BIR Removes 5-year Validity period on Receipts/Invoices

Last Updated on September 22, 2022 by Marie Bautista

Effective July 16, 2022, official receipts and invoices have no more validity period and therefore may still be issued until fully exhausted.

Through the recently issued Revenue Regulations (RR) No. 6-2022, the Bureau of Internal Revenue (BIR) has removed the five-year validity period on all printed and system-generated receipts/invoices.

This is in line with Republic Act (RA) No. 11032 also known as “Ease of Doing Business and Efficient Government Service Delivery Act of 2018” and as part of the Bureau’s continuous efforts in revisiting its policies and business processes to improve, streamline and reduce financial burden on the part of taxpayers.

Based on the regulations, the previously required phrases “This invoice/receipt shall be valid for five (5) years from the date of the Permit to Use” and “Valid Until” at the bottom portion of the system-generated receipts/invoices shall be omitted.

Authority to Print (ATP) principal and supplementary receipts/invoices inclusive of its serial numbers and its usage shall also have no expiration, thus the same aforementioned phrases stating the validity date on the manual receipts/invoices previously required shall also be omitted.

As cited in the transitory provisions of the said regulations, the validity date and abovementioned phrase printed on the unused manual principal and supplementary receipts/invoices shall be disregarded and the same may still be issued until fully exhausted.

Similarly, all system-generated receipts/invoices that were issued with the same phrases based on the previously approved Cash Register Machines (CRM) and Point-of-Sale (POS) machines and system/software with corresponding PTU/AC shall be disregarded. However, the said CRM/POS machines and system/software generating such receipts/invoices must be reconfigured to omit the said phrases.

For more information, see the full text of Revenue Regulations No. 6-2022 at
www.bir.gov.ph.

FAQ

Below is Revenue Memorandum Circular 123-2022 to address and provide uniform answers to the numerous issues and concerns of both internal and external stakeholders relative to the recently issued Revenue Regulations (RR) No. 6-2022 regarding the removal of the five (5) – year validity period on receipts/invoices.

What is the effectivity of RR No. 6-2022?

The effective date shall be on July 16, 2022, which is fifteen (15) days from the date of publication which
was July 1, 2022.

Who are covered by RR No. 6-2022?

All taxpayers who are/will be using Principal and Supplementary Receipts/Invoices shall be covered by
the aforesaid Regulations or taxpayers with/who will apply for any of the following:

1. Authority to Print (ATP);
2. Registration of Computerized Accounting System (CAS)/computerized Books of Accounts (CBA and / or its Components; and
3. Permit to Use (PTU) Cash Register Machines (CRM) / Point-of-Sale (POS) Machines and Other Sales Receipting Software.

Can we use the expired but unused receipts/invoices with a validity date of on or before July 15, 2022 after the effectivity of the said Regulations?

No. All receipts/invoices which have expired on or before July 15, 2022 are no longer valid for us. In this regard, the Validity Period of receipts/invoices shall be based on the date of issuance of the ATP, as provided below:

Please see sample scenarios below:

• If the date of ATP is on July 13, 2017 with “Valid Until” July 12, 2022, as reflected in the
  receipts/invoices, the taxpayer can no longer issue the unused invoices/receipts effective July
  13, 2022. They have ten (10) days to surrender to the Revenue District Office (RDO) where the
  Head Office or Branch is registered the unused receipts/invoices for destruction since they are
  no longer valid.
• If the date of ATP is on July 13, 2010 with “Valid Until” July 12, 2015, as reflected in the
  receipts/invoices, and the taxpayer did not surrender the unused receipts/invoices, the taxpayer
  cannot issue them since they are no longer valid.
• If the date of ATP is on July 18, 2017 with “Valid Until” July 17, 2022, as reflected in the
  receipts/invoices, the taxpayer may still issue the unused receipts/invoices by July 17, 2022 until
  they are fully exhausted.
  

What should the taxpayer do with the unused/expired receipts/invoices dated on or before July 15, 2022?

Pursuant to the provisions of RMO No. 12-2013, all unused and expired receipts/invoices shall be surrendered together with an inventory listing to the RDO where the Head Office or Branch is registered on or before the 10^th day after the validity period of the expired receipts/invoices for the destruction of such receipts/invoices.

Can the taxpayer still use the receipts/invoices with existing ATP expiring on or after July 16, 2022?

Yes.  Taxpayers with receipts/invoices with existing ATP expiring on or after July 16, 2022 may still issue such receipts/invoices until fully exhausted.  The phrase, “THIS INVOICE / RECEIPT SHALL BE VALID FOR FIVE (5) YEARS FROM THE DATE OF THE ATP” and the “Validity Period” reflected at the footer of the printed receipts/invoices shall be disregarded.

Is there a penalty if the taxpayer with ATP expiring on or before July 15, 2022 failed to apply for subsequent ATP not later than the sixty (60) – day mandatory period prior to expiration?

Taxpayers shall not be liable to pay penalty for late application of ATP.

What are the consequences if taxpayer used/will use the receipts/invoices that expired prior to July 15, 2022?

Taxpayer who used unregistered receipts or invoices shall be subject to penalty amounting to P20,000 for the first offense and P50,000 for the second offense.

How does RR No. 6-2022 affect the accreditation of CRM/POS and other Sales Receipting Software?

All applications for accreditation of CRM/POS and other Sales Receipting Software shall no longer require the phrases “THIS INVOICE/RECEIPT SHALL BE VALID FOR FIVE (5) YEARS FROM THE DATE OF THE PERMIT TO USE”  AND THE “Valid Until (mm/dd/yyyy)” of PTU to be reflected on the footer of generated receipts / invoices during the evaluation.

How does RR No. 6-2022 affect the registration of CAS and/or its Components?

The phrase “THIS INVOICE/RECEIPT SHALL BE VALID FOR FIVE (5) YEARS FROM THE DATE OF THE ACKNOWLEDGMENT CERTIFICATE” as previously required in RMO NO. 9-2021 shall no longer be required to be reflected on the generated receipts/invoices.

How should the taxpayer-user with registered PTU CRM/POS Machines/CAS comply with the provisions of RR No. 6-2022

Taxpayer-users shall be required to reconfigure their CRM/POS Machines/CAS to remove the phrases “THIS INVOICE/RECEIPT SHALL BE VALID FOR FIVE (5) YEARS FROM THE DATE OF THE PERMIT TO USE” / “THIS INVOICE/RECEIPT SHALL BE VALID FOR FIVE (5) YEARS FROM THE DATE OF THE ACKNOWLEDGMENT CERTIFICATE” and “Valid Until (mm/dd/yyyy)”. However, it should be noted that a written notification shall no longer be required to be submitted to the concerned RDO although such modifications are considered as minor enhancements due to the fact that such modifications were mandated upon the effectivity of RR No. 6-2022.

Is there a period required within which the taxpayer-user shall remove the phrase and validity period by reconfiguration of the CRM/POS and/or CAS and other machines generating receipts/invoices?

Yes. The CRM/POS and/or CAS and other machines generating receipts/invoices shall have to be reconfigured until December 31, 2022 to comply with the provisions under RR No. 6-2022.

Sources: Revenue Regulations 6-2022 and RMC 123-2022.

Marie Bautista

Hi, I’m Marie! I am a Certified Public Accountant by profession with an MBA Degree. A Tax Maven. I have worked with the country’s premier tax collecting agency for years. If you have any tax-related Qs, shoot away and I will answer you in a jiff!)