RMC No. 68-2017 — Clarifies the processing of applications for Permit to Use Loose-leaf Books of Accounts/Invoices/Receipts and other accounting records Digest | Full Text | Annex

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE Quezon City August 10, 2017 REVENUE MEMORANDUM CIRCULAR NO. 68-2017 SUBJECT : Approval of Permit to Use Loose-leaf Books of Accounts/Invoices/Receipts and Other Accounting Records TO : All Regional Directors, Revenue District Officers, Internal Revenue Officials, Employees and Others Concerned _________________________________________________________________________ It has been observed that there is a confusion on the venue for filing the application for Permit to Use (PTU) Loose-leaf Books of Accounts/Invoices/Receipts and other Accounting Records whether with the National Accreditation Board (NAB) in the National Office, Regional Office or Revenue District Offices. This came about when the applications for PTU for Computerized Books of Accounts/Computerized Accounting Systems and Accreditation of Cash Register Machines, Point- of-Sales and other Receipting Software were transferred to the NAB. The question arose if the application for PTU Loose-leaf Books of Accounts/Invoices/Receipts and other Accounting Records should now be filed with the NAB. The use of Loose-leaf Books of Accounts/Invoices/Receipts and other Accounting Records is a recording of transactions through encoding of details/descriptions in the computer and generate copy by printing out using approved loose-leaf format to be bound as the bookkeeping record of the taxpayer. This is considered as computer-aided under manual recording. Thus, this should not be filed with the NAB. Currently, the approval of the application for PTU Loose-leaf Books of Accounts/Invoices/Receipts and other Accounting Records is within the jurisdiction of the Regional Director through its Legal Division pursuant to Revenue Memorandum Circular (RMC) No. 13-82. Considering the geographical location of the Regional Offices compared to the Revenue District Offices which are authorized to record the approved PTU for compliance with the secondary registration requirement, the processing will take a number of days. In line with the "Ease of Doing Business," processing of application and issuance of the corresponding PTU Loose-Leaf Books of Accounts/Invoices/Receipts and other Accounting Records shall now be done by the concerned RDO. The requirements for evaluation and approval of the said application by the RDO where the principal office of the taxpayer is registered, remain the same as follows: 1. Duly accomplished BIR Form No. 1900; 2. Sample Format and print-out to be used;

3. In lieu of the investigation pursuant to RMC No. 13-82, a Sworn Statement specifying the following: i. Identifying the books to be used, invoices/receipts and other accounting records together with the serial numbers of principal and supplementary invoices/receipts to be printed; ii. Commitment to permanently bind the loose-leaf forms within fifteen (15) days after the end of each taxable year or upon the termination of its use. The PTU Loose-leaf issued to the taxpayer's Head Office shall cover all identified registered branches and shall be valid in any RDO where the taxpayer has registered branches at the time of issuance (refer to Annex `A' for the sample PTU). Updating of PTU shall be required for subsequent additional branches. A certified true copy of the PTU issued by the RDO of the Head Office must be furnished to each branch authorized to use the approved Loose-leaf. All other circulars and other revenue issuances inconsistent herewith are hereby amended, modified or revoked accordingly. All internal revenue officers and employees are enjoined to give this circular as wide a publicity as possible. (Original Signed)l Signed) CAESAR R. DULAY Commissioner of Internal Revenue NSV _____ GAM _____ EBQ _____ H-2 GAM _____ NSV _____ EBQ _____ MLDR _____ BSM _____ JMLH _____ ESM _____ MAG _____ DDM _____