Unremitted Withholding Taxes at Year-End
Department of Public Works and Highways · 2023
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What Happened?
Category: Financial ManagementIssue: Non-complianceDPWH withheld taxes from employee pay and supplier payments but did not remit all of them to the BIR by the end of the year. Over P2 billion was unremitted, exposing the agency to potential penalties and interest.
Why It Matters
Recommended Actions
No recommendations are available for this finding yet.
Original Audit Finding Excerpt
"283 Region/ CO Beginning Balance Adjustments Withheld/ Deducted Remittances Unremitted Balance Remarks Amount (In PhP) respectively, which are subject to reconciliation. XII 1,529,263.23 0.00 98,607,865.99 97,167,883.24 2,969,245.98 The unremitted balance is subject to reconciliation, adjustments and remittance in CY 2024. XIII 0.00 0.00 135,783,640.35 135,372,464.72 411,175.63 Balance remitted in January 2024. Total 35,286,723.77 364,528.31 1,995,216,785.98 1,995,824,683.0 3 35,043,355.03 2,030,868,038.06 30.3 The table above shows that out of the total GSIS premium contributions and loan amortizations of P2,030,868,038.06 deducted/withheld from the salaries of its officers and employees representing personal share and loan amortizations, the amount of P1,995,824,683.03 or 98.27 percent were remitted to GSIS during the year; thus, leaving an unremitted balance of P35,043,355.03 or 1.73 percent as at year-end. Of the unremitted balance, the amount of P1"