• Home
  • Family
    • Pregnancy
    • Breastfeeding
    • Baby
    • Toddler
    • Preschooler
    • Big Kid
    • Teen World
    • Pets
    • Education & Learning
      • Toys
  • Finance
    • Success & Fulfillment
    • Money Mondays
    • Law and Taxation
    • Doing Business in the Philippines
  • Health
    • Beauty & Style
    • Healthy Food
    • Fabulous Fridays
  • Life
    • Love & Relationships
    • Mind & Spirit
    • Beautiful Home
    • My Hometown-Baguio City
    • Travels
  • Privacy Policy
    • Privacy Policy
    • Contact Me!
    • About Me
    • Advertise
    • Facebook
    • Google+
    • Instagram
    • Pinterest
    • Twitter

Mommy Unwired

FREE!HAPPY KIDS FOR LIFE eBOOK!

Give your child confidence & a strong sense of self-esteem!Here is your Special HAPPY KIDS FOR LIFE eBook!

Home » Law and Taxation » Frequently Asked Questions on: How to Register with the BIR

Frequently Asked Questions on: How to Register with the BIR

in Law and Taxation, Uncategorized on 03/09/15

Click To Download This Post As PDF
Share
Tweet
Pin

I just want to let you know that all opinions are my own and I may earn from qualifying purchases. Regardless, I only recommend products or services I use personally and believe will be good for my readers. Enjoy and feel free to share with your friends!

If you are residing in the Philippines and are an individual starting your own company, an employee or a representative of a corporation, the following are frequently asked questions on how to register your company with the Bureau of Internal Revenue (BIR).

Who are required to register with the BIR?


Every person subject to any internal revenue tax shall register once with the appropriate Revenue District Officer (to find out which Revenue District Office you should register with, go here):
ID-100236922

  1. Within ten (10) days from the date of employment, or
  2. On or before the commencement of business, or
  3. Before payment of any tax due, or
  4. Upon filing of a return, statement or declaration as required in the National Internal Revenue Code.
  5. Death of individual;
  6. Full settlement of the tax liabilities of the estate;
  7. Discovery of a taxpayer having multiple TINs; and
  8. Dissolution, merger or consolidation of juridical person.

Related: How To File Your Income Tax Return in the Philippines

Are non-resident aliens and non-resident foreign corporations receiving income from sources within the Philippines required to register with the BIR?

Yes, Non-Resident Aliens Not Engaged in Trade or Business (NRANETB) or Non-Resident Foreign Corporations (NRFC) shall be issued TINs for purposes of withholding taxes on their income from sources within the Philippines. The withholding agent shall apply for the TIN in behalf of the NRANETB or NRFC prior to or at the time of the filing of their monthly withholding tax return as applicant under EO 98. 

Related: How to apply for TIN (Employees)

 

If the taxpayer is engaged in VATable activity, but the gross sales or receipts from business or practice of profession is P 1,919,500.00 or below, is he required to register?

Yes, he is required to register as a Non-VAT taxpayer. However, if his gross sales or receipts is more than P 100,000.00 but does not exceed P 1,919,500.00, he has the option to register as VAT taxpayer. In the case of marginal income earners with gross sales or receipts of P 100,000 and below, they have no other option but to register as non-VAT taxpayer.

 

Are taxpayers required to register their business annually?

No, taxpayers are required to register only once before commencing their business. However, they are required to pay the registration fee of P 500.00 annually.

 

When is the taxpayer required to apply for registration and pay the registration fee?

New taxpayers shall apply for registration and pay the registration fee before commencing their business. Thereafter, taxpayers should pay the annual registration fee not later than January 31 every year.

 

Where should a taxpayer register?

All taxpayers are required to register with the RDO having jurisdiction over the head office, branch office, place of production or storage place where inventory of goods for sale or use in business are kept.

 

Are branches, storage places and places of production also required to pay the Annual Registration Fee (ARF) of P 500.00?

Each branch is required to pay the ARF of P 500.00. However, storage and production places are liable to the ARF only when sales operations are conducted thereat.

 

Who are required to register without paying the ARF?

a) Cooperatives duly registered with the CDA;
b) Individual residents earning purely compensation income
c) OCWs/OFWs;
d) Marginal Income Earners;
e) GAIs (Government Agencies and/or Instrumentalities), in the discharge of their governmental functions;
f) LGUs (Local Government Units), in the discharge of their governmental functions;
g) Tax exempt corporations such as those enumerated under Section 30 of the Code, as amended, in pursuance of tax-exempt activities;
h) Non-stock/non-profit organizations not engaged in business;
i) Persons subject to tax under one-time transactions;
j) Persons registered under EO 98, series of 1998; and
k) Facility/ies where no sales transactions occur.

 

Are taxpayers transferring business address within the year either within the same district or to another district required to pay another registration fee of P 500.00?

No, since the ARF is payable annually, they are no longer required to pay the registration fee to the new district office, provided the P 500.00 was already paid.

 

After complying with all the requirements for registration, what document will be issued to the taxpayer as proof of registration?

Certificate of Registration (BIR Form 2303) for newly registered taxpayer and validated Payment Form (BIR Form 0605) for every renewal.
However, Employees, ONETT taxpayers, and/or persons who have secured a TIN under EO 98, series of 1998 with the BIR shall not be issued a COR.

 

When will the Certificate of Registration (COR) be issued to the taxpayer?

The COR (BIR Form 2303) shall be issued within the period/time prescribed under the existing “BIR Citizens Charter” together with the approved Authority to Print and Registered books of accounts.

 

Who will issue the COR?

The RDO having jurisdiction of the head office or branch shall issue the COR.

 

How many COR (BIR Form 2303) shall be issued by the Revenue District Office?

For every Application for Registration, there shall be a corresponding COR to be issued to the head office and each branch being registered.

 

What will the taxpayer do with the COR and the Proof of Payment of ARF?

The original copy of COR and the duly validated BIR Form 0605 as proof of payment of ARF are required to be displayed in any conspicuous place in the head office and branch office.

 

What are the instances when a taxpayer can apply for cancellation of his registration?

The TIN/Registration cancellation shall take place upon:
All taxpayers who filed for cancellation of registration due to closure/cessation or termination of business, except for branches, shall be subjected to immediate investigation by the BIR office concerned to determine the taxpayer’s tax liabilities.

 

Is there a particular form prescribed for Application for Cancellation of Registration?

Yes, BIR Form 1905 (Application for Registration Information Update).

 

Where shall the Application for Registration Information Update be filed?

It shall be filed with the RDO who issued the COR. For VAT taxpayer, he shall further notify the RDO where the Home Office is registered.

 

If a taxpayer is in doubt of his status as VAT taxpayer, what is he supposed to do?

Go to the RDO who has jurisdiction over his place of business and seek assistance.mufavicon
Source: bir.gov.ph

Related

Click To Download This Post As PDF
« Spotted: ABS-CBN TVplus“AngMahiwagang Black Box” is now available at Lazada.com.ph!
Gear up your champ with the MILO Champ Towel »

Recent Posts

  • Cancers You Should Know About and How to Protect Yourself
  • Voluntary Assessment and Payment Program (VAPP) of the BIR
  • NOVUHAIR Celebrates 10.10
  • Review: FlexClip Video Maker
  • NOVUHAIR Petite Conversations with Cory Quirino

Popular Posts

  • Trying To Conceive?Try These Healthy Smoothie Recipes For Fertility!
  • Penalties for Late Filing and Payment of Your Income Tax Return in the Philippines
  • BIR responds to complaints on new Official Receipts Regulations
  • {How To File Your BIR Form 1701 Income Tax Return} For Self-Employed Individuals -
  • New Tax Filing & Payment Deadlines in the Philippines

© 2021 MOMMYUNWIRED.COM

This Site is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon. Certain content that appears on this site comes from Amazon Service LLC. This content is provided 'as is' and is subject to change or removal at any time.