Annual Income Tax Return 1701 – BIR Form PDF: Fill Out and Download

Annual Income Tax Return Form 1701 PDF Details

The Annual Income Tax Return Form 1701 is a Bureau of Internal Revenue (BIR) form that self-employed individuals, professionals, estates, and trusts in the Philippines must file to declare annual income. Updated by the BIR in June 2011, this form applies to taxpayers with business income, compensation income, or mixed income sources.

Who Must File BIR Form 1701

File Form 1701 if you are a self-employed individual, a freelance professional, an estate or trust, or an individual earning both employment income and business income during the taxable period. Purely compensated employees earning from a single employer typically file BIR Form 2316 instead. Any individual in the Philippines with business income from trade, profession, or commercial activity must also file this annual return.

BIR Form 1701 vs Form 1701A

Form 1701 covers taxpayers with mixed income or those choosing itemized deductions. Form 1701A applies to purely self-employed individuals or professionals with no compensation income who opt for the 8% flat income tax rate. If you earn both employment income and business income, Form 1701 is the correct BIR form to use.

Form 1701A is only available in the Philippines to taxpayers whose total income comes entirely from self-employment or professional practice. Taxpayers who used Form 1701A in a prior taxable period but received compensation income must switch to Form 1701. To determine whether Form 1701A or Form 1701 applies, verify whether any employer-paid compensation was received in the Philippines. If you file Form 1701A by mistake when Form 1701 is required, you must amend the return and pay any additional tax due.

Filing Deadline

File your Annual Income Tax Return on or before April 15 of the following taxable period. For income earned during the calendar year ending December 31, submit BIR Form 1701 by April 15 and pay the full tax due or the first installment. Late filing results in a 25% surcharge, 12% interest per annum, and compromise penalties under the National Internal Revenue Code of the Philippines.

How to Complete the Form

The form includes sections for personal information, gross income, deductions, and tax credits. Taxpayers may choose itemized deductions or the Optional Standard Deduction (OSD) of 40% of gross business sales or receipts. Submit three copies: one for the BIR file, one for encoding, and one for your records. Taxpayers filing a mixed income return in the Philippines must include all income sources for the taxable period.

For quarterly income tax payments, use the BIR Form 1701Q. For your Certificate of Compensation Payment, see BIR Form 2316. For the standard annual return form, visit the BIR Form 1701 page.