By The After Six Club
Tax. The word alone is enough to increase your blood pressure. Add the word “penalties” and the situation can escalate pretty fast. And if you don’t address problems quickly and efficiently, you could face serious damages.
All registered businesses in the Philippines should pay their tax dues. But how about freelancers? All types of freelancers—part-time, full-time, and even project-based freelancers—are required to pay taxes. If you’ve been freelancing for a while now, what’s stopping you from paying your tax dues?
Here are 4 possible culprits.
- Tax computations = math. You hate math.
For most people, doing the math on a regular basis is the equivalent of getting a root canal procedure once. It’s hard, often painful, and can really drive you to the edge if you can’t grasp the computation.
Let’s face it, for most people, math is simply, purely evil torture. But you need to swallow the bitter pill and face the reality that tax computations require basic math skills and you need to level up if you don’t want to face damages.
- It’s too expensive to hire an accountant.
Of course, you can always hire a bookkeeper and/or an accountant to do the computation and filing for you. But some people think that hiring a professional is a waste of hard-earned money. Well, just imagine how expensive it could be if you hire a novice. Think of it this way, would you trust your root canal procedure to an unprofessional? Surely, not. If you really can’t do the computations yourself, seek the pros.
- You don’t want to brave the lines at BIR.
Do you know that you can pay your taxes online? Ah, thank God for technology! You can register your Tax Identification Number (TIN) in the BIR eFPS website and wait for the enrollment confirmation. Next, enroll your TIN in the Bank of the Philippine Island (BPI) Online Banking system. Now that you’re registered, you can file your tax returns on the BIR eFPS website and pay the dues via online banking. No need to brave a hot, crazy day at a BIR satellite office!
- You don’t think it’s time.
Maybe you’re still wondering if you’re making enough. Maybe you still don’t have the budget to legitimize your side hustle. It’s time to think big. If you want to have a successful freelancer or digital professional (DigiPRO) career, make sure you have this requirement set up so you can accept more high-paying projects.
Become a Responsible DigiPRO
If you want to learn more how to set up, compute, and pay your taxes as a freelancer, join us on May 4 at SMX Manila for the TAX 101: Becoming A Responsible DigiPRO Event. We’ll teach you how to maximize the latest technology so you can file your taxes with ease and confidence.
Limited seats available, register here.
Use our anniversary promo code TA6C to get 50% discount!