Manila:The Bureau of Internal Revenue (BIR) has released new guidelines to simplify electronic invoicing for taxpayers and aid the digitalization of tax administration.
According to Philippines News Agency, the Revenue Memorandum Circular issued on September 22 applies to small, medium, and large taxpayers involved in e-commerce or internet transactions, those under the Large Taxpayers Service, large taxpayers within the Ease of Paying Taxes framework, and taxpayers utilizing computerized accounting systems and invoicing software. Micro taxpayers are exempt from this requirement.
Taxpayers subject to these rules must issue electronic invoices by December 31, 2026. They can choose between in-house or commercially available electronic invoicing solutions or enlist an electronic invoicing service provider. The BIR plans to issue further guidelines for service providers later this month.
BIR Commissioner Charlito Mendoza stated that the implementation of these rules aims to facilitate electronic invoicing for taxpayers and strengthen the digital tax administration framework. He clarified that electronic sales reporting will be addressed separately after the BIR releases specific policies.
These guidelines are effective immediately and follow a public consultation held on August 25 at the BIR National Office, where the bureau engaged with private-sector stakeholders to discuss the proposed rules and gather feedback.
