BIR asked to extend deadline on new receipts
MANILA, Philippines – Calls mounted on Monday for the Bureau of Internal Revenue to extend the deadline for businesses to comply with its new regulation requiring them to use new receipts, on the ground that they were not given enough time to prepare.
Bayan Muna Rep. Teddy Casiño, who chairs the House committee on small and medium enterprises, wrote to BIR chair Kim Henares Monday in an effort to buy more time for businesses, especially the smaller ones who are set to be hit by the new rule.
The new BIR regulation, issued in January, states that businesses should have applied before the BIR for a new authority to print receipts by April 30. The new receipts should be used starting July 1.
Business unable to apply for this authority to print by April 30 would be fined P1,000, and those who would not the issue the new receipts starting July 1 could be fined as much as P50,000.
In his letter, Casiño said businesses, especially the smaller ones, believe that their views were not taken into consideration before the new rule was imposed. The fines are also too heavy on the pocket, he said.
“Our SMEs are lamenting the lack of a public consultation and the hefty fines,” he said.
These enterprises understand the BIR’s desire to clean up unsavory practices by issuing new rules, but they need more time to adjust, he said.
“While they are supportive of efforts and reforms to address the problem of fake receipts, they find the deadline unreasonable. They were allegedly only notified of the new requirements last month and many of them have several receipt booklets unused. Not only will the new receipts result in additional expenses, their old ones will be deemed useless,” he added.
He called on Henares to extend the deadline for meeting the requirements under the new BIR regulations.
“As incumbent chairperson of the Congressional Committee on Small Business and Entrepreneurship Development, I appeal to your good office to extend the deadline and give SMEs ample time to adjust and have new receipts made,” Casiño said.
Earlier, Sergio Ortiz-Luis, the president of the Philippine Exporters Confederation, said six months was inadequate for the business community in the country to be prepared for the new regulation. The BIR should have given businesses one to two years before implementing the new regulation.
Many business owners have also complained that the BIR has not taken enough steps to inform them of the new rule.