Korean agency tapped to help FS on e-receipts
Published Feb 10, 2019 12:00 am
By Chino S. Leyco
The Bureau of Internal Revenue (BIR) has tapped the Korean government to help prepare the feasibility study that will facilitate the implementation of the Philippines’ delayed-electronic invoicing system.
(MANILA BULLETIN)
Based on a statement released by the Department of Finance (DOF), the BIR is now “in the process” of conducting a feasibility study on its electronic-sales reporting in cooperation with the Korea International Cooperation Agency (KOICA), a division of the Korean Embassy.
Under the tax reform for acceleration and inclusion act (TRAIN), the BIR is mandated to implement the electronic invoicing system that will require individuals and enterprises engaged in Internet-based businesses to issue electronic receipts or invoices, in lieu of manual receipts. However, the BIR failed to implement its e-receipt system last year, which resulted in the reduction of the tax bureau’s revenue collection target for the TRAIN law.
To finally begin the e-receipt’s implementation, BIR Deputy Commissioner Arnel Guballa reported to the DOF that the tax bureau and the KOICA have already began data gathering in preparation for the feasibility study. Guballa recently reported to Finance Secretary Carlos G. Dominguez III that a team from KOICA visited the BIR and DOF last year as part of its data gathering.
The Philippines is now eyeing a $7.3 million grant from KOICA for the implementation of Phase 1 of the e-invoicing project.
Guballa said the BIR, for its part, has already identified the list of 100 pilot taxpayers that will take part in the project and conducted a consultative forum with stakeholders last year. “The review of the final report and the terms of reference of the Asian Development Bank (ADB)-funded consultants are now ongoing for the e-invoicing project,” Guballa said during his recent meeting with Dominguez.
Under Section 237 of Republic Act 10963 or the TRAIN Law, large taxpayers and exporters are required within the next five years, to electronically issue their invoices/receipts, as well as report their sales data to the BIR at the point of sale.
(MANILA BULLETIN)
Based on a statement released by the Department of Finance (DOF), the BIR is now “in the process” of conducting a feasibility study on its electronic-sales reporting in cooperation with the Korea International Cooperation Agency (KOICA), a division of the Korean Embassy.
Under the tax reform for acceleration and inclusion act (TRAIN), the BIR is mandated to implement the electronic invoicing system that will require individuals and enterprises engaged in Internet-based businesses to issue electronic receipts or invoices, in lieu of manual receipts. However, the BIR failed to implement its e-receipt system last year, which resulted in the reduction of the tax bureau’s revenue collection target for the TRAIN law.
To finally begin the e-receipt’s implementation, BIR Deputy Commissioner Arnel Guballa reported to the DOF that the tax bureau and the KOICA have already began data gathering in preparation for the feasibility study. Guballa recently reported to Finance Secretary Carlos G. Dominguez III that a team from KOICA visited the BIR and DOF last year as part of its data gathering.
The Philippines is now eyeing a $7.3 million grant from KOICA for the implementation of Phase 1 of the e-invoicing project.
Guballa said the BIR, for its part, has already identified the list of 100 pilot taxpayers that will take part in the project and conducted a consultative forum with stakeholders last year. “The review of the final report and the terms of reference of the Asian Development Bank (ADB)-funded consultants are now ongoing for the e-invoicing project,” Guballa said during his recent meeting with Dominguez.
Under Section 237 of Republic Act 10963 or the TRAIN Law, large taxpayers and exporters are required within the next five years, to electronically issue their invoices/receipts, as well as report their sales data to the BIR at the point of sale.