Manila – The online selling industry took off as community quarantine and lockdowns implemented due to coronavirus pandemic. Now the Bureau of Internal Revenue (BIR) asks the online sellers whos enjoying this opportunity to register their business and pay taxes.
According to Revenue Memorandum Circular No. 60-2020 signed by Commissioner of Internal Revenue Caesar R. Dulay on June 10, 2020, all persons conducting business in any form of electronic media must register, declare transactions, and pay tax.
The memo ordered not just sellers or merchants, but also payment gateways, delivery services, internet service providers, and other facilitators which directly involved in their business operations.
BIR said, “All those who will register their business activity and/or update their registration status not later than July 31, 2020 shall not be imposed with penalty for late registration.”
Once the business is registered, they must issue Sales Invoice or Official Receipt, on every sale of Goods or Services, keeping of book of accounts and other accounting records of business transactions, and filing and paying of required tax returns in due time.
However, in a televised press briefing today, June 11, 2020, Presidential Spokesperson Harry Roque and National Economic and Development Authority acting secretary clear that only those among business owners whose yearly net income falls behind P250,000.00 are exempted in paying the taxes under the Tax Reform for Acceleration and Inclusion or TRAIN Law.
Presidential spokesperson Harry Roque also said that this is one of the initiatives of the government to strengthen its tax collection funds to address its Covid-19 response.
“Humihingi lang po ako ng pagintindi sa ating publiko dahil kung wala naman tayong laman sa kaban ng bayan, wala tayong mga ayuda, wala tayong mga tulong na maibibigay habang nandito ang banta ng COVID.”
(I am just asking for the public’s understanding because if we do not have the funds, we have no financial assistance, we will have no help to provide while the COVID threat exists.)
Likewise, the Department of Trade and Industry reminded that the online sellers must follow the suggested retail price for the basic and essential goods, as more Filipino workers displaced due to pandemic shifted in e-commerce.
- PTV4 (People’s Television Network Chanel 4)
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