Income Tax Return with Multiple Employers (Philippines)

Philippine context. General info only—not tax/legal advice. Rules and e-filing mechanics evolve, so always check the latest BIR forms and instructions before filing.

TL;DR

If you had two or more employers in the same calendar year (whether successive or simultaneous), you are not qualified for substituted filing. You must file your own Annual Income Tax Return (ITR).
Form to file: BIR Form 1700 (purely compensation income). If you also had business/professional income, file BIR Form 1701 (mixed income).
Deadline: April 15 following the taxable year.
Attachments: BIR Form 2316 from each employer, plus any other withholdings proof.
Compute tax on your combined compensation for the year, then minus total taxes withheld. Pay any difference upon filing (or claim refund/carry-over for over-withholding).

1) Who must file (multiple employers)

You must file an annual ITR if any of the following is true:

You had two or more employers during the year (even if not at the same time).
You had two concurrent jobs at any point.
Your employer did not perform a complete year-end adjustment covering all your compensation for the year.
You have other taxable income (business, professional fees, rentals, etc.).

Only employees with one employer for the entire year whose tax was correctly withheld and annualized qualify for substituted filing (no personal ITR; BIR Form 2316 doubles as the “ITR”).

2) Which return, when, and how to file

Purely compensation: BIR Form 1700, due April 15.
Mixed income (compensation + business/profession): BIR Form 1701, due April 15 (and quarterly returns for the business part).
Filing channels: eFPS if required, otherwise eBIRForms; pay through BIR-accredited e-payment/AAB channels.
Attachments: Upload/submit per current BIR attachment rules (e.g., via eAFS). Keep originals.

3) What income to combine

Combine everything you earned as an employee for the calendar year:

Basic pay, allowances (taxable), overtime, holiday pay (if not MWE-exempt), commissions, honoraria, taxable allowances.
Taxable fringe benefits (for rank-and-file).
Note (FBT): Fringe benefits to managerial/supervisory employees are subject to Final Fringe Benefits Tax (FBT) at the employer’s side and do not enter your compensation tax computation.

Non-taxable/excluded (do not combine as taxable)

13th month pay and other benefits up to ₱90,000 (excess is taxable).
De minimis benefits within BIR ceilings.
Mandatory contributions (SSS/GSIS, PhilHealth, Pag-IBIG).
Minimum Wage Earner (MWE) basic pay and statutory wage-related benefits for those who qualify as MWEs (subject to the specific rules for MWEs).

4) The tax rates you’ll apply (current graduated schedule)

For individual compensation income (2023 onward), apply the graduated tax to your taxable compensation:

₱0–₱250,000 – 0%
₱250,000–₱400,000 – 15% of excess over ₱250,000
₱400,000–₱800,000 – ₱22,500 + 20% of excess over ₱400,000
₱800,000–₱2,000,000 – ₱102,500 + 25% of excess over ₱800,000
₱2,000,000–₱8,000,000 – ₱402,500 + 30% of excess over ₱2,000,000
Over ₱8,000,000 – ₱2,202,500 + 35% of excess over ₱8,000,000

TRAIN removed personal/additional exemptions. Compensation earners don’t claim itemized or OSD deductions; you just exclude the non-taxable items listed above to arrive at taxable compensation.

5) How to compute when you had multiple employers

Gather BIR Form 2316 from each employer.
List and total your taxable compensation from all employers.
Exclude non-taxable items (₱90k 13th month/other benefits cap, de minimis within limits, mandatory contributions, etc.).
Apply the graduated tax to the combined taxable amount → this is your annual tax due.
Sum all withholding taxes from all 2316s → your tax credits.
Compare:
- If Tax Due > Credits → Pay the difference with your 1700/1701.
- If Credits > Tax Due → choose Refund or Carry-Over (carry-over is common for those who will file again next year).

Why people often owe more with two jobs

Each employer withholds as if their payroll is your only job. When you combine both incomes at year-end, you may jump to a higher bracket, so total tax due can exceed what was withheld separately.

6) Successive vs simultaneous employment

Successive employment (you changed jobs) Your last employer may ask for your prior 2316 and attempt a year-end adjustment. Even then, because you had more than one employer that year, you’re not qualified for substituted filing—you still file your 1700.
Simultaneous employment (two jobs at once) Neither employer can annualize across the other’s payroll. You must file and settle any difference yourself.

7) Mixed-income situations (employee + side business)

Use BIR Form 1701.
Compensation portion: compute as above.
Business/profession portion: choose graduated + deductions (itemized/OSD) or the 8% option (if qualified).
- The 8% election never applies to compensation and, for mixed-income earners, no ₱250k reduction applies to the 8% base.
Pay quarterly for the business portion; annual reconciling due April 15.

8) Special notes & edge cases

Minimum Wage Earner (MWE): MWE wages and statutory wage-related benefits are exempt; if you had non-MWE compensation from another employer, that other income is taxable, but your MWE wages remain exempt per rules.
Resident aliens are generally taxed like citizens on Philippine-source compensation. Non-resident aliens not engaged in trade/business are typically subject to final tax on gross at source; many won’t file an annual ITR for compensation.
Benefits for managerial/supervisory staff subject to FBT are out of scope of your ITR (already final).
Classification check: If one “employer” paid you as an independent contractor (with BIR Form 2307 and no 2316), that’s business/professional income, not compensation → use 1701.

9) What to attach to your ITR

BIR Form 2316 from every employer (originally issued to you).
Any BIR payment forms/receipts for tax you’re paying with the return.
For mixed income: 2307 (withheld on professional fees), if any.
Entity authorizations if someone files on your behalf.

Keep digital copies and proof of electronic submission per current BIR attachment rules.

10) Filing steps (checklist)

Collect all 2316s; verify TINs and totals.
Prepare a one-page reconciliation: taxable vs non-taxable items per employer.
Compute combined tax due using the graduated table.
Enter total credits (sum of withheld taxes).
File 1700 (or 1701 if mixed) on/before April 15 via eBIRForms/eFPS.
Pay any tax due via accredited e-payment/AAB channels.
Submit required attachments (e.g., eAFS) and keep proof.

11) Penalties to avoid

Late filing/payment: Surcharge (commonly 25% of basic tax) + interest at the statutory rate + compromise penalties.
Wrong form/venue or missing attachments can delay processing of refunds/credits and may trigger compliance notices.

12) Worked example (illustrative)

You held two jobs at once for the full year:

Employer A: ₱30,000/month basic (no taxable allowances).
Employer B: ₱35,000/month basic (no taxable allowances).
Each gave 13th-month benefits within the ₱90,000 cap. You contributed to SSS/PhilHealth/Pag-IBIG through both (excluded from tax).

Step 1: Combine taxable compensation

A: ₱30,000 × 12 = ₱360,000
B: ₱35,000 × 12 = ₱420,000
Total taxable compensation = ₱780,000 (no other taxable benefits in this example)

Step 2: Compute annual tax due (graduated schedule)

₱780,000 falls in the ₱400k–₱800k bracket → Tax = ₱22,500 + 20% of (₱780,000 − ₱400,000)
Excess = ₱380,000 × 20% = ₱76,000
Tax due = ₱22,500 + ₱76,000 = ₱98,500

Step 3: Sum taxes withheld

Suppose A withheld ₱36,000 for the year and B withheld ₱50,000 → Total credits = ₱86,000

Step 4: Settle difference

₱98,500 − ₱86,000 = ₱12,500 → Pay ₱12,500 with BIR Form 1700 by April 15.

(If credits had exceeded ₱98,500, you would choose refund or carry-over.)

13) Common pitfalls (and fixes)

Missing 2316 from a past employer → Keep asking HR; if unavailable, reconstruct using payslips/bank credits and declare honestly.
Treating non-taxable benefits as taxable (or vice versa) → Identify each line item (basic, allowances, 13th-month, de minimis, contributions).
Assuming last employer’s annualization means no filing → With multiple employers, you still file.
Ignoring a small shortfall → Any amount due must be paid by April 15 to avoid penalties.
Confusing contractor income with compensation → 2316 = compensation; 2307 = professional/contractor income (use 1701 for mixed).

14) Quick prep list

□ All 2316s (every employer)
□ TINs correct; current RDO on file
□ Reconciliation sheet (taxable vs excluded)
□ eBIR/eFPS credentials ready
□ Payment channel for any tax due
□ Attachment submission (per BIR instructions)
□ Decision: Refund vs Carry-Over if overpaid

If you want, tell me (a) how many employers you had, (b) your taxable totals per 2316, and (c) any non-taxable benefits—I'll crunch your exact year-end tax and draft the 1700/1701 entries you’ll need.