Special InTAX: July 2022 Issue 1 | Volume 1

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

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DEPARTMENT OF FINANCE


The Department of Finance (DOF) issued the following:


Revenue Regulations (RR) No. 06-2022, 30 June 2022, to prescribe the policies and guidelines for the removal of the five (5)-year validity period on receipts/invoices.


These regulations shall cover taxpayers who will apply for the Authority to Print (ATP), registration of Computerized Accounting System (CAS)/Component of CAS, and Permit to Use (PTU) Cash Register Machines (CRMs) and Point-of-Sale (POS) machines.


The salient provisions of RR No. 06-2022 are the following:


The phrase showing the 5-year validity period in the manual receipts and invoices (those with ATP) and system-generated receipts/invoices (from CAS/CRM/POS) shall be omitted (or disregarded for existing manual receipts/invoices until they are fully exhausted).

The subsequent printing of manual receipts/invoices upon effectivity of this RR shall no longer reflect the phrase showing/adopting the 5-year validity.

The CAS/CRM/POS with PTU or Acknowledgment Certificate must be reconfigured to omit the printing of the phrase showing the 5-year validity period.


The RR shall take effect 15 days after its publication or on 16 July 2022 since it was published in Manila Times on 1 July 2022.


RR No. 08-2022, 30 June 2022, to prescribe the policies and guidelines for the implementation of Section 237 [issuance of electronic receipts or sales or commercial invoices (e-Receipts/e-Invoices)] and Section 237-A (Electronic Sales Reporting System) of the National Internal Revenue Code of 1997, as amended by the Tax Reform for Acceleration and Inclusion or TRAIN Law (Tax Code).


Section 2 of this RR enumerates the following taxpayers who are required to issue e-Receipts/e-lnvoices pursuant to Section 237 of the Tax Code:


1.

Taxpayers engaged in the export of goods and services:

2.

Taxpayers engaged in electronic commerce (e-commerce); and

3.

Taxpayers under the Large Taxpayers Service (LTS).


These taxpayers (including those who are not included above but opted to/authorized by the BIR to issue e-Receipts/e-Invoices) are required to comply with the following:


Issuance of e-Receipts/e-lnvoices to customers/buyers, in lieu of manual receipts/invoices;

Registration of their CAS/CRM/POS generating e-Receipts/e-Invoices and certification of Sales Data Transmission System; and

With the establishment of the Electronic Invoicing/Receipting System (EIS), transmission of the sales data covered by the e-Receipts/e-Invoices to the BIR using their Sales Data Transmission System. (Note: Section 2 of this RR provides that the requirement to transmit sales data shall only apply to taxpayers in number 1 and 3 above.)


The policies and guidelines for all taxpayers mandated to adhere to the RR are in Section 4 of the RR, noting that a separate issuance shall likewise be issued for the details and specific requirements. Also, other policies relative to issuance of e-Receipts/e-Invoices are provided in Section 5 of this RR.


The RR shall take effect immediately or on 1 July 2022 since it was published in Manila Times on this date.


RR No. 09-2022, 30 June 2022, to prescribe the policies and guidelines for the admissibility of sales documents in electric format, particularly in the verification of sales and purchases of the following taxpayer groups (especially during audit or processing of VAT refund claims):


1.

Taxpayers engaged in the export of goods and services;

2.

Taxpayers engaged in e-commerce;

3.

Taxpayers under the LTS; and

4.

Taxpayers who are not included in the number 1-3 (those mandated to adhere to RR No. 8-2022) but have been authorized by the BIR to issue e-Receipts/e-Invoices through the web-based facility of the EIS.


The RR likewise provides that all taxpayers covered shall follow the policies and guidelines as follows: 


1.

At the time of tax audit or investigation or verification of the taxpayer, the sales and purchases that will be generated and verified through the EIS are admissible (in lieu of hard copies), provided that these comply with the information requirements under Section 113 of the Tax Code. The requirement for the prominently stamping of the term “zero rated sales” on the face of the receipt or invoices is no longer necessary since separate reporting to EIS for each sales classification (e.g., VAT-able, zero-rated and exempt) is required.

2.

Authorized users of the EIS, whether the web-based format or through Application Programming Interface (API) transmission of sales data, shall not be required to submit printed copies of invoices or receipts issued for their sales.

3.

Printed invoices/receipts for purchases from suppliers using the web-based issuance in the EIS, or through Sales Date Transmission System, will no longer be required to be submitted. However, only purchases data that are validated in the EIS shall be allowed for purposes of claiming input VAT, or for claiming deductible expenses for income tax purposes.

4.

The original form or digital copies, whichever is applicable, must be retained in accordance with the Tax Code, for verification and validation of the sales and purchases data generated through the EIS or submitted electric forms of invoice or receipts.

5.

Subject to approval of the Commissioner of Internal Revenue or his authorized representative, taxpayers may be required to present or submit hard copies of the receipts or invoices or allowed to access to the computerized systems.

6.

Revenue officers are not precluded from accessing the respective CAS or POS/CRM machines of the taxpayers under the EIS to validate whether the sales data transmitted to the EIS matches the sales recorded in their electronic systems, as required under RR No. 09-2009.

7.

Refusal of the taxpayer to allow the revenue officers assigned to access the CAS shall give authority to the revenue officers to employ alternative means in the verification of the records of the taxpayer or may result in possible disallowances or assessments. Any violation of the same provision may result in prosecution of the taxpayer by the BIR and the taxpayer shall be held liable for the penalties under the Tax Code. Moreover, this may also result in the revocation of the Acknowledgement Certificate or PTU CAS of the taxpayer, upon recommendation of the revenue officer.

8.

Sales and purchases not covered by this RR shall be in compliance with the existing policies and procedures for the manual verification of sales and purchases.


The RR shall take effect immediately or on 1 July 2022 since it was published in Manila Times on this date.


Attached are the full texts of the issuances.


RR 2022-06

RR 2022-08

RR 2022-09



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