How to Generate 1604-E DAT and Excel Files

Overview:

The Generate 1604-E DAT and Excel Files feature in QNE AI Cloud Accounting allows users to prepare the required Annual Alphalist of Payees files for BIR Form 1604-E (Annual Information Return of Creditable Income Taxes Withheld – Expanded Withholding Tax).

This feature generates:

• A DAT file for submission through the BIR eSubmission facility

• An Excel file for review, reconciliation, and internal documentation

It is designed for accountants, bookkeepers, and finance staff responsible for annual withholding tax compliance. By generating these files directly from recorded transactions, the system helps reduce manual encoding, minimize errors, and ensure consistency with reported data.

BIR Form 1604-E is the annual return used to report Expanded Withholding Tax (EWT) withheld from payments to suppliers, professionals, and service providers.

Scenario:

A company records payments throughout the year for services, rentals, and other expenses subject to Expanded Withholding Tax (EWT).

At year-end, the accounting staff must file BIR Form 1604-E and submit the required Annual Alphalist of Payees.

Since all transactions are already recorded in N3 AI Accounting with the correct tax codes, the staff generates the DAT file for required submission to the BIR and an Excel file to review totals and validate the data before filing.

Procedure:

Follow these steps to generate 1604-E DAT and Excel files:

1. Access the QAP Module

Go to BIR > QAP.

2. Set Report Parameters

Select the following:

• Expanded Withholding Tax

• Taxable Year

• Taxable Quarter (any)

3. Generate the DAT File

Click Generate 1604E DAT File.

The system downloads the DAT file for the selected taxable year, formatted for BIR alphalist submission.

4. Validate the DAT File

Open each downloaded DAT file using a text editor (e.g., Notepad), and verify:

• Payee TIN and name

• Amounts paid

• Taxes withheld

• Correct taxable year

5. Generate the Excel File

Click Generate Annual QAP Excel File.

The Excel file is for internal use only and is not accepted for BIR submission.

6. Validate the Excel File

Open the generated Excel file and review:

• Total withholding amounts per payee

• Transaction-level details

• Alignment with recorded EWT transactions

Application:

This feature supports the following use cases:

• Prepare compliant 1604-E alphalist (DAT) files for annual BIR submission

• Review and validate yearly withholding tax totals before filing

• Reduce manual data encoding and minimize reporting errors

• Support audit requirements and year-end tax reconciliations

• Maintain organized annual compliance records for tax reporting

System Scope: QNE AI Cloud Accounting / N3 AI Accounting