Filing quarterly income tax returns is a crucial compliance requirement for self-employed individuals and freelancers in the Philippines.1 The BIR Form 1701Q is the Quarterly Income Tax Return for Individuals, Estates, and Trusts, which covers income earned from business or professional practice.2 Staying compliant and avoiding penalties requires a clear understanding of the deadline and the filing process.
📅 Key Information: Q3 2025 Deadline
The deadline for filing and paying the Quarterly Income Tax Return (BIR Form 1701Q) for the third quarter (Q3) of 2025 is November 15, 2025.3
- Period Covered: Income earned from July 1 to September 30, 2025.4
- Deadline: November 15 of the same year.5
- Note: If November 15 falls on a weekend or a holiday, the deadline is moved to the next working day.6
🎯 Who Must File BIR Form 1701Q?
You must file BIR Form 1701Q if you are an individual falling under any of the following categories, regardless of the amount of your gross income:
- Self-employed individuals: Sole proprietors, freelancers, online sellers, consultants, etc.7
- Professionals: Doctors, lawyers, accountants, architects, etc., earning from their professional practice.8
- Mixed-Income Earners: Individuals who earn both from employment and from business/professional practice.9
- Partners in a General Professional Partnership (GPP).10
Zero Income Filing: You must still file a “No Income” or zero return for the quarter if you are registered as a self-employed individual/professional, even if you had no earnings for that period.11
🗂️ Understanding Your Tax Rate Options
Your tax computation on Form 1701Q depends on the income tax rate option you chose during your registration or initial quarterly filing for the year (Q1):
| Tax Rate Option | Requirements & Details |
| 8% Flat Income Tax Rate | Available if: |
* You are not VAT-registered.
* Your gross sales/receipts and other non-operating income do not exceed the VAT threshold ($\text{₱}3,000,000$) during the year.
* You signify your intention to use this rate during the first quarterly filing (Q1).
* **Computation:** $8\%$ of gross sales/receipts and other non-operating income in excess of the $\text{₱}250,000$ personal exemption (if you have no employment income). |
| Graduated Income Tax Rate | Mandatory if:
* You exceed the $\text{₱}3,000,000$ VAT threshold.
* You are a VAT-registered taxpayer.
* You did not signify your intention for the $8\%$ rate in Q1.
* Computation: Your taxable income is subjected to the progressive tax rate table (ranges from 12$0\%$ to 13$35\%$).14 You must choose one of the following methods for deductions, which must be consistently applied for the entire year:
* Itemized Deduction: Deducting all ordinary and necessary business expenses.15
* Optional Standard Deduction (OSD): Deducting an amount equivalent to $40\%$ of your gross sales/receipts. |
💻 Step-by-Step Filing and Payment Process
The preferred and most common method for filing Form 1701Q is electronically.
Step 1: Prepare Your Income and Expense Records
Gather all necessary financial records for the period of July 1 to September 30, 2025.
- Gross Sales/Receipts: Total income from your business or practice.
- Deductions: List of itemized expenses or prepare for the $40\%$ OSD calculation.
- Tax Withheld (Form 2307): Certificates of Creditable Tax Withheld at Source (BIR Form 2307) received from clients/customers.16 These act as tax credits.
Step 2: File Your Return via eBIRForms or eFPS
You will use either the eBIRForms Package (Offline software) or the Electronic Filing and Payment System (eFPS), if you are required to use eFPS (mandatory for certain large taxpayers, GPPs, etc.).17
- Download and Install: If using eBIRForms, download the latest software package from the BIR website.
- Fill Out the Form: Select BIR Form 1701Q and input all required data, ensuring you choose the correct quarter (Q3) and taxable year (2025).18
- The form requires cumulative income and tax payment details from the first two quarters (Q1 and Q2) to accurately compute the tax due for Q3.19
- Validate and Submit: Use the “Validate” function to check for errors, then click “Submit” (or “Final Copy” and then upload/submit online).20 A Filing Reference Number (FRN) or an email confirmation from the BIR will serve as proof of filing.
Step 3: Pay Your Tax Due
If you have a tax payable, you must remit the payment on or before the November 15 deadline.21
- Online/Electronic Payment: The most convenient method. Payments can be made via:
- eFPS: For eFPS users, payment is integrated into the system.
- BIR ePay Channels: Online payment gateways of various banks (e.g., Landbank Link.BizPortal, DBP Pay Tax Online) and accredited payment service providers (e.g., GCash, Maya, Myeg, PNB C@shNet Plus).22 Payments using e-wallets or credit/debit cards are available through some of these channels.23
- Manual/Over-the-Counter Payment: Pay at an Authorized Agent Bank (AAB) within the jurisdiction of your Revenue District Office (RDO) using a completed payment form (Form 0605 or the bank’s own tax payment slip).24 If there are no AABs, payment can be made directly to the Revenue Collection Officer of your RDO.25
⚠️ Consequences of Late Filing
Failure to file and/or pay your tax on time will subject you to penalties under the National Internal Revenue Code (NIRC), as amended by the Ease of Paying Taxes (EOPT) Act:26
- Surcharge: A 27$10\%$ surcharge on the basic tax due for failure to file on time or on an RDO other than where you are registered.28
- Interest: 29$6\%$ per annum (computed daily) on the unpaid tax amount, counted from the due date until the date of full payment.30
- Compromise Penalty: A fixed penalty amount based on the tax due.
🔗 Attachments (If Applicable)
While Form 1701Q itself is generally filed without physical attachments, you must be ready to present these if required or for the year-end Annual Income Tax Return:
- BIR Form 2307 (Certificates of Creditable Tax Withheld at Source).31
- Summary Alphalist of Withholding Taxes (SAWT), if applicable.
- Duly Approved Tax Debit Memo, if applicable.
This video provides a step-by-step guide on how to fill up and file the Annual Income Tax Return (Form 1701) using the eBIRForms software, which is a similar process to the quarterly filing of Form 1701Q. BIR Form No. 1701 Step-by-Step Filing Guide