November 30, 2021

Online sellers have until Sept. 30 to register their businesses without penalty – BIR

Online sellers have until Sept. 30 to register their businesses without penalty — BIR

The Bureau of Internal Revenue (BIR) reminded online sellers of goods and services that they would have until Wednesday, September 30, to register their businesses without penalty.

(MANILA BULLETIN)

It advised the digital operators to declare their previous year’s transactions and pay the corresponding taxes to avoid fines as prescribed under Revenue Memorandum Circular No. 92-2020 issued by Revenue Commissioner Caesar Dulay.

The circular stated that penalties will be slapped against those who continue their operations without registration and misdeclaration of earnings to avoid paying the correct taxes.

The Tax Reform for Acceleration and Inclusion (TRAIN) Law exempts from income tax online traders whose annual sale is P250,000 and below.

It was not immediately known if the deadline will be extended.

The Sept. 30 deadline is actually the third extension since July to give online filers more time to register amid the  coronavirus disease (COVID-19) pandemic.

Many taxpayers were hesitant to go to the revenue district offices to transact business even as banks limited the number of branches open to minimize the spread of COVID-19.

It was Dulay’s predecessor Kim Jacinto Henares who launched the online registration program in 2016.

Dulay pursued it vigorously as part of the bigger project of capturing more taxpayers into  the tax net, thus increasing collection. 

The BIR has no accurate figure of online traders even as the business recorded unprecedented growth due to the COVID-19 quarantine and lockdown.

 

SIGN UP TO DAILY NEWSLETTER

CLICK HERE TO SIGN-UP

 

Source Article