Revenue Memorandum Circular No. 91-2024

Clarification on Registration Procedures Pursuant to Revenue Regulations No. 7-2024, as amended by Revenue Regulations No. 11-2024

With the passage of Republic Act (RA) No. 11976, otherwise known as the “Ease of Paying Taxes (EOPT) Act”. this Circular is hereby issued to clarify (thru Question and Answer) registration-related procedures provided under Revenue Regulations (RR) No. 7-2024, as amended by RR No. 11-2024, in relation to RA No. 11976 or the EOPT Act.

• Q1. Who are required to register with the BIR and when is the required period to register?
  • A1. Every person subject to any internal revenue tax shall register, either electronically or manually, with the Revenue District Office (RDO) as follows:
    • On or before the commencement of business, for self-employed individuals, estates and trusts, corporations, and their branches, if any;
    • Before payment of any tax due, for Corporations (Taxable or Non-taxable)/ One Time Transaction (ONETT);
    • Before or upon filing of any applicable tax return, statement or declaration as required by the Tax Code, for Corporations, Partnerships, Associations, Cooperatives, Government Agencies and Instrumentalities (GAIs);
    • Within ten (10) days from date of employment, for Employees; and
    • Application under Executive Order (EO) No. 98, Series of 1999.
• Q2. What are the different ways to register with the BIR?
  • A2. Taxpayers can register with the BIR through the following options:
    • Manually at the RDOs
      Taxpayers can walk-in to RDOs to apply for Taxpayer Identification Number (TIN) and/or register their business. For Business taxpayers, their registration will be processed using the Single Window Policy where the application and the corresponding documentary requirements are submitted and processed through the New Business Registration Counter (NBRC).
      
    • New Business Registration (NewBizReg) Portal
      The New Business Registration (NewBizReg) Portal is an alternative option in submitting application for registration of business (Head Office and Branch) to BIR. For the detailed procedures on how to submit registration thru this Portal, taxpayers can access https://www.bir.gov.ph/newbizreg/
    • Taxpayer Registration-Related Application (TRRA) Portal
      The Taxpayer Registration-Related Application (TRRA) Portal is an alternative option in submitting application for registration-related transactions to BIR. The application and corresponding documentary requirements are submitted electronically through this Portal via email. The following are the registration-related applications that can be processed in the TRRA Portal:
      • Application for TIN under E.O. No. 98 and ONETT
      • Registration of Overseas Filipino Worker (OFW) and Non-Resident Citizens
      • Application for Authority to Print
      • Updating of Email Address using Application Sheet Form S1905
      • Transfer of Registration of Employees and Other Non-Business Taxpayers
      • Updating of Maiden Name (for married female)
        
        For the detail procedures on how to submit application thru the TRRA Portal, taxpayers can access https://www.bir.gov.ph/trraportal/
    • Philippine Business Hub (PBH)
      The Philippine Business Hub (PBH) is an online platform developed by the Department of Information and Communication Technology (DICT) that aims to streamline and to integrate the business registration process of Securities and Exchange Commission (SEC), Department of Trade and Industry (DTI), BIR, Social Security System, PhilHealth, Home Development Mutual Fund (also known as Pag-IBIG Fund), and selected Local Government Units (LGUs) in Metro Manila.
      
      For detailed procedures on how to submit registration application thru the PBH, taxpayers can access https://business.gov.ph/
    • Online Registration and Update System (ORUS)
      The Online Registration and Update System (ORUS) is a web-based system that gives taxpayers a convenient and alternative facility for an end-to-end process for registration, including the updating of their registration information.
      
      For the detailed procedures on how to submit registration application thru the ORUS, taxpayers can access https://orus.bir.gov.ph/home
• Q3. What is the reckoning period for commencement of business?
  • A3. Commencement of business shall be reckoned form the day when the first sale transaction occurred or upon the lapse of thirty (30) calendar days from the issuance of the Mayor’s Permit/Professional Tax Receipt (PTR)/Occupational Tax Receipt (OTR) by LGU, or the Certificate of Business Name Registration (CBNR) issued by DTI, or the Certificate of Registration (COR) issued by SEC, whichever comes first.
    A person shall be considered to have violated this provision when such person failed to register with the BIR within thirty (30) calendar days form the issuance of Mayor’s Permit/PTR/OTR by the concerned LGU, or COR/CBNR issued by the SEC/DTI or the date of its first sales transaction.
• Q4. Where should the taxpayer register and in what manner?
  • A4. Taxpayers shall be registered at the appropriate RDO based on his/her/its taxpayer type pursuant to Section 5(B) of RR No. 7-2024.
• Q5. I am an employer and I have foreign national employees who are still securing their work and employment permits. How will they be registered with the BIR?
  • A5. Foreign nationals who are securing work and employment permits shall be registered with the BIR following the policies and guidelines prescribed in Revenue Memorandum Order No. 28-2019 (Policies and Guidelines on the Registration Requirements of Foreign Nationals).
• Q6. I am registering/processing my registration-related transactions through ORUS. However, I experienced an error or technical issue and cannot proceed with the application. Can I transact manually at the RDO?
  • A6. Yes, a taxpayer who encounters error or technical issue while using ORUS may transact manually at the RDO, provided that the taxpayer can present proof of error or technical issue (e.g. screenshot) encountered.
    However, in cases where the BIR issued an Advisory that the ORUS is unavailable, the taxpayer does not need to present any proof of error/technical issue to be allowed to transact manually at the RDO.
    Aside from manually transacting with the RDO, the taxpayer can submit registration application through the BIR’s NewBizReg Portal or TRRA Portal, if the transaction is available therein.
• Q7. I am an online seller. Do I need to post my Certificate of Registration (COR)? If yes, where will I post it?
  • A7. Yes, business taxpayers, whether with physical store or selling thru online platforms, need to post or display their COR. For taxpayers with physical store, it shall be posted in a conspicuous place in the business establishment that can be easily seen by the public.
    For online seller, an electronic copy of COR (eCOR) shall be posted on the sellers’ website(s) or profile pages at the e-commerce platform. Online sellers whose COR bears a Quick Response (QR) code generated thru ORUS or PBH may post such QR Code at the sellers’ website(s) or profile pages at the e-commerce platform in lieu of the electronic copy of COR.
    In case of a peddler or other persons not having a fixed place of business, the COR/eCOR shall be kept in the possession of the holder thereof or at the place of residence or at the Head Office’s address, if applicable, subject to production upon demand of any internal Revenue Officer.
• Q8. As an online seller, do i need to register to the BIR my store name as reflected in the online page, account, website or e-commerce platform where I sell my products/services?
  • A8. Yes, taxpayers engaged in business shall register in the BIR all of their business/trade names as registered in SEC or DTI, and declare their “store names” used in all their online page, account, website or e-commerce platforms, which shall be reflected as business names in the COR. Store Name refers to the seller’s brand or business within the online page, account, website or e-commerce platforms.
    
    Example: Business Name in DTI : BIR Merchandising
    Store Name in eCommerce platform: Stairback Coffee
    Business Names in BIR COR : BIR Merchandising
    Stairback Coffee
• Q9. Do I still need to pay Annual Registration Fee of Five-Hundred Pesos (P500.00) for my business?
  • A9. No, under the EOPT Act, the BIR ceased to collect the Annual Registration Fee of Five Hundred Pesos (P500.00) effective January 22, 2024, both for new business registrants and existing business taxpayers.
• Q10. My COR still reflects the Annual Registration Fee as one of the tax types. Do I need to replace it?
  • A10. No, the COR shall retain its validity although the Registration Fee is still reflected therein as one of the tax types. You are not required to replace it, unless there are other updates/changes in your business registration information that need to be reflected in the COR.
• Q11. How will I register my Books of Accounts?
  • A11. Books of Accounts shall be registered thru ORUS in the following manner:

New Sets of manual Books of Accounts are not required to be registered every year. However, taxpayers may have the option to use new sets of manual Books of Accounts yearly, which should be registered prior to its use.

• Q12. In relation to Question No. 11, if I will register my Books of Accounts thru ORUS, what is my proof of registration? Do I still need to go to the RDO to have it manually stamped?
  • A12. Your proof of registration shall be a QR Code Stamp which shall be generated for Books of Accounts registered thru ORUS. It shall contain the following information:
    • TIN
    • Registered Name
    • Registered Address
    • Type of Book (Manual, Loose Leaf or Computerized)
    • Books Registered
    • Permit No./Acknowledgement Certificate Control No. – for Loose Leaf or Computerized Books of Accounts
    • Permit to Use (PTU)/ACCN date issued – Loose Leaf or Computerized Books of Accounts
    • Quantity
    • Volume No.
    • Date Registered
  • The QR Code shall determine the authenticity of the printed QR Code Stamp when scanned by any smartphone, which will be redirected to the BIR ORUS website.
  • Taxpayers shall print the QR Code Stamp and paste it on the first page of the manual Books of Accounts and permanently bound loose leaf Books of Accounts. For computerized Books of Accounts, the QR Code Stamp shall be printed and be kept for record purposes.
  • After registering in ORUS, there is no need to go to the RDO for the submission of transmittal letter and USB flash drive (for computerized Books of Accounts) and manual stamping of the books (for manual or loose leaf Books of Accounts).
  • Manual registration of Books of Accounts at the RDO shall only be allowed under the following circumstances:
    • The taxpayer is experiencing technical issues in ORUS (with proof of error or issue).
    • The taxpayer is already in the office premises of the RDO registering on the day of the deadline.
    • The business taxpayer registering Books of Accounts is a senior citizen.
• Q13. How will I transfer my registration records to another RDO?
  • A13. Transfer of registration may be done by mere filing/submission of application (using BIR Form No. 1905), together with complete documentary requirements as follows:
    • A. Fore Transfer of Registration of Individuals Not Engaged in Business (E.O. 98/ONETT/Employee)
      • 1. BIR Form No. 1905 (2 original copies)
    • For Transfer of Business Registration to Another RDO (Head Office and/or Branch)
      • Submit to Old RDO
        • BIR Form No. 1905 (3 original copies) all copies to be stamped “Received”
          1st copy – to be forwarded to New RDO by Old RDO attached to Transfer Related Docket (TRD)
          2nd copy – Old RDO’s file copy
          3rd copy – Taxpayer’s file copy
        • Inventory List of Unused Invoices and Supplementary Invoices (for destruction if not to be used in the New RDO) or letter request with Inventory List for use of the unused invoices/supplementary invoices in the New RDO, for approval of the Old RDO (3 original copies)
          1st copy – Old RDO’s file copy
          2nd copy – New RDO’s file copy
          3rd copy – Taxpayer’s file copy
        • For Non-Individuals Taxpayers only:
          • Amended Articles of Incorporation/Partnership/Cooperation bearing the taxpayer’s new principal business address (1 photocopy); and
          • Certificate of Filing of Amended Articles of Incorporation/COR of Amendments to Articles of Cooperation and By-Laws (1 photocopy).
        • For Non-individuals, Single Proprietors, except Professionals:
          • Mayor’s Business Permit; or
          • Duly received Application for Mayor’s Business Permit, if the Mayor’s Business Permit is still in process with the LGU (1 photocopy).
        • Unused invoices and supplementary invoices, for re-stamping by Old RDO, with approved letter request and Inventory List (2nd copy) (1 original copy)
        • 3rd copy of Transfer Commitment Form, if applicable, together with the 3rd copy of BIR Form No. 1905 duly received by old RDO (1 photocopy)
      • Change of Registered Business Address Under the Jurisdiction of the Same RDO
        • BIR Form No. 1905 (2 original copies)
        • Mayor’s Permit/DTI Certificate/SEC COR or Form for Appointment of Officers (in case of One Person Corporation) bearing the new business address (1 photocopy)
        • Letter Request for temporary use of old invoices/supplementary invoices (for business taxpayers), if applicable (1 original copy)

Individual taxpayers not engaged in business (non-business) may file their application for transfer online through ORUS or manually at the new RDO having jurisdiction over the place of residence where they will transfer. However, if the said non-business taxpayer will subsequently apply for business registration, such application shall be files directly at the RDO having jurisdiction over the business address where his/her registration records will be transferred by the said RDO as well.

Taxpayers engaged in business who will request for transfer of registration shall file it at the current RDO where the taxpayer is registered. All open-cases/stop-filer cases shall be settled at the new RDO by submitting a Transfer Commitment Form, except for those who are subject to audit investigations. Thus, taxpayers with open-cases/stop-filer cases who are not subject to audit investigations shall be transferred to the new RDO within the prescribed period, together with the open-cases/stop-filer cases.

Transfer of registration of non-business taxpayers and those that are transferring business address within the same RDO shall be transferred immediately upon filing of application with complete documentary requirements.

Transfer of registration of business taxpayers to another RDO shall be done within five (5) days, for branches and facilities, and within ten (10) days, for head office.

• Q14. How will I close my business registration with the BIR?
  • A14. Closure of business registration may be done by mere filing of application (using BIR Form No. 1905), with complete documentary requirements, as follows:
    • BIR Form No. 1905 (2 original copies)
    • List of Ending Inventory of Goods, Supplies, including Capital Goods (1 original copy)
    • Inventory of Unused Invoices/Supplementary Invoices, together with Unused Invoices/Supplementary Invoices and all other unutilized accounting forms (e.g. debit/credit memos, delivery receipts, purchase orders, etc.);
    • Original copy of business Notices and Permits (e.g. ATP, Notice to Issue Receipt/Invoice (NIRI), Accreditation Certificate and Permit to Use – for CRM/POS, etc.) issued to taxpayer as well as original copy of the COR.

However, this shall not preclude the Commissioner of Internal Revenue or his authorized representative from conducting audit in order to determine the tax liability of taxpayer as of closure of his/her/its business operations. Said tax liability needs to be settled prior to the issuance of tax clearance for business closure.

Amending the Transitory Provisions of Revenue Regulations No. 7-2024 Relative to the Deadlines for Compliance with the Invoicing Requirements

Section 1. Scope – Pursuant to the provisions of Sections 244 and 245 of the National Internal Revenue Code of 1997, as amended (Tax Code), in relation to Section 47 of Republic Act (RA) No. 11976, otherwise known as the “Ease of Paying Taxes (EOPT) Act”, these Regulations are hereby promulgated to amend the transitory provisions of Revenue Regulations (RR) No. 7-2024 and extend the deadlines for compliance with the new Invoicing Requirements under the EOPT Act.

Section 2. Amendments and Extensions of Deadlines for Compliance. –

Section 8 – Transitory Provisions of RR No. 7 – 2024 is hereby amended to read as follows:

“Section 8 Transitory Provisions.–

1. Certificate of Registration (COR) reflecting the Registration Fee – Business taxpayers are not required to replace its existing BIR Certificate of Registration that displays the Registration Fee. The COR shall retain its validity although the Registration Fee is shown therein, and taxpayers are no longer required to pay the Annual Registration Fee. Updating the COR is only necessary if there are changes to the registration information, excluding Registration Fee, reflected on the COR.
2. Unused Official Receipts-
   • Taxpayers may continue the use of remaining Official Receipts as supplementary document. – All unused or unissued Official Receipts may still be used as supplementary document upon the effectivity date of these Regulations until fully consumed, provided that the phrase “THIS DOCUMENT IS NOT VALID FOR CLAIM OF INPUT TAX”, is stamped on the face of the document. The Official Receipt, along with other equivalent documents such as Collection Receipt, Acknowledgement Receipt and Payment Receipt are all the same, serve as proof of payment that cash has been received or that payment has been collected/made for goods and/or services.
   • Taxpayer may convert and use the remaining Official Receipts as Invoice and convert the Billing Statement/Statement of Account/Statement of Charges into Billing Invoice. – For ease of doing business, the taxpayers shall be allowed to strikethrough the word “Official Receipt” [e.g. Official Receipt] or “Billing Statement/Statement of Account/Statement of Charges into Billing Invoice” [e.g. Billing Statement] on the face of the manual and loose leaf printed receipt and stamp “Invoice”, “Cash Invoice”, “Charge Invoice”, “Credit Invoice”, “Billing Invoice”, “Service Invoice”, or any name describing the transaction, and to be issued as primary invoice to its buyer/purchaser until fully consumed. Provided, that the converted “Official Receipt” or “Billing Statement/Statement of Account/Statement of Charges” shall contain the required information provided under Section 6(B) of RR No. 7-2024, including the quantity, unit cost and description or nature of service pursuant to Sec 237 of the Tax Code. Such information and other required information may also be stamped if not originally indicated in the old Official Receipt/Billing Statement/Statement of Account/Statement of Charges to comply with these requirements.
     
     The above documents shall be considered valid for claiming of input tax by the buyer/purchaser and can serve as proof of both sales transaction and payment at the same time for the period issued from April 27, 2024 until they are fully consumed, provided that the converted Invoice/Billing Invoice to be issued bears the stamped “Invoice/Billing Invoice” and there is no missing information as enumerated under Section 3(D)(3) of RR No. 7-2024.
     
     Effective April 27, 2024, any manual/loose leaf “Official Receipts” issued without a stamped “Invoice” will be considered supplementary documents as provided in Section 8(2.1) of these Regulations, and ineligible for input tax claims.
     
     The stamping of Official Receipt as Invoice or Billing Statement/Statement of Account/Statement of Charges as Billing Invoice by taxpayers does not require approval from any Revenue District Offices/LT Offices/LT Divisions but must comply with Section 8(2.3) hereof. Taxpayers should obtain newly printed invoices with an Authority to Print (ATP) before fully using or consuming the converted Official Receipts/Billing Statement/Statement of Account/Statement of Charges.
     
   • Reportorial requirement for unused Official Receipts/Billing Statement/Statement of Account/Statement of Charges to be used as Invoice or Billing Invoice upon effectivity of these Regulations – All unused manual and loose-leaf Official Receipts/Billing Statements/Statement of Account/Statement of Charges to be converted as Invoice or Billing invoice shall be reported by submitting an inventory of unused Official Receipts/Billing Statement/Statement of Account/Statement of Charges indicating the number of booklets and corresponding serial numbers on or before July 31, 2024, to the RDO/LT Office/LT Division where the Head Office or Branch Office is registered, in duplicate copies. The receiving Branch RDO shall transmit the original copy to the Head Office RDO and retain the duplicate copy.
     
3. Cash Register Machines (CRM) and Point-of-Sales (POS) Machines and E-receipting or Electronic invoicing Software – Taxpayers using CRM/POS/E-receipting/E-invoicing may change the word “Official Receipt(OR)” to “Invoice”, “Cash Invoice”, “Charge Invoice”, “Credit Invoice”, “Billing invoice”, “Service Invoice”, or any name describing the transaction, without the need to inform of such change the Revenue District Office(s) having jurisdiction over the place of business of such sales machines. Such reconfiguration shall be considered as minor system enhancement which shall not require the reaccreditation of sales software/system on the part of the software supplier not the reissuance of the Permit to Use on the part of the taxpayer-user.
   
   Taxpayers that are using duly registered Computerized Accounting System (CAS) or Computerized Books of Accounts (CBA) with Accounting Records (AR) need to revisit their system to comply with the provisions of the EOPT Act. Since the system enhancement will have a direct effect on the financial aspect, it shall be considered as major enhancement which will require taxpayer to update their system registration following the existing policies and procedures in registering use of CAS or CBA with AR. The previously issued to the Head Office/Branch(es). The required Annex of the AC shall indicate all the branches (if applicable) that are using the said system/software and the sets of series of accountable forms (Invoice) to be used by each of the branches, if applicable.
   
   In order to provide ample time in reconfiguring machines and enhancement of CAS/CBA with AR, adjustments shall be undertaken on or before December 31, 2024. Any Extension due to the reconfiguration/enhancement of system must be approved by the concerned Regional Director or Assistant Commissioner of the Large Taxpayers Service which shall not be longer than six (6) months from December 31, 2024.
   
   The serial number of the renamed Invoice to be issued by CRM/POS machines, e-receipting or electronic invoicing software, CAS or CBA with AR shall start by continuing the last series of the previously approved Official Receipt and shall submit notice after the completion of reconfiguration/enhancement, indicating the starting serial number of the converted Invoice, to the RDO/LT Office/LT Division where the machines are registered, in duplicate copies, within thirty (30) days from the completion of machine/system reconfiguration/enhancement or on December 31, 2024, whichever comes first. The receiving Branch RDO shall transmit the original copy to the Head Office RDO.
   
   Documents issued by CRM/POS machines, e-receipting or electronic invoicing software, CAS or CBA with AR containing the word “Official Receipt” from April 27, 2024 until the completion of machine/system reconfiguration/enhancement shall be considered as valid for claiming of input tax by the buyer/purchaser until December 31, 2024 or until the completion of machine/system reconfiguration/enhancement, whichever comes first. Provided, that there is no missing information as enumerated under Section 3(D)(3) of RR No. 7-2024 and the machine/system printed/generated “Official Receipt/Billing Statement/Statement of Account/Statement of Charges” is converted by striking through the term “Official Receipt/Billing Statement/Statement of Accounts/Statement of Charges” and stamping the word “Invoice/Billing Invoice” on the document.
   
4. Issuing “Official Receipt (with or without strikethrough) generated by CRM/POS machines, e-receipting, electronic invoicing software, CAS or CBA with AR for the sale of goods or services after December 31, 2024 or until the completion of machine/system reconfiguration/enhancement, whichever comes first, and issuing manual/loose lead “Official Receipt” without converting them to “Invoice” for the sale of goods or service starting April 27, 2024, will not be considered as evidence of sales of goods or services and shall be tantamount to failure to issue or non-issuance of Invoice required under Section 6(A) hereof. Such failure is subject to penalty of not less than One Thousand Pesos (Php 1,000.00) but not more than Fifty Thousand Pesos (Php 50,000.00) and suffer imprisonment of not less than two (2) years but not more than four (4) years pursuant to Section 264(a) of the Tax Code.

Section 3. Subsequent Amendments on the Extension of Deadlines. – The Commissioner of Internal Revenue may further extend the deadlines on the transition period prescribed in these Regulations as may be deemed necessary.

Section 4 Separability Clause. – If any of the provisions of these Regulations is subsequently declared invalid or unconstitutional, the validity of the remaining provisions hereof shall remail in full force and effect.

Providing Clarifications and Guidance on Section 6 of Revenue Regulations No. 4-2024 on the Repeal of Section 34 (K) of the National Internal Revenue Code of 1997, as Amended

This Circular is hereby issued to provide clarification and guidance on the amendments introduced by Republic Act No. 11976 otherwise known as the “Ease of Paying Taxes (EOPT) Act”, particularly on the repeal of Section 34 (K) of the National Internal Revenue Code (Tax Code) of 1997, as amended. The amendment is implemented through Section 6 of Revenue Regulations No. 4-2024.

Quoted hereunder is the provision of Section 34(K) of the Tax Code, as amended:

“Section 34 (K) – Additional Requirements for Deductibility of Certain Payments. – Any amount paid or payable which is otherwise deductible from, or taken into account in computing gross income or for which depreciation or amortization may be allowed under this Section, shall be allowed as a deduction only if it is shown that the tax required to be deducted and withheld therefrom has been paid to the Bureau of Internal Revenue in accordance with this Section. Section 58 and 81 of the Code.”

With the repeal of the above-quoted provision under the EOPT Act, a particular income payment where a tax is required to be withheld can now be allowed as deduction from the gross income, even if no tax was withheld, provided the same is necessary, ordinary and duly substantiated expense related to the registered business of the taxpayer.

Since the EOPT Act took effect on January 22,2024, a question arose if the repeal of the said provision may be applied to all assessed cases and on-going audits covering taxable periods prior to the effectivity of EOPT Act.

In this regard, all concerned are hereby advised of the following policies and clarifications:

1. On all ongoing audit covering taxable period prior to January 1, 2024 – expenses subject to withholding tax shall be allowed as deductions from gross income by the Revenue Officers (RO) only if the corresponding tax required to be withheld have been paid, whether prior to audit or submission of the audit report to the Reviewing Office.
2. In a scenario where taxpayer failed to withhold the tax required to be withheld on expenses subject to withholding tax and taxpayer did not pay the same prior to submission of the audit report to the reviewing office, the RO has to recommend for the issuance of assessment notice both on income and withholding tax. This is in line with the provisions of Revenue Regulations No. 6-2018.
3. On audit cases which are already submitted to the Reviewing Office
   • Paid Case – same application stated under item 1 hereof;
   • Assessed Case – apply the requirement of deductibility under the then Section 34 (K) of the Tax Code, thus, assessment on both income tax and withholding tax shall be issued.

For taxable year covering January 1, 2024 onwards, expenses/income payments subject to withholding tax shall be allowed as deductions from gross income for purposed of computing taxable income even if no tax was withheld, provided the other requirements for deductibility have been met. However, the taxpayer shall still be liable for the payment of the corresponding withholding tax due on said income payments.

This circularizes Republic Act (RA) No. 11976 (Ease of Paying Taxes [EOPT] Act), together with the Veto Message both signed by President Ferdinand R. Marcos Jr. on January 5, 2024.

The following Sections of the National Internal Revenue Code (NIRC) were amended under the EOPT Act:

• Section 21. Sources of Revenue and Classification of Taxpayers
• Section 22. Definitions
• Section 51. Individual Returns
• Section 56. Payment and Assessment on Income Tax for Individuals and Corporations
• Section 57. Withholding Tax at Source
• Section 58. Returns and Payment of Taxes Withheld at Source
• Section 76. Final Adjustment Return
• Section 77. Place and Time of Filing and Payment of Quarterly Corporate Income Tax
• Section 81. Filing of Return and Payment of Taxes Withheld
• Section 90. Estate Tax Returns
• Section 91. Payment of Tax
• Section 103. Filing of Return and Payment of Tax
• Section 106. Value-Added Tax on Sale of Goods or Properties
• Section 108. Value Added-Tax on Sale of Services and Use or Lease of Properties
• Section 109. Exempt Transactions
• Section 110. Tax Credit
• Section 112. Refund of Input Tax
• Section 113. Invoicing and Accounting Requirements for VAT-registered Persons
• Section 114. Return and Payment of Value-Added Tax
• Section 115. Power of the Commissioner to Suspend the Business Operations of a Taxpayer
• Section 116. Tax on Persons Exempt from Value-Added Tax
• Section 117. Percentage Tax on Domestic Carriers and Keepers of Garages
• Section 118. Percentage Tax on International Carriers
• Section 119. Tax on Franchises
• Section 120. Tax on Overseas Dispatch, Message of Conversation Originating from the Philippines
• Section 128. Returns and Payment of Percentage
• Section 200. Payments of Documentary Stamp Tax
• Section 204. Authority of the Commissioner to Compromise, Abate and Refund or Credit Taxes
• Section 229. Recovery of Tax Erroneously or Illegally Collected
• Section 235. Preservation of Books of Accounts and Other Accounting Records
• Section 236. Registration Requirements
• Section 237. Issuance of Sales or Commercial Invoices
• Section 238. Printing of Sales or Commercial Invoices
• Section 241. Exhibition of Certificate of Payment at Place of Business
• Section 242. Continuation of Business of Deceased Person
• Section 243. Removal of Business to Other Location
• Section 245. Specific Provision to be Contained in Rules and Regulations
• Section 248. Civil Penalties
• Section 269. Violations Committed by Government Enforcement Officers Section 34(K) of the NIRC of 1997, as amended, is repealed and the succeeding paragraph is renumbered accordingly.

The BIR shall develop an EOPT and digitalization roadmap that will provide for the programs and projects to be implemented to ensure ease of compliance of tax laws, rules and regulations, including but not limited to adoption of simplifies tax returns, streamlining of tax processes, reduction of tax or documentary requirements, and digitalization of BIR services as provided under Section 40 of the Act; Provided, That in developing this roadmap, the BIR shall prioritize taxpayers who are considered as micro and small taxpayers for purposes of the Act, in terms of streamlining tax procedures and documentary requirements according to taxpayer size and capacity to comply; Provided, further, that the BIR shall ensure accessibility of its various services to different taxpayers particularly micro and small taxpayers so as to improve tax compliance, and enhance taxpayer convenience.

Within ninety (90) calendar days from the effectivity of the Act, the Secretary of Finance, after due consultation with the BIR, and the private sector, shall promulgate the necessary rules and regulations for its effective implementation.

The provision of the EOPT Act granting micro-enterprises exemption from the obligation to withhold taxes was vetoed by the President.

Originally Published in GPP CPAs website.