Entrepreneurs Reminded to Comply with Receipt and Invoice Requirements

The Bureau of Internal Revenue (BIR) reminded business owners in a statement to display the “Notice to Issue Receipt/Invoice (NIRI)” in their establishments, which replaced the “Ask for Receipt” Notice (ARN) on July 1, 2023.

This comes as the BIR-issued Revenue Memorandum Order (RMO) No. 43-2022, which states that the use of the “Ask for Receipt” Notice will be valid only until June 30, 2023.

From July 1 onwards, all sellers, including online sellers, engaged in the sale of goods or provision of services are required to display the NIRI prominently in their establishments, websites, or social media accounts.

Issuance of the NIRI has already begun on a staggered basis by the Revenue District Offices (RDOs)/Large Taxpayers (LT) Division to their registered business taxpayers since October 2022.

BIR Commissioner Romeo D. Lumagui emphasized that the display of the NIRI serves as a reminder to all sellers to automatically issue a receipt or invoice for each sale of goods or services, without waiting for the buyer to request it.

“With the display of the NIRI in business establishments, all sellers are reminded of their obligation to automatically issue receipt/invoice for each service rendered/sale of goods without waiting for the buyer to ask for it,” Lumagui said.

According to Revenue Regulations (RR) No. 10-2019, the BIR Notice to the Public must be clearly visible within the seller’s place of business, including all branches and mobile stores, for the public to see.

Registered business taxpayers who need to replace their old “Ask for Receipt” Notice must update their registration information before obtaining the NIRI. They must provide a designated official company email address, which the BIR will use for serving orders, notices, letters, and communications to taxpayers.

Commissioner Lumagui emphasized that all sellers must comply with the requirement to issue receipts or invoices for every sale of goods or services, as mandated by existing laws, or else face penalties or other legal consequences.

“All sellers, whether operating online or offline, must adhere to the requirement of issuance of receipts/invoices for every sale of service/goods, as mandated by our existing laws. Failure to comply with the said requirement will result in the imposition of penalties or other legal consequences provided under the Tax Code, as amended,” Lumagui added. (GFB)