BIR simplifies business registration procedures

In line with Revenue Memorandum Order No. 6-2018 enhancing the frontline services of the Bureau of Internal Revenue (BIR) by streamlining tax-related transactions, the BIR recently issued Revenue Memorandum Circular (RMC) No. 19-2018 to circularize the simplified business registration procedures and guidelines.

The RMC mandates the implementation of a single window policy on registering new businesses to simplify the processing of the certificate of registration (COR) and the authority to print (ATP). New business registrant counters (NBRCs) will be designated in the frontline service area of the revenue district offices (RDOs) to exclusively cater to new business registrants. New business registrants do not need to go to authorized agent banks (AABs) to pay the business registration fees (RFs) and other fees, since NBRCs may now accept these payments.

The following are the detailed procedures for business registration with the BIR:

1. Prepare all the requirements in the checklist of documentary requirements (CDR) or Annex A1-A3 of RMC No. 19-2018.

2. Secure a queuing number for the NBRC or special lane.

3. Submit the signed CDR, duplicates of duly accomplished BIR Forms No. 1901/1903 and 0605 for RF payment, and the complete documentary requirements.

4. If the applicant has an existing Tax Identification Number (TIN) and is not registered with the concerned RDO, apply for a transfer of registration by accomplishing BIR Form 1905.

5. Once called for payment, pay the RF and other registration fees to the NBRC (registrants with existing TINs may pay the registration fee in advance through AABs, ePayment channels of AABs, and mobile payment through GCash).

6. Upon approval, claim the COR, ATP, and ask for receipt notice from the NBRC together with the e-receipt as proof of payment of the RF and/ or other tax liabilities or penalties.

7. Fill out the log sheet, indicating the date of receipt of the COR and ATP.

8. Accomplish the Standard Taxpayer Feedback System, and drop at the designated drop box.

9. Attend the scheduled taxpayers’ initial briefing to be conducted by the concerned RDO for new business registrants in order to know their rights, duties/responsibilities, and tax compliance.

The application for registration of business must be filed with the RDO having jurisdiction over the taxpayer’s place of business or residence. The registration should be completed on or before the commencement of business, before payment of any tax due, or before or upon filing of any applicable tax return, statement, or declaration. New business registrants may proceed to registering their books of accounts after securing their COR and ATP within 30 calendar days from the date of business registration with the BIR.

All new business registrants must also submit a final and clear sample layout of the principal receipt/invoices upon submission of application for registration. Sample layouts are available in the RDOs and Annex C1- C3 of RMC No. 19-2018. The chosen sample will be considered final and cannot be altered. Taxpayers may use or change their own desired format and layout of principal receipts/invoices for the subsequent ATP application.

RMC No. 19-2018 takes effect immediately, and revokes all other issuances that are inconsistent with its provisions.

For further information, please refer to the full text and annexes of the issuance.