Whether you’re a certified public accountant, an accounting student, or managing finances for a small business, you’re going to need the right tools to get started when it comes to tax filing, payroll management, and more.

There are dozens of online accounting tools you can use here in the Philippines, and it can get quite overwhelming to choose the best one to use in your arsenal. So we took the liberty to make a list of the top seven applications for your accounting needs.

We specifically handpicked each one based on positive feedback, client satisfaction, and functionality. Take a look:

1. Juan Accounting Software

Juan is built to help business owners who are struggling with accounting and tax compliance. No more hassle of managing accounting and tax separately. Juan Accounting Software is an end-to-end platform, integrating accounting and tax compliance with JuanTax in the Philippines.

Simplify your accounting and boost efficiency with Juan! Get started at https://juan.ac/.

2. Microsoft Excel

This is an old but gold Microsoft app you’ve been taught to use since high school, and learning how to work your way around it for accounting has its advantages. Microsoft created the Excel sheet with accounting functions in mind so you can easily analyze your tax compliance data online and offline.

3. Xero

If you wish for a more comprehensive accounting tool than the common Microsoft Excel, you can opt for Xero. It is accounting software with features that make invoicing, billing, and data reporting easy. You can get all these amazing perks at a premium monthly cost, but you can enjoy a free trial period upon sign-up.

Visit Xero to learn more.

4. QuickBooks

Another accounting tool you can use with a monthly subscription is QuickBooks. It provides accounting solutions such as tracking cash flow, managing sales or income, tax compliance organization, generating profit and loss reports, and even enjoying online payment since QuickBooks is partnered with Intuit Payments for faster transactions.

If this solution is a winner, try QuickBooks and enjoy a 30-day trial period!

5. Sprout Solutions

Unlike the first three accounting tools, Sprout Solutions is more focused on HR administrative tasks with accounting features. Preparing payroll and tracking your employee’s financial benefits and deductions are easier using this website. And best of all, it’s free for startups with only 50 or fewer employees!

Sign up or book a demo of Sprout Solutions’ services.

6. Sage 50

For core accounting needs such as expense tracking management and project accounting, Sage 50 is the software you should look into. It is widely used by various SME businesses for their accounting needs.

Find out how Sage 50 can cater to your business needs.

7. JuanTax

If you need a tool for tax compliance, JuanTax is the best solution for you. Through JuanTax, you can make digital copies of your important documents, such as receipts for tax returns. You can even download tax forms and file them through their system.

Other notable features include a mobile version, automated tax calculation, client monitoring dashboard, and a cloud archive system for optimum data storage security.

Consult or talk to us and have your #TaxDoneRight with JuanTax.

No matter what stage you are in your accounting career, you’ll need handy software to help you power through the heavy duties of an accountant. It doesn’t matter if you use one or more, as long as, at the end of the day, you’ve done your job of protecting the assets of your business or client.

Apart from knowing the right tools, you also have to know important paperwork, such as tax forms and other pertinent documents. Learn more about it and other helpful content on our blog page.

The post Top 7 Accounting Tools You Can Access in the Philippines appeared first on JuanTax.

The BIR released this RMC to promote tax compliance among Filipino taxpayers, making sure that they will be able to conveniently e-File and e-Pay with their chosen Tax Software Provider (TSP). As the very first TSP to be certified by the BIR, our main goal at JuanTax has been to provide taxpayers with a convenient, stress-free and easy platform to stay digitally tax compliant. 

What is eTSPCert?

The Electronic Tax Software Provider Certification (eTSPCert) System is a collaboration between the BIR and the United States Agency for International Development (USAID). This is an online system in which tax software providers and Authorized Agent Banks (AABs) may apply and have their e-filing and e-payment software evaluated, tested and finally certified by the BIR.

With the global shift to a more digital economy, this initiative provides companies with a gateway to technological innovation. The BIR will be issuing separate policies, guidelines and procedures for each electronic service that will contain TSP accreditation requirements, testing procedures and certification processes. 

What Does This Mean For Me?

As the BIR continues to expand its scope to provide Filipino taxpayers with easier tax compliance opportunities, companies will find more efficient and effective ways to comply with the government’s requirements. JuanTax envisions solutions to current tax filing and collection concerns. Since individuals who are paying to use the software are on top of the situation, they can be assured that their hard-earned money gets channelled effectively. That’s a win-win for taxpayers, the government and the Philippine economy.

JuanTax is an all-in-one cloud-based tax platform that makes electronically filing and paying your taxes easier. Sign up for a FREE account today! 

The post RMC 64-2021: Tax Compliance with Tax Software Providers appeared first on JuanTax.

What is Multi-Factor Authentication (MFA)?

Multi-Factor Authentication (MFA) is an online authentication method wherein the user is required to confirm their identity using two or more authentication methods or providing verification factors to gain access to an online account or application. MFA protects the user from an unknown person trying to access their data. 

For example, entering a password to gain access + a one-time password (OTP), or an authenticator app + the answer to security questions.

A multi-factor authentication method usually has 3 categories:

1. Something you know. Username, password, personal identification number (PIN), an answer to a security question
2. Something you have. OTP, token, trusted device with OTP apps, and SIM cards
3. Something you are. Scans of either of the following: retina, iris, fingerprint, handprint, or other biometric. This also includes facial recognition, voice recognition, etc.

5 Ways to Secure Online Information Further:

1. Keeping your software up to date. Updates help patch security flaws to keep hackers out and help protect your data from cyber threats.
2. Don’t share your login details with anyone. Two of the biggest security risks are shared accounts and insecure passwords. You can invite others into your organization but requiring them to have their own separate login and setting up their MFA is a MUST.
3. Use strong, unique, uncrackable passwords. The more complex and longer your password is, the harder it will be to guess the correct combination of characters based on your social media presence. 
4. Don’t use the same password for everything. There are many opportunities for your single password to be discovered. If you use the same password for all your accounts, this event highly increases the risk of all your accounts being compromised or vulnerable to hacking.
5. Enable MFA on all your online accounts. Doing so only takes a couple of minutes compared to months of restoring your personal and financial records after jeopardizing your online information. 

Multi-Factor Authentication Methods Used by JuanTax:

1. One-time password (OTP) -This is an automatically generated set of numbers that authenticates a user for a single sign-in ONLY. You can choose to receive your 6-digit PIN via your registered email or mobile number. After choosing, the code will be sent to you right away.
2. Authentication App – Simply type in the six-digit security code that’s automatically generated on your device to log in to your JuanTax account.
3. Security questions – This is an alternative way of identifying our users when they have:

• Forgotten their password 
• Did not receive their OTP
• The installed authenticator is not working
• Entered the wrong credentials too many times
• Tried logging in from an unfamiliar device or location

JuanTax’s MFA can help protect your devices and your identity, and it is most valuable if you know how to use it properly. Read more about MFA in JuanTax.

Add an extra level of protection to your JuanTax account! Start by setting up MFA, today.

The post What is Multi-Factor Authentication and How Does it Work? appeared first on JuanTax.

Issued primarily to help ease the burden on corporate taxpayers during the current pandemic, C.R.E.A.T.E. affects how tax calculations are to be carried out going forward—including the calculation of percentage tax.

Note that provisions of RA 11534 relative to percentage tax are “temporary,” and they are only effective from July 1, 2020, through June 30, 2023. 

In this post, we’ll focus on how RA 11534 affects the calculation of percentage taxes, particularly for individuals and non-individuals. We’ll also highlight the changes we’ve made to the form you’ll be using when entering transactions into our transactions module to help guide you along the way.

Then we’ll go into the changes in the 2551Q return in JuanTax Fast File, as well as how overpayments will be treated under RR 4-2021 as a result of the retroactive effect of the temporary tax rate adjustment.

How JuanTax Has Adapted to the Changes Brought About by C.R.E.A.T.E.

C.R.E.A.T.E. Law affects tax calculation, filing, and payment of Annual Income Tax Returns by non-individual taxpayers. These taxpayers may use the new transitory rates as published in Revenue Regulation 5-2021 on or before April 15th 2021 for the taxable year ending December 31st 2020.

Another tax affected by C.R.E.A.T.E. law is the percentage tax with the introduction of a temporary rate adjustment, reducing percentage tax rates from 3% to 1% effective July 1, 2020 through June 30, 2023. 

To help percentage tax filers who choose to use the new, temporary rate adjustment, JuanTax has adapted in terms of filing 2551Q by making changes to its platform that make tax calculation easier for accounting firms as well as individuals.

These changes will be found in our transactions module, specifically in the section where transactions are entered as shown below:

You’ll find a new PT010 (C.R.E.A.T.E.) option included in the ATC Codes, which will expire on June 30, 2023. 

When generating or opening an unfiled Percentage Tax Return (Form 2551Q), JuanTax will automatically determine if the transactions are within the covered period (July 1, 2020 through June 30, 2023) and will automatically assign the correct ATC code PT 010 (C.R.E.A.T.E.).

How JuanTax Fast File Has Adapted to C.R.E.A.T.E.

In Fast File, we have adapted by adding a new percentage tax code, PT 010 (C.R.E.A.T.E.) which can be selected in completing your 2021 quarterly tax returns. 

How JuanTax Helps Accounting Firms and Individual Filers

Under the temporary rate adjustment, where the percentage tax was formerly 3%, the tax rate is now at 1%. This change takes effect retroactively from July 1, 2020, and is good for three years.

Should you choose to use the temporary rate adjustment under the C.R.E.A.T.E. law, those rates will now be used as you populate the 2551Q form.

How Overpayments Will Be Treated as a Result of the Retroactive Effect of the Temporary Tax Rate Adjustment

Released on April 8, 2021, RR 4-2021 explains that taxpayers should calculate their overpayment from the previous quarters (Quarter 3 and 4 of 2020) and carry over the excess payment when filing their Q1 2021 tax return. Overpayment should be inserted into line number 17 of the Percentage Tax Form 2551Q. 

Assuming that the taxpayer did NOT entirely consume the excess payment, the taxpayer can continuously carry over the excess payment until there is no more remaining balance. 

In JuanTax Fast File, you need to manually enter the excess payment you computed from Quarters 3 and 4 of 2020 and insert it into line number 17 of the 2551Q tax form.

Once your 2551Q form has been filled out and filed successfully, you’ll be able to go straight to payment without having to leave JuanTax. We have a series of Help Center Articles to show you how to do just that.

It will take some time for all of us to adjust to the new calculations under C.R.E.A.T.E.. But whether you’re an accounting firm filing for your clients using JuanTax, or filing for your own business using JuanTax Fast File, you’re not alone. 

If you need extra help in calculating percentage taxes using the new temporary rates under C.R.E.A.T.E., you can reach out to our support team any time by clicking the chat icon in the lowermost right corner of your screen. You can also schedule a call with any of our Partner Firms for personalized advice today.

Are you planning to file your BIR Form 2551Q soon?

Make tax compliance easier with Juan Accounting Software!

Juan integrates accounting, payments, financial reporting, and tax compliance with JuanTax into one complete solution, perfect for PH businesses. Experience all-in-Juan accounting and tax at https://www.juan.ac/.

The post BIR Form 2551Q (C.R.E.A.T.E. Law) appeared first on JuanTax.

What is the C.R.E.A.T.E. Law

On March 26, 2021, a new bill was signed by President Duterte, known as the Corporate Recovery and Tax Incentives for Enterprises (C.R.E.A.T.E.), which is now Republic Act No. 11534.

With the new law in force, corporate income tax in the country, currently at 30%, is now a two-tiered system lowered to general tax rate of 25% and 20% for qualified small businesses*.

*With net taxable income not exceeding P5,000,000.00  AND with total assets not exceeding P100,000,000.00 million. Excluding land on which your business office, plant and equipment are located.

How Our Systems Have Adapted to the C.R.E.A.T.E. Law

We have already adjusted to the changes implemented with Revenue Regulation 5-2021. With 2 simple clicks before filling out the form, changes to taxes with the C.R.E.A.T.E. Law will be automatically adjusted and calculated for you based on the transitory rates* provided in the regulation.

*Transitory Rates are calculated depending on your chosen accounting period (Calendar or Fiscal)

When filing BIR Form 1702-RT, you will be met with new options when computing your taxes

• Compute taxes with C.R.E.A.T.E. Law Tax Rates (If you choose Yes)
• Compute taxes with pre-C.R.E.A.T.E. Law Tax Rates, 30% (If you choose No)

If you choose to compute your taxes using C.R.E.A.T.E. Law’s tax rates, Minimum Corporate Income Tax (MCIT) will be set at 1% and Income Tax will be set at 25% or 20% respectively. On the other hand, if you choose to compute your taxes using pre-C.R.E.A.T.E. Law, tax rates will remain the same. MCIT will remain at 2% and Income Tax Rate will remain at 30%.

To clarify which Income Tax will apply to your business under C.R.E.A.T.E. Law, a second banner will appear to determine if your total assets exceed PHP 100,000,000. 

• If total assets exceed PHP 100,000,000, the Income Tax will be set at 25%. 
• If total assets do NOT exceed PHP 100,000,000, and net taxable income do NOT exceed PHP 5,000,000.00, the Income Tax will be set at 20%

*27.5% is the cumulative calculation done by JuanTax with Transitory Rates applied.

Stay one step ahead with your business using JuanTax, your digital tax compliance solution. Our all-in-one cloud-based platform makes electronically filing and paying your taxes easier. Find out more about how you can use JuanTax to file in time for the April 15 deadline and sign up for FREE today.

The post BIR Form 1702-RT (C.R.E.A.T.E. Law) appeared first on JuanTax.