Get Adobe Reader

In order to view PDF files, you need to install Adobe Reader. Please click here to download a free copy of Adobe Reader.

Requirement to issue invoices and official receipt

Requirement to issue invoices and official receipts

The Bureau of Internal Revenue (BIR) has recently issued Revenue Memorandum Order No. 3-09 launching "Oplan Kandado". The program is aimed at intensifying BIR's enforcement operations through the imposition of the applicable administrative sanctions for non-compliance. Surveillance activities will be instigated for this purpose.

The issuance invoices and official receipts is among the compliance requirements targetted under the program. Under the Tax Code, all persons subject to internal revenue tax are required to issue an invoice for each sale of goods and an official receipt (OR) for services rendered valued at P25.00 or more.

For VAT-registered taxpayers, invoices and ORs are required for all transactions. Failure to issue invoices/receipts is a ground for suspension of business operations and temporary closure of the business establishment.

Failure to issue invoices/ORs could also be a basis for assessing undeclared revenues if the revenues declared in the income tax or VAT returns are less than the revenues estimated from the surveillance operations.

Also make sure that the required information are indicated in the invoices/ORs and that the required registration/authorization for the printing of receipts and the use of cash register machines or point of sale machines are complied with.

P&A Tax Alerts are issued to keep our clients updated with the latest tax developments.  These are not intended to be a substitute for professional advise.   For inquiries and suggestions on how the Tax Alert may be even more useful to you, e-mail or or call 886-5511.

For other tax concerns, please check out our other tax services.