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REVENUE MEMORANDUM CIRCULAR NO. 108-2024
| Scope | Application of Section 30 (C) of the National Internal Revenue Code (NIRC) of 1997, as amended, to Microinsurance Mutual Benefit Associations (Mi-MBAs). |
| Taxability | Section 30 (C) of the Tax Code of 1997, as amended exempts certain beneficiary societies, orders, or associations operating for the exclusive benefit of their members from being taxed under Title II of the Tax Code on income received by them. This includes fraternal organizations, mutual aid associations, and nonstock corporations organized by employees for the payment of life, sickness, accident, or other benefits exclusively to their members or their dependents. |
| Clarification Provided | Mi-MBAs, shall not be taxed under Title II of the Tax Code on the income received by the if they are:registered and operate according to the provisions of Revenue Memorandum Order (RMO) No. 38-2019, which outlines the nature, characteristics, corporate purposes, and actual operations of tax-exempt mutual aid associations, which include Mi-MBAs.have secured a valid Certificate of Tax Exemption from the BIR. |
| Effectivity | These regulations shall take effect fifteen (15) days following its publication in the Official Gazette or the BIR official website, whichever comes first. |