BUREAU OF' INTERNAT RIYE}i'UE

RECORI}S MGT. T}IVISTON

RTPUBLIC OF THE PHILIPPINES /0,,J?
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DEPARTMENT OF FINANCE DEC 7.7 2016 r 4
tsUREAU OF INTER}.iAL REVENUE l,/"J**
RECEIVEB
Date. Eecember 2f, Z*15

REVHhIUE REGULATIGNS NO, IO- N I {,

SUBJ ECT: An^reird ing Section 1 0. C. of Reven ue Reg u lations N o. 17 -2C1 1

lmplementing the l:arly Withdravval Penalty of [tepublic Act No. 9505,

Otheru'rlse Known as the'Personal Equiiy and Retirement Account
(PERA) Act of 2008

TO All lnternal Revenue Cfiicers and Others Concerned

SfCTlCil{ X. Scope. io the provisions of Sections 244 and 245 of the

- Pursuant
National lnternal Revenue Code of 1gg7,3S amended, in relation to Secticn 13 of
Repubtic Act (RA) No. 9505, these Regulations are hereby pron'rulgated to arnend
Section 10.C. of Revenue Regulatiorrs (R[t) No, 17-2A11, Impiernenting the Tax
Provisions of Republic Act No. 9505, Otherwise Known as lhe "Personat Equity and
Retirement Account (PERA) Act of 2008"

SECTICN 2. Arnendrnent. Section 10.C. of RR No. 17-2A11 ls hereby amended

to read as follov'ls. -
..SECTION
10. PERA Distributions and Early Withdrawals.
-
XXX XXX XXX

C. lrnposition of Penalty. -- ln case r:f Early Withdrawals not failing under any of
the circumstances under Secticn 10 (B) above, the Contributor shall pay the following
Early \ iithdrawal Penalties:

(1) The five percent (5%) tax credit availed by the Coniributcr for the
entire period of the PERA;

(2) A flat rate of twenty percent (24%) based on the total income
earneri by said account from the tir'::e of its opening/creation up
to the tiile of lrithdrawal.

Foi full transparency, the Administrator, shall iully disclose the above penaliy arising
from withdravvals to the contributor pi^iol^ to account cpening.
Likerryise, the Adnrinistrator shall submit a quartei'ly report of such terminaiion or
withdrawal to the FERA Processing Office, within sixty (60) days following the end of
ihe quarter of the date of termination or withdra\n/al "

SECTION 3. Repealing Clause The provisions of RR 17 -2A11 and alt other

issuances inconsistent herewith are hereby repealeci, modified or amended
accordingty.

SECT!0ru 4. Effectivity These Revenue Regulations shall take effect

i,-n m ed iate ly.

Secreta ry
Departrnent of Finatrce
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Recommend ing Approval : i...,:.

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BUAEAU OT
RECORSS MG'T. B{?TS[OF{
CAESAR R.. DUN-,*tY lD: 19 A'14'
Commissioner of internal Revenue ilfie 27201$ t t
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