RMO No. 24-2023 — Prescribes the revised policies and procedures relative to the accreditation of Cash Register Machines (CRMs), Point-of-Sale (POS) and Other Similar Sales Machines/Software Generating Invoices/Receipts Including Electronic Invoicing or Electronic Receipting System/Software used under a Subscription-Based Agreement Digest | Full Text | Annex A | Annex B | Annex C | Annex D-1 | Ann

REPUBLIC OF THE PHLIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE National Office Building Quezon City JUN 2 6' 2C23

REVENUE MEMORANDUM ORDER NO. 24 -3O2E

SUBJECT : Prescribing the Revised Policies and Procedures Relative to the Accreditation of Cash Register Machines (CRMs), Point-of-Sale (POS) and Invoices/Receipts Including.Electronic Invoicing or Electronic Receipting System/Soffware*Used under a Subscription-Based Other Similar SalesMachines/Software Generating

Agreement

TO : Assistant Commissioner - Large Taxpayers Service, All Regional Directors, Revenue District Officers, Revenue Officers, and Others Concerned

OBJECTIVES

Level) with the requirements of RMC No. 68-2015, and to amend a portion of Revenue Memorandum Order (RMO) No. 10-2005, this Order is hereby issued to: No. 49-2019 (Decentralization on the Accreditation of Cash Register Machines (CRMs)) Point-of-Sale (POS), Sales Receipting Software, and Other Sales Machines Generating Invoices/Receipts at the National Office, Revenue Regions and Revenue District Offices In order to align the provisions of Revenue Memorandum Circular (RMC)

T Provide the updated policies and procedures relative to the Accreditation of Cash

Machines/Software"); used under a Subscription-Based Agreement (hereby collectively known as "Sales Register Machines (CRMs), Point-of-Sale (POS), Sales Receipting Software, and Invoicing (e-Invoicing) or Electronic Receipting (e-Receipting) System/Software Other Sales Machines Generating Invoices/Receipts, including Electronic

2 Reiterate the decentralization of the accreditation process and granting to the Large Board (NAB) acting as a policy-making body: the authority to approve/deny such accreditation, with the National Accreditation Taxpayers Accreditation Board (LTAB) and Regional Accreditation Board (RAB)

3 Provide a standard format for system-generated invoices/receipts, X-Reading, Z-Reading, Backend Reports, and other reports, including the generation of Audit Journal or Electronic Journal (e-Journal) to be generated from -Sales Machines/Soffware'; and

4 Streamline the documentary requirements and set the standard time for the

comply with the "Ease of Doing Business and Efficient Government Service Delivery Act of 2018" (Republic Act [RA] No. 11032) processing of Applications for Accreditation of "Sales Machines/Software" to

BUREAU OF INTERNAL REVENUE INTERNAL COMMUNICATIONS DIVISION Lasys 1 BUREAU OF INTERNAL REVENUE FaNTr

JUN 26 2023 105AM "JUN 2'6 "2t23( UEUjLI y U RECOrdS MGt. diViSION UC

H DEFINITION OF TERMS

1 are compliant with the BIR's invoicing/receipting requirements. Accreditation -- a process of'evaluating whether or not "Sales Machines/Software"

2 be refiected on the Certificate of Accreditation. Accreditation Number (AN) -- a unique system control number generated thru the Enhanced Electronic Accreditation and Registration (eAccReg) System that shall

3 Application Service Provider (ASP) - provides applications and related services

known as Software-as-a-Service (SaaS). over the Internet. Business establishments rent/lease/subscribe to ASP software for a fee. The software is accessed remotely through a web browser and not installed on a company's local drive. A multi-tenant version of this model is commonly

4 Audit Journal --refers to the duplicate copy of the tape invoices/receipts generated from the CRM.

5. Backend Reports -- reports to be generated from the "Sales Machines/Software"

taxpayer/developer of the "Sales Machines/Software" (such as but not limited to Detailed Sales Report, Senior Citizen Sales Book/Report, Persons with Disability Parent Sales Book/Report Void Report, Sales Return and/or Refund Reports, etc.). BIR Sales Summary Report, Daily Cash Report, Terminal Accountability Report. Sales Book/ Report, National Athietes and Coaches Sales Book/Report, Solo or its main/central server. This may be named differently depending upon the

6 Cash Register Machine (CRM) -- a type of business machine that has a memory or its equivalent that can generate two (2) tape invoices/receipts -- one tape for audit and tax purposes and the other tape to be given to the customer. The tape shows and can record the sale/transfer of merchandise or services rendered. It generates has a drawer for storing cash and other valuables and equipped with two (2) rollers invoice/receipt issued. tape invoice/receipt which is issued in lieu of manual invoices/receipts. It usually sequentially numbered invoices/receipts and details of transaction per

T transmitting sales data to the BIR. EIS Unique ID -- a unique series that would serve as reference number in

Electronic Journal (e-Journal) -- similar to the Audit Journal of CRM, which that shall be saved on a daily basis in a single "txt" file format or as standard text document. The e-Journal is not the same as the Electronic Sales (eSales) Report or shall be generated using the POS software to reflect the copy of all principal. supplementary invoices/receipts, and adjustment documents (such as but not Journal must reflect similar information as presented on the original invoices/receipts issued to .client/customer/buyer and adjustments/reports printed Electronic Sales Journal/Book being required by the BIR based on existing revenue issuances. limited to return, void, cancellation, and refund), "X-Reading" (or Cashier's Accountability Report/End-of-Shift Report) and "Z-Reading (or End-of- Day/EOD Report) that.are dispensed by such "Sales Machines/Software". Such e-

2 BUREAU OF INTERNAL REVENUE NnmYi JUN 2 6 "ZtZ3 f 11:05 4.M

RECORDS MGt. DIViSION

0 Machine Identification Number (MIN) -- a unique number issued to CRM/POS

the CRM/POS that will report its sales in the EIectronic Sales (eSales) Reporting upon registration in the Enhanced eAccReg System. It is an identification (ID) of System.

10 Point-of-Sale (POS) System -- a type of sales receipting system that is considered

more complex than a Cash Register Machine, which may have the capability to record and track customer orders, process debit and credit card accounts, link to other systems in the establishment's network, and manage inventory. Similarly. this system can record the sale/transfer of merchandise or services rendered with system-generated invoices/receipts. The POS may be categorized as follows:

a tied-up with a specific machine brand and cannot be sold/used separately by Burdled POS Hardware and Software -- type of POS software which is the supplier/vendor/developer/manufacturer/ pseudo-supplier.

b Pos Software -- .any software that has the capability to generate the business requirements of the company. invoices/receipts that can be installed to any machine/brand and will support

11. POS System Set-Up/Architecture -- the conceptual model that will define the structure and behavior of the system, which may be stand-alone, POS connected to server consolidator, server based -- decentralized or global.

12 Pseudo-supplier -- taxpayer-user of "Sales Machines/Software" who are either of the following: S

a Direct Importer or local distributor of Sales Machines/Software" similar

sales machines/software generating invoices/receipts.

b Taxpayer-user who developed their own "Sales Machines/Software" or a

Iocal buyer of customized "Sales Machines/Software" for their own internal use and/or for distribution to: their branches, franchisees and/or related companies.

13. Registration -- a process of securing a Permit to Use Sales Machine, Special Purpose Machine and/or receipting or invoicing system/sofitware.

14. Reset Counter -- refers to a counter that advances by 1 every time the maximum accumulated sales capacity or the maximum serial number/series of invoices/receipts is exhausted or fully utilized. Resetting of the accumulated sales is either manually triggered or automatic.

15. Sales API Portal -- a developer console/platform that allows Application Service Programming Interface (API) and test the correctness of their sales data Providers (ASPs) and partners to configure their integration of the Application

transmission.

16 Sales Machines/Software Generating Invoices/Receipts - machines/software

3 BUREAU OF INTERNAL REVENUE JUN 26 Z023 ( NNTYT Irot a.m

RECORDS MGT DIVISION UUJC

other than CRM/POS and Component of CA AS that is capable of generating sales and reports.

17 Special designed/developed to support sales and accounting activity which may generate or issue transaction document except principal invoices/receipts. This may also include machine/software functioning as ordering machine of online platforms Iocated in the place of.business of partner merchants/stores/restaurants. SPM is Purpose . Machine/Software (SPM) a machine/software

only subject for registration but not accreditation.

18. Subscription-Based Agreement - an agreement where recurring fees are being

paid by clients/customers, typically.on a monthly, quarterly or annual basis.

19. Servers" Web-based POS -- a type of POS that can be accessed through a Web or portal using internet. The data is stored in a virtual storage known technically as "cloud

20. X-Reading --also known as Cashier's Accountability Report/ End-of-Shift Report, policy. of each shift or as may be required by the management depending on the company which shall be generated from the CRM/POS/Other Similar Sales Machine to determine the accountability of the cashier or any authorized personnel at the end

21 the Z-Reading/EOD Report and Backend Reports to determine the number of times Z-Counter -- refers to a counter that advances by 1 and is reflected on the face of regardless of the number of reprints. the said report was generated. The said counter, however, shall not increase

22 Z-Reading -- also known as End-of-Day (EOD) Report, which shall be generated Amount) and Modes of Payment (i.e. Cash, Credit Card, Gift Checks, etc.), Z- the day and other important details as may be required by the BIR, including the Accumulated Grand Total Sales (previous day and present day), Breakdown of counter, Reset Counter, if any, details of adjustments to sales like Void, Return, Refund transactions, and many others. from the CRM/POS/Other Similar Sales Machine to determine the total sales for Sales (i.e., VATable Sales, VAT Exempt Sales, Zero-Rated Sales, and VAT

I. COVERAGE

the following: invoices/receipts that are used in business to record sales transactions, which shall include This Order shall cover .all types of sales machines and/or software generating

1 Cash Register Machine (CRM);

2 POS System-- Bundled POS (both hardware and software) and POS Software:

# BUrEAU OF INtErNAL rEVEnUE NNnTTYN J:05 AM JUN 26 2223j

RECORDS MGT. DIVISION I1

3 e-Invoicing or e-Receipting System/Software used under a Subscription-Based

Agreement:

All other similar sales machines/software that will generate printed invoices/receipts, such as but not limited to:

2 Taximeters: b C. Handheld or mobile devices linked to a server: Unmanned bill, coin, or token-operated'machines issuing invoice upon sale;

d Computerized Accounting System. Other and salesmachines/softwareissuinginvoices/receipts; except

These shall be collectively referred to in this Order as "Sales Machines/Software".

IV. POLICIES AND GUIDELINES

CRM/POS/Other Similar Sales Machine: The following general policies shall be observed in the accreditation of

I The enumerated items under Section III of this Order are required to be accredited with the BIR using the Enhanced eAccReg System facility.

Consequently, Special Purpose Machines (SPMs) that will be used solely for Enhanced eAccReg System facility: internal purposes or generates Supplementary Invoice/Receipts only such as, but but shall be required to register for the issuance of Permit to Use using the not limited to, the following shall not be subject to accreditation under this Order

b a C D Cash Depository machines/ATMs with cash depository: Foreign Exchange machines; Ordering machines; Automated Teller Machines (ATMs);

e E h g Bills Payment machines; Inventory checking and maintenance machines; Lottery Terminat/Ticketing Machine; and Other special purpose machines that does not generate sales invoices/official Price Checking machines;

receipts, but may include machine/software functioning as ordering machine of online platforms.

Registration of POS/CRM/SPM/Other Similar Sales Machine shall be done via the District Office (RDO) within two (2) days after receipt of the application. Enhanced eAccreg System (except for Section III (3), wherein a separate revenue issuance shall be provided relative to the Authority to Generate (ATG) for the e- Receipting or e-Invoicing System/Software used under a Subscription-Based Agreement) and shall be processed by the Large Taxpayers (LT) Office/Revenue

5 BUREAU OF INTERNAL REVENUE NNnTtyn JUN 26 2023l T:05 A.M

RECOrdS MGt. DIViSION UJU

POS System which also generates Suppiementary Invoices/Receipts along with Principal Invoices/Receipts shall be included in the accreditation and registration of such "Sales Machines/Software".

are summarized on the table below: The types of machines/software and the corresponding process/es required for each

TYPE OFMACHINES/SOTIWARD 2 I PDOEMTCHINESTOWATACCREDITATIONREGISTRATION POS CRM SUBJEGTTOTWASUBJECPTO Y Y 1 J A

3. e-Invoicing or e-Receipting Y

4 Other Sales Machines Generating System/Software used under a Subscription-Based Agreement A Y

Invoices/Receipts a.Taximeter b. Handheld or mobile devices Y A A

C. Vending Machine Y Y 5. Special Purpose Machines a Automated Teller Machines * * I A

C. d G D ATMs with Cash Depository Foreign Exchange machines Ordering machines Bills Payment machines Price Checking machines (ATMs) * x x * * I V V

g. K. Inventory checking and Lottery Terminal/Ticketing maintenance machines + * Y S

Other SPM not generating Machine * Y

Computerized Accounting System sales invoices/official receipts Y Y

I POS as Component of CAS (CAS)/Components of CAS/Computerized Books of Accounts Y Y 8. E-invoicing/e-receipting system as * 4

Legend: * - not required "Y - required component of CAS

A1 suppliers/vendors/developers/providers/taxpayer-userswhointend to distribute/sell/use "Sales Machines/Software" shall apply for enrollment in the Enhanced eAccReg System by submitting a Sworn Declaration (Annex "A to the LT Office/RDO where such supplier/vendor/developer/provider/taxpayer-user

authorized representative, if transacting through a Representative. 1 Note: Attach Special. Power of Attorney (SPA) (for Individual) or Board Resolution indicating the purpose and the name of the authorized representative or Secretary's Certificate (for non-individual), and any government-issued ID of the

1 BUrEAU OF iNtErNAL reVenUe nnNTTYTD JUN 26 2023 -65 AM

RecordS MGt. diviSION GUUT

$

is registered.

registered. Upon receipt via email of the approval of their enrollment in Enhanced eAccReg Enhanced eAccReg System and manually submitting all the documents listed where the supplier/vendor/developer/provider/taxpayer-user's Head Office is System, such suppiiers/vendors/developers/providers/taxpayer-users shali apply under the Checklist of Documentary Requirements (Annex "B") to the RDO for accreditation by accomplishing online the Application for Accreditation in the

to qualify for the accreditation. The aforesaid specifications/features must be Sworn Statement (Annex "C"?. The "Sales Machines/Software" subject for evaluation and inspection by the BIR must comply with the specifications/features stated in Section IV (5) of this Order explicitly attested and declared by the taxpayer through a duly signed and notarized]

3 Machines/Software" shall Iikewise apply for accreditation of its machines/software. A "pseudo supplier (as defined under Section II (I2) of this Order) of "Sales

4 Machines/Software on its compliance with the applicable specifications/features The concerned Technical Working Group (TWG) shall evaluate the "Sales stated below to qualify for the accreditatiori through a system demonstration by the taxpayer-applicant. The schedule of the demo shall be coordinated with the taxpayer-applicant by the TWG Secretariat within three (3) working days upon receipt of complete documentary requirements or depending on the preparedness of the taxpayer-applicant to present the "Sales Machines/Software" to the TWG Members based on a "FIRST IN, FIRST OUT" policy. Meeting/evaluation may be done via any online platform depending on the situation.

5 specifications/features, which must be indicated in the submitted notarized Sworn Statement, to wit: The "Saes.Machines/Software" shall complywiththe following

a Accumulated Grand Total Sales. The Accumulated Grand Total Sales must

of Permit to Use (PTU) of "Sales Machines/Software". truncated if the,Z-Reading/EOD Report shall be printed on a standard tape advances by one (1) every time the Accumulated Grand Total Sales is fully Report. Such counter shall be reset to zero (0) upon retirement/cancellation taken into consideration or the accumulated grand total sales must not be receipt paper. Sales machines must be equipped with a reset counter that utilized or exhausted and the same shall be shown on the Z-Reading/EOD have at least twelve (12) digits inclusive of the two (2) decimal places. However, the physical limitation of thie maximum number of digits must be

2 Note: Attach Special Power of Attorney (SPA) (for Individual) or Board Secretary's Certificate (for non-individual), and any government-issued ID of the authorized representative, if transacting through a Representative. Resolution indicating the purpose and the name of the authorized representative or

1 BUREAUOF INTERNAL REVENUE NNTYyN :05 AM JUN 26 2023

RECORDS MGT. DIVISION u}GJ

Reading or EOD Report as of the day of resetting to validate that the reset counter incremiented by one (1). In case of resetting, the concerned RDO shall be notiffed about it to ensure that all the sales data registered in the machine up to the last day it was used are properly recorded. A letter notification must be submitted to the RDO not later than three (3) days after the reset:is done with attached printed Z-

Failure to notify within the prescribed period shall be subject to penalty of One Thousand Pesos (P1,000) per Ietter notification not submitted, provided Thousand Pesos @25,000), pursuant to the provisions of Section 250 of the NIRC of 1997. that the aggregate amount for a calendar year shall not exceed Twenty-Five

b. Tamper-free. In order to protect the integrity of the data, the sales data must

not be switchable to "Training Mode", "No Sale Transaction Mode* or any upon deployment of the same for use in business operations. not be capable of being manipulated. The "Sales Machines/Software" must other manipulations that will impair/impede/suspend the recording of sales

SELLER YOUR SALES INVOICE/OFFICIAL RECEIPT" must be All machines that will be exclusively used for training purposes and will generate documents during training must not be considered as INVOICE/OFFICIAL RECEIPT. PLEASE REQUEST FROM boldly printed on the tape receipt that will be generated. invoices/receipts. Hence, the statement "THIS IS NOT A SALES

C Activity Log or Transaction Log. The "Sales Machines/Software" must

have the functionality to generate report that shows the record of all actions transactions (with root/ administrator's account, including activities performed in case the software providei/developer access and manipulate the software remotely); the values involved in the activity: and date and time of done (such as extract push or pull,.edit, delete, etc.): who created the transactions.

G Non-volatile memory. The "Sales Machines/Software" must have the

Regulations No. 5-2014. capability to -retain sales data and other important information when the power is turned off or must be equipped with a recovery or backup system to retain the said data/information for the period prescribed under Revenue

E-journal or Audit Journal. For CRM: This type of sales machine must be instalied that wiil prevent the operation of the machine if only one of the rollers will be used. equipped with two (2) rollers--generating one copy for the audit journal tape intended for audit and internal revenue tax purposes and the other copy to be issued to the customers as invoice/receipt. There must be a safety mechanism :

Electronic Journal (e-Journal) which was defined under Section II (8) of this Order. For POS: This type of sales machine must have the capability to generate an

8 BUREAU OF INTERNAL REVENUE

NTTTYI jUN 26"2223 :65AW

RECORDS MGT. DIVISION G

need an electronic journal or its equivalent. Based Agreement, which will be transmitting sales data to the BIR, shall not e-Invoicing or e-Receipting System/Software used under a Subscription-

f Sales Readings. The most Com'mon Sales Readings are the "X-Reading" and

Machines/Software" must be able to generate a report from the sales machine "Z-Reading (see Section II (20) and (22) hereof for definitions). The "Sales or central server showing the reading of daily sales, sales discounts, sales adjustments such as refunds, returns, cancelled, void, etc., and accumulated grand total sales recorded therein, such as "X-Reading" (Annex "D-1") and "Z-Reading" (Annex "D-2).

reflecting the same sales operation date after the "Z-Reading" was generated It should be noted that the "Z-Reading? must cover all transactions for the whole sales operation or business day. Thus, sales transactions or adjustments must not be allowed, whether the day ends at 11:59 PM or otherwise as sei by the establishment's business set-up requirement.

and/or Tax Compliance Verification Drive (TCVD) purposes. of being reprinted any time or as may be required for audit, post evaluation Such readings generated from "Sales Machines/Software" must be capable

e-Invoicing or e-Receipting System/Software used under a Subscription- Based Agreement, which will be transmitting sales data to the BIR, shall not need X-Reading, Z-Reading or its equivalent.

2 Backend Reports. The "Sales Machines/Software" must be capable of generating a report summarizing all sales transactions showing separately the (Annex "E-2"): Persons with Disability Sales Book/Report (Annex "E-4"), Solo Parent Sales Book/Report (Annex "E-5"), and Void Report. Summary Report (Annex "E-1") and other system-generated backend reports, such as but not Iimited to the Senior Citizen Sales Book/Report VATable Sales, VAT Exempt Sales, and Zero-Rated Sales, such as BIR Sales "E-3"), National Athletes and Coaches Sales Book/Report (Annex

Machines/Software" must be capable to generate. and print the abovementioned reports any time or as may be required for audit. post No manual Sales Book. except for CRM. shall be required since "Sales evaluation and/or TCVD purposes.

Note: In any case that a CRM-generated/POS-generated receipts or imvoices generated receipts or invoices that were comverted to manual receipts or were replaced by manual receipts or invoices, the sum of all the system- invoices shall be reflected as a deduction or adjustment in the CRM Sales Book or Backend Report pursuant to RR No. 16-2018.

h. Sequential series of accountable forms/documents. The invoices/receipts

generated from the "Sales Machines/Software" must have a minimum of six (6)-digit running Serial Number (SN).

1 1 BUREAU OF INTERNAL REVENUE NNTTTY I05AM JUN 26 2323(

records Mgt. divisioN VJ0

and the same must not be truncated when the invoices/receipts are printed. The SN must also be padded with zero' (0) or the Ieading zeroes must be The maximum number of the running SN must be taken into consideration

Shown.

e.g., If the' 103th invoice/receipt will be generated from the "Sales Machines/Software", it should be displaved as "000103" instead of "103" only [assuming that the maximum number of digits is six (6)].

that advances by one (l) every time the maximum number of digits is fully invoices/receipts as prefix/suffix. The "Sales Machines/Software" may also be equipped with a Reset Counter exhausted or utilized. The said Reset Counter is appended to the SN of the

first two digits -- "00 " is the Reset Counter as prefix of the six-digit running e.g., "00-000001 " shall be shown on the face of the invoice/receipt where the SN

In order to maintain the consecutive sequence of the transaction numbers imprinted on the invoices/receipts and the audit journal/e-Journal, the invoice/receipt numbering mechanism of a sales machine shall not be disturbed or tampered with.

N Reprint Functionality. "Sales Machines/Software" with functionality to

reprint principal invoices/receipts shall not distort the stored sales data and must indicate the word "REPRINT" on the face of such invoices/receipts, including the date and time of printing was done.

"Push" Functionality. All sales data or information (as required under the Notation (JSON) File Format for CRM/POS based on the provisions of the applicable e-Invoicing/e-Receipting revenue issuances. e-Invoicing/e-Receipting Project of the BIR) that will be generated from an "Sales Machines/Software", if applicable, must be able to send or push to the BIR on a "reaI-time" or "near real-time" the EIS e-Invoice JavaScript Object

k Verification or Validation Seal. Serves as a security feature that will

must be inherent in all e-Invoices or e-Receipts generated from "Sales Machines/Software" used under a Subscription-Based Agreement. Most Bar Codes, Uniform Resource Locator (URL) and any other form of seal or security features. determine the authenticity of the e-Invoices/e-Receipts. This functionality common verification or validation seals are Quick Response (QR) Codes.

Data Retentioin. All relevant sales data or information and other accounting records must be'retained for a period in accordance with the existing revenue issuance on preservation of records. The said accounting records must be maintained or accessed at the registered place of business or the registered address where the: "Sales Machines/Software" is being used.

10 BUREAU OF INTERNAL REVENUE NTTYT jUN 26"2223 0 IEas AM.

RECORDS MGT. D[VISION cJQt

taxpayer-user. Hence, the taxpayer-user must be granted an access to such Receipting System/Software used under a Subscription-Based Agreement must also be maintained or accessed at the registered place of business of the "Sales Machines/Software" any time to download/store pertinent sales data/information therein. All relevant sales data or information generated from the e-Invoicing/e-

Sales Data Transmission. For e-invoice/e-receipt the system must be able to transmit the sales data in JSON File Format with an EIS Unique ID to verify the transmitted sales data.

6 The Functional and Technical Evaluation Checklist on Sales

Machines/Software (Annex "F") shall be the guide and basis for evaluation of the "Sales Machines/Software" during the conduct of system demonstration. The said. checklist shall be accomplished by the TWG Member/Team Head based on the requirements set forth under this Order and other related revenue issuances. discussions during the system demonstration with other TWG Members to determine whether or not the "Sales Machines/Software" is in compliance with the

Minutes of Meeting (MOM) (Annex "G") must be prepared for each of the system demonstrations , conducted. All items for " compliance/submission/ issues/peculiar feature of the systems must be indicated in the MOM.

1 The "Sales Machines/Software" must generate invoices/receipts showing the

6.0 of RR No. 11-2004, which must show, among others, the information information required under RR No. 16-2018 and RR No. 6-2022, in relation to Sec. enumerated below:

2 The following'salient information must be shown as a header of

invoices/receipts: I Registered Name of the Seller; I In. I V V Detailed business address of the seller; The phrase "VAT REG TIN"" or "NON VAT REG TIN", whichever is Machine Identification Number (MIN); Serial Number of the sales machine (if branded machine) and the Serial Business Name or Style, if any, based on the clarifications provided on RMC No. 55-2019; with 5-digit.Branch Code of the Seller: applicable, followed by 9-digit Taxpayer Identification Number (TIN)

Number of the Hard Disk Drive and/or Software License Number (if cloned machine) pursuant to RR No. 5-2005, as amended:

b Invoice/receipt number prominently shown with minimum of six (6) digits running Serial Number appended with a Reset Counter, if applicable; Note: If the'system generates transaction number, SI/OR number should be a different serie's.

Date of transaction; C

11 BUrEAU OF INternALREVENUE NnTTTyN O5 AM JUN 26 20Z3 0

RECORDS MGT. DIVISION CG

SI/OR as reiterated by RMC No. 64-2015 pursuant to RR No. 16-2005, if Customer/Buyer details---Name, Address, TIN and Business Style for VAT applicable;

e Quantity:

f Description of the items/goods or nature of service rendered;

0 Unit cost;

h Total cost;

1 VAT Amount (if transaction is subject to 12% VAT);

g broken down to: VATable Saies, VAT Exempt Sales and Zero-Rated Sales; If the seller is engaged in mixed transactions, the sales amount shall be

k. part of the accounting records of the taxpayer and/or issued to customers; TAX." in bold letters must be conspicuously printed at the bottom of to return, void, cancellation, refund, and other similar documents that form The phraSe "THIS DOCUMENT IS NOT VALID FOR CLAIM OF INPUT supplementary invoices/receipts, such as but not limited to order slips, acknowledgment:.. receipts, and.collection receipts.Supplementary invoices/receipts also include adjustment documents, such as but not limited

The word "EXEMPT'must be prominently shown on the face of the the aforementioned goods): (Example: rice dealer/vegetable/fruits/livestock/poultry sellers selling only invoices/receipts for taxpayers whose transactions are not subject to both VAT or Percentage Tax that will issue Non-VAT principal invoices/receipts

m. to (W), excluding (E) of the same Code, as amended; The breakdown of Sales Subject to Percentage Tax (SSPT) and Exempt Sales International Carriers and Rationalizing other Taxes Imposed Thereon by must be indicated on Non-VAT principal invoices/receipts, if the taxpayer is subject to Percentage Tax under Title V of the National Internal Revenue Code (NIRC), as amended by RA No. 10378 (An Act Recognizing the Principle of Reciprocity as Basis for the Grant of Income Tax Exemptions to Amending Sections 28(A)(3)(a), 109, 118 and 236 of the NIRC, as Amended. and for Other Purposes) but also sells goods/services under Section 109 (A)

The following information must be provided if the taxpayer shall transact 10754, RA No. 10699, respectively: with Senior Citizen (SC). Person with Disability (PWD). National Athletes and Coaches (NAAC). and/or Solo Parent pursuant to RA No. 9994, RA No.

t Identification Card No./Solo Parent Identification Card No.; SC/PWD/NAAC/Solo Parent TIN, if any; OSCA/PWD D/Philippine National SportsTeam(PNSTM)

12 BUREAU OF iNTERNAL REVENUE NnnTIN JUN 2 6 2Q235 J:0S AM

RECORDS MGT. DIVISION UU

H SC/PWD/NAAC/Solo Parent Discount (show the 5% or 20%)

IN. whichever is applicable-- -detailed breakdown must be shown including Signature of.the SC/PWD/NAAC/Solo Parent: the VAT exemption, if any); and " :

O. The following shall be printed at the bottom portion of the OR/SI/CI:

I I I. Name, Address and TIN with 5-digit Branch Code of the accredited PTU Number and the Date Issued or Authority to Generate (ATG) supplier of sales machines: Accreditation number and the date of accreditation (date issued and valid until) of the accredited supplier; and

Control Number (whichever is applicable)

8 consecutively in the following order in the Official Receipt Header): Taximeter Issuing Receipt must follow RR No. 17-2006 with the information required on the tape receipts, as enumerated below (items a to d must be printed

b e g h a C. d E Address of Operator: Business Name/Name of Taxi;l Registered Taxpayer's Name with BIR: Telephone Number; Invoice/Receipt Number (minimum of 6.digits): Accreditation Number; Permit Number: Taxpayer Identification Number (12 digits including Branch Code)

O 1 k 1 D O Odometer Reading-End; Color Coded Body Number; Date of Transaction; Distance Travelled; Amount of Fare (in Philippine Peso): Plate Number: Odometer Reading-Start: Waiting Time; "THIS SERVES AS AN OFFICIAL RECEIPT"

9 In case "Sales Machines/Software" do not have the capability to encode the

income tax purposes) by the customer/buyer shall be disallowed. In such cases, ATP showing the required information must be issued by the taxpayer/seller; the system-generated tape invoices/receipts must be attached to the duplicate copy of the manual invoices/receipts to avoid a double take-up of sales and as proof information to be reflected on system-generated invoices/receipts and the customer/buyer is a VAT-registered entity, a manual invoice/receipt with approved otherwise, the claim for input tax (for VAT purposes) or allowable expenses (for during audit.

from the sales to be reported to the Electronic Sales Reporting (eSales) System. Sales generated from "Sales Machines/Software" where tape receipts issued were replaced by manual invoices/receipts must be summarized and shall be deducted

13 BUrEAU oF iNTERnAL REVENUE NNtTTTt JUN 26 2023 HOS A

ReCords MGt. diViSIoN UJC

Such deduction shall be reflected as an adjustment in the CRM Sales Book or Backend Report, whichever is applicable, pursuant to RR No. 16-2018.

10 In case the taxpayer-applicant has a related company, such as affiliate, subsidiary, sells/distributes/uses exactly the same. "Sales Machines/Software", system demonstration may be forgone provided that the complete documentary requirements shall be submitted by the taxpayer-applicant, including a Sworn Statement (Reseller/Distributor of Sales Machines/Software with Existing application with conpiete documentary reguirements. branch, franchisee, reseller, or distributor with existing accreditation and Accreditation) (Aninex "H") stating such facts. A Certificate of Accreditation (Annex "I") shall be issued within seven (7) working days from receipt of such 3

1I period. application is denied due to'non-compliance with the functional and technical compliance or non-submission of the documentary requirements on the prescribed The Certificate of Accreditation (Annex "I") shall be issued by the concerned RDO once the application is approved; otherwise, a Notice/Letter of Denial (Annex "J") with the reasons for denial stated therein shall be issued if the said Accreditation brand/model/system/software version and shall be issued within twenty (20) working days from compliance.of the taxpayer with the complete documentary requirements and system demonstration, except for applications stated under requirements. Once accredited, the Certificate of Accreditation shall reflect an Section IV (10) of this Order. Otherwise, issue the Notice/Letter of Denial for non- Number (AN for a particular machine

12 major enhancements/upgrades/modifications shall be required to file new change of database platform to accommodate .new data to be captured, change of reaccreditation. Any "Sales Machines/Software" that.was previously accredited but shall undergo comparative matrix of the functions and/or features between the previously accredited "Sales Machines/Sofiware" and its upgraded/modified/enhanced additional functionality, improved field and batch validations, additional reports, enhancements are considered as Major Enhancements" which will merit Application for Accreditation following the procedures provided herein. A version shall be required upon filing of the'new accreditation application. A new Certificate of Accreditation (Annex "I") shall be issued upon approval of the said application. Enhancements will include but 'are not Iimited to the following: bundled Machines/Software). In general, version upgrades and application/system parameter settings during inquiry or change in hardware (for application with

However, "Minor Enhancements"" shall not require reaccreditation but the taxpayer must inform the LT Office/RDO of such change/minor enhancement. Examples of "Minor Enhancements" are arrangement of the field for user interface and adding change/impact any functionality of the system/application. security control that is transparent to the user or any modification that will not

14 BUREAU OF INTERNAL REVENUE NNTY JUN 2 6 223 1) 165 4D

RECORDS MGT. DIVISION TUCI

13 Travel expenses, per diem and other related expenses of TWG Members to and

RDO, or concerned office(s) under the Information System Group (ISG). from the taxpayer-applicant's site/place of business to conduct system demonstration shall be allocated from the budget of Revenue Region, LT Office or whichever is applicable: This budget requirement must be included in the Project Annual Procurement Plan (APP) of the Revenue Region. Such travel, if warranted, shall be approved by the Head of the LTAB/RAB. Procurement Management Plan (PPMP) of the concerned LT Office/RDO and the

14. Regular monthly meetings, to be facilitated and attended by the LTAB/RAB Head and/or Co-Head, together with the TWG Head and/or Assistant Head and its corresponding members, shall be conducted to discuss the following matters:

a Issues and/or concerns with corresponding resolutions on the accreditation

applications in case of dispute, if any:

b Inventory of accreditation applications; and

C Other related matters, as may be.deemed necessary.

Note: The LTAB/RAB Secretariat shall prepare Minutes of Meeting (MOM) to document all the discussions during the regular meeting.

15. Regular briefings/workshops/seminar's shall be conducted to the LTAB/RAB by the

Machines/Software" being subject for accreditation. NAB in coordination with the Office of the Commissioner (OCIR), Operations Group (OG) and ISG: on the update of functional and technical requirements/policies/procedures relative to the evaluation of "Sales

16. A Consolidated Monthly Report on the Applications for Accreditation Secretariat to NAB Secretariat every loth day of the following month for Received (Annex :"K-1" and "K-2") shall be submitted by the LTAB/RAB monitoring purposes .and necessary 'action on all unresolved issues which will require clarification by the NAB.

1 charge/fee shall be imposed by any Region/LT Office/RDO. Application for accreditation of "Sales Machines/Software" is for "FREE". No

18. LTAB/RAB/TWG Secretariat in using the system. The eAccReg System Accreditation of Software and/or Hardware Job Aid (Aanex "L") shall .:serve as guide of the concermed Head/member of

19 A list of all duly updated accredited "Sales Machines/Software" shall be posted by.

Machines/Software"" that have been accorded official accreditation by the Bureau. Revenue (BIR) -- wwiw.bir.gov.ph to inform the taxpayer-user of those "Sales the concerned office in-charge with the official website of the Bureau of Internal

15 BUREAU OF INTERNAL REVENUE Hnrtty JUN 26 2023 T:O5PM

t* RECORDS MGT. DIVISION Ui

N ROLES AND RESPONSIBILITIES :

Taxpayers Service (LTS) and each of the Revenue Regions (RRs) An Accreditation Board (AB) shall be created at the National Office, Large

The AB is constituted as follows:

NATIONAL ACCREDITATION BOARD (NAB)

Heads * Assistant Commissioner (ACIR), CIient Support Service (CSS)

ACIR, LTS -- for Large Taxpayers (LTs) -- for Non-Large Taxpayers (Non-LTs)

Co-Head : ACIR, Information Systems Development and Operations

Service (ISDOS)

Members : Head Revenue Executive Assistant (HREA), CSS For Non-LTs

Chief, Taxpayer Service Programs and Monitoring Division Head, Concerned Revenue Data Center (RDC) (TSPMD) Chief, Law and Legislative Division Assistant Chief, TSPMD Section Chief, Programs Development and Review Section (PDRS), TSPMD

HREA, LTS -- Programs & Compliance Group Chief, Large Taxpayers District Office - Cebu Chief, Large Taxpayers District Office -- Davao For LTs Head, National Office Data Center (NODC) Chief, LT Assistance Division Chief, Excise LT Regulatory Division (ELTRD) (LTAD)

NAB Secretariat: For Non-LTs Staff, CSS Representative(s) from PDRS, TSPMD

For LTs Staff, Office of the ACIR, LTS Staff, Office of the HREA, LTPCG

LARGE TAXPAYERS ACCREDITATION BOARD (LTAB)

Head HREA, LTS -- Programs & Compliance Group

Co-Head : Head, NODC

16 BUREAU OF INTERNAL REVENUE NnmtN jUN 26 20230 lFO5 BM

RECORDS MGt. DIVISION vje

Members : LTAB Secretariat: Chief, Computer Operations Network and Engineering Division Chief, Concerned LT Audit Division (CONED), NODC Staff, Office of the:HREA, LTPCG

REGIONAL ACCREDITATION BOARD (RAB)

Head : Assistant Regionial Director (ARD) of respective RR

Co-Head : Head, RDC of the respective RR

Members : RAB Secretariat: Staff from Office of the Regional Director (RD) or Office of the Concerned Revenue District Officer (RDO) at the Revenue Chief, Assessment Division of the respective RR Head, Client Support Unit (CSU) of the respective RR ARD District Office where the taxpayer-applicant is registered

TECHNICAL WORKING GROUP (TWG)

LARGE TAXPAYERS SERVICE (LTS) LT REGULAR/EXCISE GROUP (RDOs No. 116, 121, 124 125 and 126)

Head Chief, LTAD/ELTRD

Asst. Head: Chief, CONED -- NODC

TWG Members : Secretariat: Representative from LTAD/ELTRD Representative from CONED -- NODC Representative from LTAD/ELTRD Taxpayer Account Management Program (TAMP) Officer of the Chief, Assessment Section of the concerned LT Audit Offices taxpayer-applicant

LT DISTRICT OFFICES (RDOs No. 123 and 127)

Head Chief, LT District Office (LTDO) concerned

Asst. Head: Head, CONED-RDC Visayas or Mindanao

Members : Chief, Assessment Section of the concerned LT Audit

TAMP Officer of the taxpayer-applicant Offices

1 BUREAU OF INTERNAL REVENUE nDTtyN JUN 26 2O23 U} UOt AM Y

RECORDS MGT. DIVISION UG

TWG Secretariat: Representative from CONED--RDC Visayas or Mindanao Staff from Client Support Section of the concerned Chief Client Support Section and/or his/her Representative where the taxpayer-applicant is registered LTDO

REVENUE REGIONS (RRs)

Head Revenue District Officer at the Revenue District Office where the taxpayer-applicant is registered

Asst. Head: Chief, CONED of the nearest RDC

Members : Chief, Assessment Section and/or his/her Representative from the RDO where taxpayer-applicant is registered

Chief, Client Support Section and/or his/her applicant is registered Representative from the RDO where the taxpayer-

TAMP Officer and/or his/her Representative from Assessment registered Section of RDO where the taxpayer-applicant is

TWG Secretariat: -Staff from Client Support Section where the RDO of the Representative from CONED or Facility Management Division taxpayer-applicant is registered or as assigned/designated (FMD) of the RDC by Head, TWG

team shall be assigned a Team Head. Note: The TWG Head shall create at least one (I) team and additional teams may be created depending on the number of applications that may be received. Each

VI. PROCEDURES

applications for accreditation of "Sales Machines/Software": The following procedures must be observed and followed in the processing of

A TECHNICAL WORKING GROUP (TWG) SECRETARIAT

1 Check the completeness and correctness of the basic compliance

requirements based on the Checklist of Documentary Requirements from the supplier/vendor/developer/provider/taxpayer-user.

18 BUREAU OF INTERNAL REVENUE nnTTT jUN 26 2dZsfF IF Ot Am

RECORDS MGT. D!VISION a L

In case there are lacking documents to be submitted based on the Checklist

for denial of receipt and the lacking documents are acknowledged by the of Documentary, Requirements, application must not be accepted and the same shall be returned to the taxpayer-applicant making sure that the reason taxpayer-applicant;

2 Validate the" registration information of the taxpayer-applicant via

Fee (ARF) payment, to determine correctness of the submitted documentary) requirements; registration database of the BIR, inciuding update on its Annual Registration

3 Receive the application for accreditation from taxpayer-applicant and assign

a Receiving/Reference Control Number (RCN) with the format below:

"RRR RDO XXXXXX*

RRR RDO Where. etc. XXXXXX= 6-digit sequential serial number 001, etc. == Revenue Region Number (alphanumeric) e.g., 084, 07B, 004, Revenue District Office Number (alphanumeric) e.g., 174, 21C,

For example: RDO No. 112 -- Tagum under Revenue Region No. 19 -- Davao City received its first application for POS Accreditation.

The RCN shall be: "019_112_000001"

information shall be maintained to record all applications for accreditation the LTAB/RAB Secretariat for recording/updating of the region-wide database. A database (in MS Excel format based on Annex "M") with all the salient received with the corresponding RCN. The said database shall be filtered on a weekly basis (every Friday) to generate a report with all the applications that were received, then forward the said report to the LTAB/RAB Secretariat database (in MS Excel format based on Annex "M"} that will be utilized for monitoring purposes. Scanned copy of the notarized Sworn Statement submitted by the taxpayer-applicants must be also forwarded via e-mail to via electronic mail (e-mail) for the updating/maintenance of a region-wide

4 Prepare Notice of Meeting for the conduct of system demonstration upon coordination with the taxpayer-applicant via email. System demonstration must be conducted within three (3) working days from submission of the system demonstration should be on a "FIRST IN, FIRST OUT" policy. Meeting/Evaluation may he done via any online platform depending on the complete documentary requirements or depending on the preparedness of the taxpayer-applicant to present the "Sales Machines/Software". Schedule of situation as may be cited.

19 BUREAU OF INTERNAL REVENUE JUN 26 2023 NTt F atAM

RECORDS MGT. DIVISION 3yC

5 Communicate the schedule of system demonstration by sending the Notice

Machines/Software" and Ietter/e-mail for the taxpayer-applicant informing review and/or validation of documentary requirements. of Meeting to the TWG members who will evaluate the "Sales him/her/it about the system demonstration schedule, including the link of the preferred online meeting platform, if applicable. The application for accreditation shall also be-forwarded to the TWG - Team Head or Assistant Team Head, prior to the actual conduct of system demonstration for proper

1 Prepare and present the Minutes of Meeting (MOM) 3 (Annex "G") during

compile and attach to the docket the printout of the soft copy of the the conduct of system demonstration and specify therein all the additional signed Functional and Technical Evaluation Checklist on Sales Machines/Software (Annex "F). The TWG Secretariat shall also receive documents generated during the system demonstration. The duly accomplished Functional and Technical Evaluation Checklist on Sales Machines/Software (Annex "F") signed by each member (required to be submitted via e-mail to the TWG - Team Head if online system demonstration is done) must also be attached to the docket. documentary requirements, which needs to be submitted by the taxpayer- applicant, including any findings/comments noted by the evaluators on their

The "Sales Machines/Software" must be compliant; otherwise, it shall be stated in the MOM that the application is denied by the TWG. It must be applicant's authorized representatives who attended the system demonstration. acknowledged and signed by all the TWG Members and the taxpayer

the application is denied by the TWG. In case technical reconfiguration/enhancement/modification must still be done after the system demonstration, the Minutes of Meeting shall state that

Receive additional documentary requirements submitted by the taxpayer- applicant as listed and required in the Minutes of Meeting (MOM) (Annex (G}

Non-submission of the required documents/non-compliance with the (Annex "J") shall be prepared by the TWG Secretariat. requirements on the prescribed period as stated on the MOM shail be a ground for the denial of application. Hence, a Recommendation for Denial requirement within the required period and the Notice/Letter of Denial (Annex "N") of the application for non-submission/compliance with the

3 Note: Any peculiarity of the software being evaluated must also be included in the said MOM.

20 BUREAU OF TNTERNAL REVENUE TnTTTIM JUN 26 20231 {O5 AM

records Mgt. division JJ1

Forward the docket with the additional documentary requirements submitted preparation of approval/denial memorandum/report. by the taxpayer-applicant to the TWG Members for validation and

In case of non-submission of the required documents/non-compliance, the docket with thet Recommendation for Denial (Annex "N! and! Notice/Letter of Denial (Annex "J") shall be forwarded to the TWG - Team Head for affixing initial on the Recommendation for Denial.

9 Receive dockets with approved Certificate of Accreditation (Annex "I")

Secretariat for issuance to the taxpayer-applicant. For denied applications the submitted documentary requirements may be returned or properly and/or Notice/Letter of Denial (Annex "J") from the LTAB/RAB disposed by the BIR based at the option of the taxpayer-applicant.

10. Update the taxpayer-applicant thru mail or email on the status of the application for accreditation within seven (7) working days from the conduct of system demonstration, whichever is applicable.

LTAB/RAB Secretariat regarding the updated/actual status of accreditation application. If the docket was already forwarded to the LTAB/RAB Secretariat, inform the taxpayer-applicant of such and advise him/her/it to coordinate with the

The TWG Secretariat shall advise the taxpayer-applicant to provide the Notice/Letter of Denial by a representative, to wit: applicable documents to claim the Certificate of Accreditation or

I T Any government-issued ID of the authorized representative. Individual); or Authorization Letter or Special Power of Attorney (SPA) (for Board Resolution indicating the purpose and the name of the authorized representative. or Secretary's Certificate (for Non-individual); and

I1. Prepare and transmit approved Monthly Report on the Applications for following month. Accreditation Received (Annex P-1" and "P-2") to the LTAB/RAB Secretariat pursuant to RMC No. 49-2019 on or before 10th day of the

B TWG MEMBERS

B.1. GENERAL PROCEDURES

1 Receive .the Notice of Meeting from the TWG Secretariat relative to

the schedule of system demonstration, including the link for the preferred online meeting platform, if applicable.

21 BUREAUOF INTERNALREVENUE nnmT jUN 2 6 2023j Rot am

RECOrdS MgT. DiViSION ULT

2 Attend and participate actively in the evaluation of the system during whether or not the "Sales Machines/Software" is in compliance with demonstration following the Functional and Technical Evaluation Checklist on Sales Machines/Software (Annex F") to determine the existing requirements of the BIR.

The additional documentary requirements to be requested from the technical reconfiguration/enhancement/modification must be done or taxpayer-applicant shall be documented in the Minutes of Meeting and indicate that the application has been denied by the TWG. (MOM) to be prepared and presented by the TWG Secretariat. In case there are other major issue/s, the Minutes of Meeting shall include such

3 Affix signature on the Minutes of Meeting (Annex "G") prepared and

taxpayer-applicant during the conduct of system demonstration. presented by the TWG Secretariat after discussing the same with the

Secretariat after the evaluation/system demonstrationt. The signature of all the TWG members who evaluated the "Sales Machines/Software" must also be affixed on the Functional and Technical Evaluation Checklist on Sales Machines/Software (Anuex "F"), which must be attached to the docket by the TWG

4 Receive the docket with the additional documents from the TWG

TWG - Team Head and TWG Secretariat. Secretariat: and prepare an approval/denial memorandum/report addressed to the TWG Head and/or Assistant Head, copy furnished the

5 Endorse docket to the TWG - Team Head for the preparation of the

Recommendation for Accreditation/Accreditatior Report (Annex Notice/Letter of Denial (Annex "J"). "O") or Recommendation for Denial (Annex "N") with

B.2. ADDITIONAL PROCEDURES FOR E-INVOICING/E-RECEIPTING

SYSTEM USED UNDER A SUBSCRIPTION-BASED AGREEMENT

1 Verify the correctness of sales data transmission by reviewing the

JSON File Format during the conduct of the system demonstration.

case of online demonstration) a duly accomplished and signed Functional' and Technical Evaluation Checklist to the TWG - Team Note: Each,member shall also be reguired to submit (via e-mail in Head once the system demonstration has been completed.

2 BUREAU OF INTERNAL REVENUE NTTTYN JUN 26 Z023 { IFOS A

RECORdS MGt. diViSION 1VGT

Machines/Software (Annex "F"). Incorporate the findings on the sales data transmission in the Funetional and Technical Evaluation Checklist on Sales

C TWG -TEAM HEAD

1 Receive the application for accreditation from the TWG Secretariat with the

Notice of Meeting relative to the schedule of system demonstration. including the Iink of preferred online meeting platform, if applicable.

Conduct system demonstration and evaluate the "Sales Machines/Software" using the Functional and Technicai Evaluation Checklist on Sales Machines/Software (Annex F") then accomplish and sign on the said whether or not the "Sales Machines/Software" is in compliance with the checklist 5 based on the discussion with other TWG members to determine existing requirements of the Bureau. Meeting/evaluation may be done via any online platform depending on the situation as may be cited.

3 Affix signature on the Minutes of Meeting (MOM) (Annex "G") prepared

and presented by the TWG Secretariat after discussing the same with the taxpayer-applicant during the conduct of system demonstration.

D In case of non-submission of the required documents/non-compliance with

the requirements on the prescribed period as stated on the MOM, receive the with Notice/Letter of Denial (Annex "J") prepared by the TWG Secretariat. docket and affix initial on the Recommendation for Denial (Annex "N")

5 to commend approval or Recommendation for Denial (Annex "N") with Receive the docket with the approval/denial memorandum/report from the Recommendation for Accreditation/Accreditation Report (Annex "O") Notice/Letter of Denial (Annex " J") stating all the facts relative to the non- compliance of "Sales Machines/Software". other TWG Members which shall be the basis for the preparation of the

prepared by the TWG Members, the Recommendation Accreditation/ the resolution of the issue. In case there is'a dispute on the approval/denial memorandum/report Accreditation Report.or Recommendation for Denial shall be prepared after

16. Forward the docket with the prepared and initialed Recommendation for

for Denial (Annex "N") with Notice/Letter of Denial (Annex "J") Accreditation/Accreditation Report (Annex "O") or Recommendation

5 Note: The TWG-Team Head shall also require each TWG Member to individually accomplish and sign a Functional and Technical Checklist during the conduct of the online system demonstration and submit the same via e-mail once system demonstration is already completed.

23 BUrEAU oF INtErNAL rEVENUE NNNYYT JUN 26"ZIZ3 tE:05 AM

RECORdS MGt. diViSION vtj

whichever is applicable, and the application for accreditation with attached documentary requirements submitted by the taxpayer-applicant, to the TWG Head/Assistant Head for signature.

D TWG HEAD Or ASSISTANT HEAD

Create team(s) who will handle the evaluation of applications for accreditation depending upon the inventory/number of the applications Notice/Letter of Denial (Annex "J"), whichever is applicable. (Annex "O") or Recommendation for Denial (Aunex "N") with received, then assign or appoint the TWG - Team Head for each team, who shall facilitate and lead the conduct of the system demonstrations and shall prepare the Recommendation .for Accreditation/Accreditation Report

2 Receive the docket which includes the Recommendation for

for Denial (Annex "N"), whichever is applicable, and affix signature for the approval/denial of accreditation application within the day upon receipt of the same from the TWG Secretariat or TWG - Team Head. Accreditation/Accreditation Report (Annex "O") or Recommendation

3 Receive the approval/denial memorandum/report from the TwG

Members concerned and check if there is a dispute and/or issues on the approval/denial of the accreditation application.

4 Review and/or conduct proper evaluation in case there are disputes or issues

Machines/Software" aligned with the concerned business industry deemed necessary. relative to the approval/denial of application, such as peculiarity of the "Sales Discussions through meetings with the taxpayer-applicant shall be done, if

In case the said disputes/issues cannot be resolved at the TWG level, the same must be escalated to the LTAB/RAB level for their proper review and/or evaluation based on the facts of the case.

S Endorse the docket to the LTAB/RAB Secretariat for routing to the Chief of

the Assessment Division as LTAB/RAB Member and Head/Co-Head.

E LARGE TAXPAYERS ACCREDITATION BOARD (LTAB)/REGIONAL ACCREDITATION BOARD (RAB) SECRETARIAT

I Receive weekly reports via electronic mail (e-mail) on all the applications

format based on Annex "M") for monitoring purposes. The aforesaid information that will be entered in the database. received by the TWG Secretariat of each LT Office/RDO with the application. Scanned copy of notarized Sworn Statement shall also be received via e-mail from the TWG Secretariat and shall be the basis of the corresponding RCN and maintain a LT/region-wide database (in MS Excel database must be updated regularly to indicate the actual status of each

24 BUREAU OF INTERNAL REVENUE NNTYN JUN 2 628Z3 V YOAM

RECOrdS MGt DiViSION C

for Deniai (Annex "N") with Notice/Letter of Denial (Annex "J"). Receive from the TWG Head the docket with the Recommendation for Accreditation/Accreditation Report (Annex "O") or Recommendation whichever is applicable.

3. Route the docket to the Chief of the LT Audit Division/Assessment Division as LTAB/RAB Member for signature and Head or Co-Head for signature and generation of the Certificate of Accreditation in case of approved application.

Inform the taxpayer-applicant on the status of accreditation application within two (2) working days from receipt thereof or as may be required upon inquiry of the taxpayer-applicant.

5 Receive the approved/denied dockets from the LTAB/RAB Head or Co-Head

days from receipt of the same. and the following necessary actions must be done within two (2) working

LTAB/RAB Head, then forward for signature. Based on the system-generated Certificate of Accreditation, prepare two Certificate of Accreditation from the LTAD/ELTRD/RDO to the Notice/Letter of Denial (Annex J") to change the signatory of the (2) copies of the pro-forma Certificate of Accreditation (Annex "I") or

The two (2) copies of the Certificate of Accreditation shall be considered as:

b a 1st copy -- Original or Taxpayer's Copy; and 2nd copy --File Copy attached to the docket which will. also serve as

"Receiving Copy"" upon issuance of the said document to taxpayer.

1 Forward the docket to the TWG Secretariat once the Certificate of

signed by the LTAB/RAB Head or Co-Head, for their appropriate action. Acereditation (Annex "I") or Notice/Letter of Denial (Annex "J") is

Receive and record transmitted Monthiy Report on the Applications for Accreditation Received (Annex "P-1" and "P-2") from TWG Secretariat and encode in the database.

Prepare and submit Consolidated Monthly Report on the Applications for the 15th day of the following month based on the reports submitted by the TWG Secretariats from various LT Offices/RDOs within their jurisdiction. Accreditation Received (Annex "K-1" and "K-2") to NAB on or before

9 Prepare Minutes of Meeting (MOM) during the regular meetings to be

conducted on a monthly basis relative to the issues and/or concerns with

inventory of aforesaid applications. The regular meetings may be conducted via any online platform depending on the situation as may be cited. corresponding resolutions on the accreditation applications, including the

25 BUrEAU OF iNteRNAL REVEnUe NTTN JUN 26 2024 HE OT"AGS

RECORDS MGt. DiVISiON U0JU

F LTAB/RAB MEMBERS

or Recommenidation for Denial (Annex "N"), whichever is applicable. Receive accreditation docket from the LTAB/RAB Secretariat and sign such Recommendation for Accreditation/Accreditation Report (Annex "O")

Review and/or conduct proper evaluation in case there are disputes or issues that cannot be resolved at the TWG level relative to the findings of the TWG. deemed necessary. Discussion through meeting with the taxpayer-applicant shall be done, if

Ievel, the same must be escalated to the NAB for their proper review and/or In case the said dispute(s)/issue(s) cannot be resolved at the LTAB/RAB evaluation.

3 to discuss the issues and/or concerns with corresponding resolutions on the Facilitate and/or attend regular meetings to be conducted on a monthly basis on the situation as may be cited. accreditation applications, including the inventory of aforesaid applications. The regular meetings may be conducted via any online platform depending

G LTAB/RAB HEAD and CO-HEAD

In case the 'application is being recommended for denial, receive Denial (Annex "J") accreditation docket from the LTAB/RAB Secretariat or Members and sign such Recommendation for Denial (Annex "N") and Notice/Letter of

2 In case the application is being recommended for approval, access the

Enhanced eAccReg System for the approval of Accreditation through the approved docket. Print the system-generated Certificate that will serve as a system which must be done within two (2) working days from receipt of the basis for the LTAB/RAB Secretariat to prepare the Certificate of Accreditation (Annex "I") in the template to indicate the name of the LTAB/ RAB Head as signatory of the certificate that will be issued to the taxpayer.

3 Return the. signed report and docket to the LTAB/RAB Secretariat for

appropriate actions.

Affix signature on the Certificate of Accreditation (Annex "I") prepared by the LTAB/RAB Secretariat within the day of receipt of the document and subsequently return the same to the LTAB/RAB Secretariat.

discuss and resolve issues or escalate to NAB, if deemed necessary. In case there are disputes/issues on the evaluation case of taxpayer-applicant. sit down together with the Co-Head and other members of LTAB/RAB to

26 BUREAU OF INTERNALREVENUE NNNTTYR5 jUN 26 2023{ I: os A

RECORDS MGT. DiVISION VG

H. NAB HEADS, CO-HEAD and MEMBERS

Review the escalated issues from the LTAB/RAB Ievel. A joint discussion may be done to provide resolutions for common issues and concerns raised by both Accreditation Boards.

2 Prepare standard policies, guidelines and/or procedures on the Accreditation

of "Sales Machines/Software", as may be required and/or as may be deemed Regions, if such is applicable. The NAB shall monitor the implementation by the LTAB/RAB/TWG of the existing revenue issuances relative on the Accreditation of "Sales Machines/Software". necessary including resolutions of issues/concerns raised by the LTAB/RAB. Any resolution issued by NAB may be adopted by both LTS and Revenue

3 Collate the Consolidated Monthly Report on the Applications for

LTAB/RAB Secretariat for monitoring purposes. Accreditation Received (Annex "K-1" and "K-2) received from the

V. POLICHES ACCREDITATION AND PROCEDURES FOR REVOCATION OF

If during the conduct of Tax Compliance Verification Drive (TCVD) or post evaluation/audit, the following findings have been observed, the Certificate of Accreditation granted shall be subject for revocation:

d Tampering of Certificate of Accreditation;

b Any misrepresentation on the Sworn Statement submitted by the supplier:

C Tampering of'sales data to avoid the recording of sales transactions;

Use of sales suppression software or mechanism; and D

Any violation(s) of the supplier on the policies and procedures for accreditation under RR 11-2004, this order, and other relevant existing revenue issuances.

2 Revocation of the Accreditation of the developer/distributor due to any of the

done by the taxpayer-user, that will now be a ground for revocation of the PTU. taxpayer-user of the system is automatically revoked. However, if the violation was grounds enumerated above does not necessarily mean that the PTU issued to the

V. PENALTY CLAUSE

taxpayer-applicant in accordance with the provisions of Republic Act (RA) No. 9485, also the "ACCREDITATION IS FREE OF CHARGE^ policy and comply with the time within which the Certificate of Accreditation or Notice/Letter of Denial should be issued to the All revenue officials, officers and employees of the Bureau must strictly observe : : 27 BUREAU OF INTERNAL REVENUE TnNTyE JUN 2 6 2g23} IE63 AM

RECOrdS MGt. DIVISiON CJGI

3

Citizen's Charter of the BIR. Any violation of the provisions of this Memorandum shall be subject to the corresponding penalties imposed under RA No. 11032, Section 269 and known as "Anti Red Tape Act of 2007", as amended by RA No. 11032 and the latest other related provisions of the NIRC of 1997, as amended, and otherapplicable revenue issuances.

IX. TRANSITORY PROVISION

the requirements under this Order is .still valid until its expiration or if such "Sales Machines/Software" have undergone enhancement. Thus, such "Sales Machines/Software" will have to undergo reaccreditation to check its compliance with the requirements of this RMO and other revenue issuances related to the Accreditation of POs] policies and requirements stated herein to proceed with the processing of the appiication. On the other hand, previous accreditation of "Sales Machines/Sofiware" that were granted prior to the effectivity of this Order and were found to be not completely compliant with All pending applications upon approval of this Order must already comply with the

X. REPEALING CLAUSE

Order are hereby repealed or modified accordingly All revenue issuances or any parts thereof inconsistent with the provisions of this

XI. EFFECTIVITY

This Order takes effect IMMEDIATELY

ROVEAOL TMAGIHT

H2 Comaissioner of Internal Revenue 010251

2 BUREAU OF INTERNAL REVEN{JE NNrYYNT JUN 2 6 2023 IOS AM

RECORDS MGT.DIVISION yU