The Bureau of Internal Revenue (BIR) issued Revenue Memorandum Circular (RMC) No. 60-2020 last June 1, 2020 to remind all persons doing business or earning income in any manner or form, including online sellers and those who are into digital transactions, to register their businesses pursuant to the provisions of the Tax Code, as amended.
In addition to registering with the BIR, online sellers are required to issue a registered sales invoice or official receipt, either manually or electronically, for each sale of goods or services. Said invoice or receipt shall conform to the existing revenue issuances, and shall be prepared in duplicate, with the original copy to be given to the buyer and the duplicate to be retained by the seller for accounting purposes.
Accordingly, online sellers are required to secure BIR Printed Invoices (BPI)/BIR Printed Receipts (BPR) or the Authority to Print (ATP) with the BIR using BIR Form 1906. Such ATP shall be perpetually valid, unless revoked by the BIR based on specific grounds.
Further, online sellers are also advised to register their books of accounts, withhold applicable taxes, file required tax returns, and pay correct taxes due on time to ensure full compliance. Upon completion of the above, the taxpayer shall receive, aside from the Certificate of Registration, a copy of the BIR-received Registration Form (1901 or 1903), Notice to Issue Receipt/Invoice (NIRI), BPR/BPI or ATP (per taxpayer’s choice), and the proof of payment of registration fee.
References:
Revenue Memorandum Circular No. 60-2020
