Using stamped non-VAT invoices/receipts by previously registered VAT taxpayers

Avalue-added tax (VAT)-registered taxpayer who opted to register as non-VAT as a result of the implementation of the Tax Reform for Acceleration and Inclusion (TRAIN) Law is required to:

-Submit an inventory list of unused invoices and/or receipts as of the date of filing the application for update of registration from VAT to non-VAT, indicating the number of booklets and its corresponding serial numbers; and

-Surrender the invoices and/or receipts for cancellation.

Through Revenue Regulations No. 19-2018, the Bureau of Internal Revenue (BIR) further clarified that, upon surrendering unused VAT invoices/receipts to the BIR, the taxpayer must seek approval from the BIR to continue using a number of the remaining VAT invoices/receipts. Should the BIR approve the continued usage of VAT invoices/receipts while waiting for the newly registered nonVAT invoices/receipts, each VAT invoice/receipt must be prominently stamped with the phrase “Non-VAT registered as of (date of filing an application for registration update). Not valid for claim of input tax.”

The taxpayers concerned are allowed to use nonVAT receipts/invoices until they receive the new VAT receipts/invoices or until Aug. 31, whichever comes first.

Within the day of receiving the newly-printed registered non-VAT invoices/receipts, the taxpayer must submit a new inventory list of all unused previously-stamped invoices/receipts , and surrender the said invoice/receipts for cancellation.

Please be guided accordingly.