Compliance · Free tool
Late Filing Penalty Calculator
Estimate the surcharge, interest and compromise penalty for a late BIR return or payment.
The tax on the return itself. Leave blank or 0 if nothing was due.
Quick picks already move deadlines that fell on a weekend or in Holy Week. If the BIR extended a deadline, enter the extended date.
Numbers last checked October 19, 2026 · Surcharge, interest and compromise penalties, BIR filing deadlines
Your numbers stay in your browser. This is an estimate for information only, not tax advice.
How BIR late penalties are computed
A late return or payment can pick up three charges on top of the tax itself.
- Surcharge. A one-time charge on the basic tax due: 25%, or 10% for micro and small taxpayers. Willful neglect or a fraudulent return carries 50% for everyone, which this calculator does not cover.
- Interest. 12% a year, or 6% for micro and small taxpayers, on the unpaid tax. It is simple interest, counted by the actual number of days late.
- Compromise penalty. A fixed amount from the BIR's RMO 7-2015 schedule, based on the unpaid tax (from ₱1,000 for ₱5,000 or less up to ₱50,000). Micro and small taxpayers pay half.
The lower micro and small rates come from RR 6-2024 and apply only to deadlines on or after April 27, 2024. Returns due before that use the regular rates.
Worked example
A freelancer (micro taxpayer) owed ₱12,000 on the Q1 2026 1701Q, due May 15, 2026, and pays on September 16, 2026, which is 124 days late.
- Surcharge: 10% × ₱12,000 = ₱1,200.00
- Interest: 6% × ₱12,000 × 124 / 365 = ₱244.60
- Compromise: ₱5,000 (for tax over ₱10,000 up to ₱20,000) × 50% = ₱2,500.00
- Total to pay: ₱12,000 + ₱3,944.60 in penalties = ₱15,944.60
A medium or large taxpayer in the same situation would pay ₱3,000 surcharge, ₱489.21 interest and a ₱5,000 compromise, for a total of ₱20,489.21.
Common questions
Am I a micro or small taxpayer?
Under RR 8-2024, micro taxpayers have gross sales below ₱3 million a year and small taxpayers have ₱3 million to below ₱20 million. Nearly every freelancer is micro. Micro and small taxpayers get a 10% surcharge instead of 25%, 6% interest instead of 12%, and half the usual compromise penalty for deadlines on or after April 27, 2024.
Is the interest compounded?
No. Interest is simple: the yearly rate times the unpaid tax times the number of days late divided by 365. It runs from the day after the deadline until the day you pay.
What if I owe no tax but filed late?
There is no surcharge or interest when the tax due is zero, but RDOs typically still impose a compromise penalty for the late return, commonly ₱1,000, or ₱500 for micro and small taxpayers.
Can the compromise penalty be waived?
A compromise penalty is technically voluntary and negotiated with the BIR, as an alternative to a criminal case. In practice it is routinely imposed, so ask your RDO how they will handle it. The surcharge and interest are set by law.
What is RR 4-2026?
A one-time relief for micro taxpayers whose tax plus penalties is ₱80,000 or less per taxable year, for liabilities up to December 31, 2025, including open stop-filer cases. Each approved application costs a ₱5,000 fee, and you must apply by December 31, 2026. Confirm the details with your RDO.
Based on: BIR RR 6-2024 · BIR RR 21-2018