The Bureau of Internal Revenue (BIR) in Davao City urged business taxpayers to prepare their documents for the tax mapping or the Tax Compliance Verification Drive (TCVD).

The TCVD is an enforcement activity of the Bureau where businesses are inspected for their compliance to BIR regulations. During the mapping, BIR personnel will manually check the records of each business establishment in the city and note violations.

“Kining Tax Compliance Verification Drive (TCVD) isa pud ni sa mga bantayan sa mga negosyante, kay kini siya isa ka aktibidad sa Bureau of Internal Revenue para maberipika nga nisunod o ni-comply sa mga basic na balaod sa registration, bookkeeping ug in-voicing requirements (Business must also watch out for the Tax Compliance Verification Drive (TCVD), because this is an activity of the Bureau of Internal Revenue to verify that they have followed or complied with the basic laws of registration, bookkeeping, and in-voicing requirements),” BIR RDO 132-East Internal Revenue Officer III Cherry Joy Mamac said.

Mamac, during the Tax Talks program of the Davao City Disaster Radio on Friday, said all businesses must comply with the following five requirements:

1) Taxpayer’s Certificate of Registration (BIR Form No. 2303) along with related updates thereto posted in a conspicuous place;

2) Notice to the Public/Ask for Receipt signage (valid until 30 June 2023) or the new Notice to Issue Receipt/Invoice (NIRI) signage posted in a conspicuous place;

3) Authority to print receipts and invoices, issuance of such receipts and invoices of every sale of services and goods, and contents of receipts and invoices under the rule on invoicing requirements;

4) Registration of cash register machines (CRM), point-of-sale (POS) machines, and computerized accounting system (CAS), or other similar devices (if any);

5) Registration of books of accounts or BIR approval of loose-leaf books of accounts.

Any non-compliance to the aforementioned may result in fines and penalties imposed by the Bureau.

Mamac said the most prevalent violation found during tax mapping is businesses’ failure to issue receipts and invoices for every sales transaction.

The payment of annual registration fee to the BIR, Mamac bared, is no longer a requirement in tax mapping as the collection of the fee will be ceased on January 22.

“Kadtong January 3, 2024, nagpagawas og advisory si Commissioner (Romeo) Lumagui na effective January 22, 2024 undangon na sa BIR ang pagpangolekta sa annual registration fee gikan sa mga business taxpayers (On January 3, 2024, Commissioner Lumagui issued an advisory that effective January 22, 2024, the BIR will stop collecting the annual registration fee from business taxpayers),” Mamac said.

“Tungod niini, dili na kinahanglan mag-file og BIR form 0605 ug magbayad og P500 ang mga business taxpayers na ang deadline kay January 31 kada tuig […] Ang pasabot niini, dili na required magbayad og annual registration fee tanan. So mga job order, small to big business taxpayers dili na magbayad (Because of this, business taxpayers no longer need to file a BIR form 0605 and pay P500 as the deadline is January 31 every year […] This means everyone is no longer required to pay annual registration fee. So job orders, small to big business taxpayers no longer have to pay),” she added. CIO