Friday, November 11, 2011

Registering Your Business with BIR

After Registration with the BIR ask for an orientation
to familiarize yourself on filing taxes.

For single proprietorship, the documents you will need before you go to a BIR District Office would be your DTI permit and business permit from the local municipality where your business is located.

Once you have this you can go the BIR District office who has jurisdiction over your place of business.  
If you do not know where this is, you can call the BIR Contact Center 981-8888. Just tell them that you wish to know which BIR office you should go to register you business and where it is located.
Once you get to that office, go directly to their information desk for assistance.  The BIR Form you will be needing is BIR Form No. 1901
For Partnership & Corporations or Associations/Institutions or Cooperatives,  the document you will need is SEC registration and business permit from the local municipality where you business is located.
If you have this already same procedure as with the single proprietorship but the BIR Form you will be using is 1903.
Also you will need the BIR Payment Form 0605.  Pay the Annual Registration Fee of 500 pesos using this form, usually paid to the Accredited Agent Bank (AAB) of the BIR District office.
Once you have done this do ask the person facilitating your application when you can get your Certificate of  Registration (COR) or BIR Form 2303.  It would be wise to get the name and contact number of that person.
Lastly, do ask revenue officer who evaluated the business you are opening the particular taxes you are liable to pay.  Get the deadlines and BIR Forms you will be needing to file and pay your taxes.  You might want to ask if your business is not yet operating and needs a bit more time to fully operate, are you still going to file?
The answer to that is yes.  Just ask how you will be able to file without the hassle of being penalized for non-filing.  The BIR needs to be informed.  Once your business is registered it is considered fully operational.  The BIR expects that  you will file and pay the taxes indicated in your COR.

The BIR Form 1906 is the application form to request for AUTHORITY TO PRINT RECEIPTs. Once you get your COR you can now apply for this. If in case you have already initial transactions which require an OR. You can get from your RDO generic receipts which is probably around 50 pesos per booklet.

So again in cases where you are not yet operating the business and you are already registered you will still need to file. For more information regarding this you can ask the Revenue Officer who evaluated your business. Or you can get information from the BIR Contact Center 981-8888 or email at contact_us@cctr.bir.gov.ph.
For added information on BIRs Primary Registration click that link. And print a copy.

5 comments:

  1. We have a small corporation in the US and we are planning to open a branch office in the Philippines. Their job would be to manage our website. Basically 100% of their services will be rendered to the parent company. NO sales in the Philippines. Is the branch corporation taxable to BIR? Thanks.

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  3. Hi Jon,

    You branch office will be registered to the SEC as a Domestic Corporation and national & local taxes applicable to it applies.

    For additional ifnormation on ourinternal revenue taxes and the RP-US Tax Treaty call the International Tax Affairs Division:

    http://www.bir.gov.ph/directory/directory.htm#21541

    Tax Code on Domestic Corporation:

    http://www.bir.gov.ph/taxcode/1593.htm

    Hope this information helps you out.

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  4. Hi Jon. Let me shar views. You may simply secure a License to do Business with the Securities and Exchange Commission without registering a new domesti corporation. Yes, the branch is subject to 0%VAT on sales abroad, income tax, branch profit remittance tax, and other applicable taxes.

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  5. Thank you for the info. It sounds pretty user friendly. I guess I’ll pick one up for fun. thank u









    Procedure to register a branch office

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