RMO No. 37-2022 — Provides the policies and guidelines for the issuance of International Carriers Special Certificate Digest | Full Text | Annex A | Annex B | Annex C | Attachment

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BUREAU OF INTERNAL REVENUE Republic of the Philippines Department of Finance RECORDS M SEP 15 2022 o2 O

September 05, 2022

REVENUE MEMORANDUM ORDER NO.37- 20 22

TO: SUBJECT : Amendments to Revenue Memorandum Order (RMO) No. 24-A-1974, and and guidelines for the issuance of International Carriers Special RMO No. 29-1994 as amended by RMO No. 43-2016 providing the policies All Internal Revenue Officers and Others Concerned Certificate.

I. OBJECTIVES.

This Order is being issued:

a) To streamline the registration and tax compliance of International Carrier in connection with its application for BIR International Carriers Special Certificate; b) To amend Revenue Memorandum Order (RMO) No. 24-A-1974, RMO No. 29--1994 and RMO No. 43-2016; c) To prescribe policies and guidelines in the online application of International Carriers Special Certificate and the electronic submission of required documents; d) To prescribe guidelines for the collection and payment of the taxes due; and e) To delegate the processing and release of International Carriers Special Certificate from No. 7A -- Quezon City. the Office of the Commissioner to the Office of the Regional Director -- Revenue Region

II.SCOPE AND COVERAGE

Certificate (hereinafter referred to as "ICSC applicants"). This Order covers International Carriers applying for International Carriers Special

HIL. POLICIES AND GUIDELINES

A. REGISTRATION

1. For new applicants - ICSC Applicants shall register and secure Taxpayer Identification Number (TiN) ontine through the Bureau's Online Registration and

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at www.bir.gov.ph under the "eServices icon". Update System (ORUS) at https://orus.bir.gov.ph or by visiting the Bureau's website

The ICSC Applicants shall upioad scanned copies of the original documents:

a) Any Apostille official documentation issued by an authorized government body (e.g. government agency (tax authority) thereof, or a municipality)

organized (e.g. Articles of Incorporation, Certificate of Tax Residency); office in the jurisdiction in which the non-individual was incorporated or that includes the name of the non-individual and the address of its principal

b) Apostille Board Resolution/Secretary's Certificate (or equivalent); and c) Any government-issued ID of the authorized representative and/or principal signatory. For applicants with existing TIN --International Carriers shall use their existing TIN when applying for the International Carriers Special Certificate. 2. In case of system downtime or system unavailability of ORUS, the ICSC applicant through electronic submission of application using the New Business Registration shall register with Revenue District Office (RDO) No. 39 -- South Quezon City (NewBizReg) Portal under the "eServices icon" or via email. The email address and subject shall be automatically displayed by the portal for ICSC applicant reference. 3. It shall be the responsibility of the Agent to register the ICSC applicant (principal) it cancellation of the muitiple TINs of the ICSC applicant. have an existing TIN. It shall be the responsibility of the Agent or new Agent to update the registration information of the ICSC applicant and apply for the represents and apply for the latter's TIN and ensure that the ICSC applicant does not

4. During registration, the designation of email address is mandatory, and such email addresses should be of the principal or ICSC applicant's official and permanent emait of the registered individual or non-individual taxpayers and niot the e-mail address of Bureau may be sent through the designated permanent email address. the authorized representative or Agent. Notices, letters, and other processes of the address. The designated permanent e-mail address shall be the official e-mail address

5. In case of change of Agent, the new Agent shall update its principal's registration information as its new Agent. The Agent shall also ensure that its principal does not have a multiple TiN.

B. TAX COMPLIANCE

Taxes to be paid: 1. The following taxes shall be paid by the ICSC Applicant:

a) INCOME TAX of two and one-half percent (2% %) of the Gross Philippine unless it is subject to a preferential rate or exemption on the basis of an applicable Billings imposed under Section 28(A)(3)(a) and (b) of the NIRC, as amended.

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tax treaty or international agreement to which the Philippines is a signatory or on the basis of reciprocity, copies of the tax treaties entered into by the Philippines are found in the BIR website under the topic "Double Tax Agreements"; and

b) PERCENTAGE TAX equivalent to three percent (3%) of the gross receipts pursuant to Section 118 of the NIRC, as amended.

The Gross Philippine Billings/Gross Receipts shall be computed using the exchange rate at the time of payment.

Time of Filing and BIR Forms to be used: I. The agent shall file the pertinent payment forms for the ICSC applicant using the TIN and name of such ICSC applicant. The agent should not use its own TIN in filing the payment forms of the ICSC applicant. It shall be the duty of agent to ensure the timely filing and payments of the principal. 2. Prior to the application for International Carriers Special Certificate, the Income Tax type, indicating in the Alphanumeric Tax Code (ATC) field the following and Percentage Tax shall be paid separately using BIR Form No. 0605' for each tax information:

For P30 DST For Certification Fee For Percentage Tax For Income Tax -ATC code is "DS010" -ATC code is "MC200 "ATC code is "IC080"(See ANNEX A) ATC code is "PT041 (See ANNEX B)

the form. The ICSC applicant shall indicate the transaction date as the return period date in

3. ICSC applicant may prepare and file the BIR Form No. 0605 through the offline eBIRForms package, which is downloadable from the following websites: www.bir.gov.ph or www.knowyourtaxes.ph/ebirforms

4. For every filing of payment form, the designated emait address should be of the ICSC of change of email address of the principal, the Agent shall update immediately the applicant official and permanent email address registered with the BIR's registration system and not the e-mail address of the authorized representative or Agent. In case permanent email address of the principal with the Bureau.

Payment Facilities and Validation of Payment: 1. Payment of the applicable taxes shall be paid using any of the following electronic payment2:

Required Attachments and Payment of Internal Revenue Taxes I These payments shall be treated as advance payments which can be credited to subsequent filing of tax 2 See Revenue Memorandum Circular No. 4-2021 -- Guidelines in the Filing of Tax Returns Including the returns as may be required by pertinent revenue issuances

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(a)Development Bank of the Philippines' (DBP) pay Tax online (for holders or Visa/Mastercard Credis Card and/or BancNet ATM/Debit Card); (b) Land Bank of the Philippines' (LBP) Link.BizPortal (for taxpayers who have ATM account'with LBP and/or holders of BancNet PESONet facility for depositors of RCBC, Robinsons Bank, Union Bank. BPI, PSBank, and Asia United Bank); ATM/Debit/prepaid card and for taxpayers utilizing PCHC PayGate or

(c)Union Bank of the Philippines' Online/The Portal Payment Facilities (fot taxpayer who has an account with UBP) and UPAY via InstaPay (for individual Non-UnionBank Accountholders) (d)Tax software Provider/Taxpayer Agent (GCash/PayMaya/MyEG) 2. ICSC applicant which shall avail of the electronic payment (ePay) may access the www.bir.gov.ph by clicking the "ePay" icon. abovementioned ePayment Channels of Authorized Agents Banks (AABs) by directly accessing the AABs' payment portal or through the BIR's website at

3. ICSC applicants/holders of BancNet ATM Card should register their account with BancNet in order to avail the bank's online payment facility. Taxpayer who has an account with the following BancNet participating banks can use their ATM Card in paying taxes online with LBP's Link.BizPortal and DBP's Pay Tax Online:

a)Asia United Bank D MASS SPECC b) BPI Direct BanKo c} CTBC Bank k Phil. Postal Savings Bank Philippine Band of Communications

d) Citystate Savings Bank e)Development Bank of Philippines f) Enterprise Bank m) Philtrust Bank 1) n Philippine Veterans Bank Sterling Bank of Asia g) Entrepreneur Bank h) Equicom Savings Bank p) Tiaong Bank o) Sun Savings Bank

4.ICSC applicant shall bear any convenience fee that may be charged by banks and/or mobile companies for using their online payment facilities.

5. Upon successful payment, a confirmation of payment will be sent through the email

of the ICSC applicant with corresponding transaction number from the payment channel, to be declared during the online application or in BIR Form No. 1948

C. APPLICATION FOR BIR INTERNATIONAL CARRIERS SPECIAL CERTIFICATE (ICSC)

I. The International Carrier Special-Certificate shall only be issued upon payment of Billings) unless the preferential rate is used pursuant to Sections ll8(B), and 3% common carrier's tax (Percentage Tax) and 2.5% income tax (Gross Philippine 28(A)(3)(b) respectively, of the 1997 Tax Code, as amended.

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2. The Regional Director -- Revenue Region No. 7A -- Quezon City shall, upon issue the International Carriers Special Certificate. application (ANNEX C) and evaluation of documentary requirements (ANNEX D).

3. The following are the documentary requirements to be submitted before the issuance of the International Carriers Special Certificate:

(f) Proof of payment of P100 certification fee and proof of payment of P30 (a) Online application for BIR International Carrier Special Certificate or (b) Copy of the Vessel/Ship Registration; (c) Copy of the charter contract (in case this is unavailable, please include (e) BIR Form 0605 of the 2.5% or 1.5% income tax, as the case may be, and (d) Fixture note with signatory of owner and charterer: toose Documentary Stamp Tax or purchase two (2) loose documentary stamps per application. duly filled-up BIR Form No. 1948 (ANNEX C); 3% common carrier's tax, together with payment details/receipt duly received and validated by the BIR Authorized Agent Bank (AAB); in case of ePayment, scanned copy of confirmation email and payment the reasons for its unavailability); transaction number.

4.The P100 certification fee and P30 loose DST shall be filed electronically using BIR Channels separately. Form No. 0605 through eBIRForms Package and pay online through BIR ePayment

5.For the ePayment of loose DST, constructive affixing of DST on the Certificate shall be done by the concerned office by stamping "DST Paid Online" including the Payment Transaction Number and Date of Payment, at the lower portion of the Certificate.

6.Online icon and by clicking the "eiCSC" icon. An application reference number shall be made throughthe BIRwebsiteat https://www.bir.gov.ph under "eServices" received upon successful submission. applicationfor International Carrier Special Certificateshallbe

I The documentary requirements shall be electronically filed thru the BIR ICSC Centralized email address: [ REF,NO I" as etnail subject line format. ic:sc_1948@bir.gov.ph with "Application for ICSC

8. All the required documentary requirements shall be prepared and scanned in Portable exceed 10MB file size. Document Format (PDF) copy and compressed into one (1) .zip file which shall not

Office of the Regional Director

2. The Regional Director shall sign the above certificates to be submitted by the The issuance of International Carrier Special Certificates is hereby delegated to the Office of the Regional Director -- Revenue Region No. 7A -- Quezon City. International Carriers to the Bureau of Customs.

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3. If circumstances require like non viewing of payments within the given processing time, immediate post-payment verification shall be done by the Office of the discrepancies or issues on payment or submitted proof of payments and/or Regional Director and shall contact the Agent of the ICSC applicant in case of documents.

4. The Office of the Regional Director or its delegated office or division shall compile. representatives; and exercise such other functions as necessary to ensure the efficient and effective collection of Income Tax, Percentage Tax and other applicable taxes. collate, and update a record of all international carriers, their agents or

5. The Office of the Regional Director shall submit a quarterly and annual reports for respectively, on the list of issued certificates to International Carriers and collections Office of the Deputy Commissioner Legal Group. the period, every l0t day of the month following the quarter and January 10 from the payment of taxes of Interriational Carriers. Reports shall be submitted to the

IV. REPEALING CLAUSE

All revenue issuances inconsistent herewith are hereby repealed or modified.

V.EFFECTIVITY

This Order shall take effect immediateiy.

Li e.

Commissioner of Internal Revenue LILIA CATRIS GUILLERMO 0 0 136 0

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