholding tax |
| 24 Net Taxable Compensation (Item 22 Less Item 23) | Item 22 Less Item 23 |
| 25 Total Taxes Withheld | sum of taxes deducted for each employees |
| 26 Add/(Less): Adjustment of Taxes Withheld from Previous Month/s (from part IV - Schedule 1, Item 4) | if applicable |
| 27 Taxes Withheld for Remittance (sum of Item 25 and 26) | sum of Item 25 and 26 |
| 28 Less: Tax Remitted in Return Previously Filed, if this is an amended return | if applicable |
| 29 Other Remittances Made (specify) | if applicable |
| 30 Total Tax Remittances Made (Sum of Items 28 & 29) | if applicable |
| 31 Tax Still Due/(Over-remittance) (Item 27 less Item 30) | Item 27 less Item 30 |
| Add: Penalties 32 Subcharge | if applicable |
| 33 Interest | if applicable |
| 35 Compromise | if applicable |
| 36 Total Amount Still Due/(Over-remittance) (Sum of Items 31 & 35) | Sum of Items 31 & 35 |
GENERATE REPORT
ZipHR also provides a report for the 1601-C report aside from the automatic calculation
- Go to Reports>>Taxes
- Select BIR 1601-C
- Select the year and month of the needed report
- Filtering by Subsidiary is also available (use if multiple companies are included in one ZipHR account and need to generate separate reports per subsidiary)
- Click download
button - Export report as PDF or as excel file
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