New BIR rules ease education tax incentive claims

The Bureau of Internal Revenue has issued Revenue Memorandum Circular No. 23-2026 to provide clearer guidelines for availing tax incentives tied to private sector partnerships in education.

The circular clarifies the implementation of Revenue Regulations No. 13-2025 after stakeholders raised concerns over compliance requirements and procedural gaps.

Under the new circular, the BIR said clearer rules now govern the submission of documentary requirements for the availment of tax incentives, as well as compliance, accreditation, certification and reporting processes.

The agency said the revised guidance is intended to make it easier for private sector participants to access tax incentives linked to education-related programs.

The tax incentives cover initiatives under the Adopt-a-School Act of 1998, the Enterprise-Based Education and Training Framework Act, and relevant provisions of the National Internal Revenue Code.

According to the BIR, the issuance is meant to reduce administrative burden, remove ambiguities and promote a more consistent application of tax incentives.

The circular also aligns the incentive framework with broader government efforts to strengthen workforce development, improve access to education and encourage greater industry participation in training and skills development.

That alignment is significant as public-private partnerships in education have increasingly been promoted as a way to help close skills gaps, expand workplace-based learning and better match training programs with labor market needs.

The BIR said the circular is expected to support wider private sector participation in education programs while maintaining proper compliance and accountability in the use of tax incentives.

“With the issuance of RMC No. 23-2026, we are making it simpler and faster for the private sector to access the tax incentives they earn by supporting Philippine education,” said BIR Commissioner Charlito Martin R. Mendoza.

“By streamlining these procedures, the BIR reaffirms its commitment to a transparent and efficient tax system that empowers our partners to invest in the Filipino workforce and contribute to our national development,” he added.