The Bureau of Internal Revenue (BIR) recently issued Revenue Regulation 05 to inform all concerned on the following streamlined procedures in the application for registration of Computerized Accounting System (CAS), Computerized Books of Accounts (CBA) and/or its components, including Electronic Storage System (ESS), Middleware and other similar systems.
The requirement of Permit to Use (PTU) and system’s demonstration or pre-evaluation prior to use the system are no longer applicable, instead shall be registered subject to the following policies:
1. To register the system, taxpayers shall submit the documentary requirements as provided under “Checklist of Documentary Requirements” (Annex A of the Circular). The system must comply with the functional and technical standards provided under Annex B of the Circular. Upon submission of complete documentary requirements, an Acknowledgement Certificate shall be issued within three working days by the Revenue District Office (RDO) where the taxpayer-user of the system is registered. The BIR Form 1900 shall no longer be required for submission of application.
2. Though the system demonstration or pre-evaluation shall no longer be required prior to use, taxpayers shall ensure that the CAS/CBA and components thereof comply with the functional and technical standards provided under Annex B of the circular. If the BIR discovers that the said standards were violated during a post-evaluation or audit, the taxpayer shall be subject to penalties provided under RMO 07-2015 and other existing revenue issuances.
3. In case of a major system enhancement, taxpayers must submit a new application for registration. In case of a minor system enhancement, the taxpayer must submit a written notification to the RDO/LT Office stating the minor specific enhancements of the system.
All taxpayers with existing PTU shall not be required to apply for registration and the previously issued PTU shall still be valid, except in the following circumstances:
1. PTU was revoked on discovery of non-compliance with existing revenue issuances; or
2. Existence of major system enhancement or upgrade which will require filing of a new application for registration.
Please be guided accordingly.
P&A Grant Thornton
Certified Public Accountants
As published in SunStar Cebu, dated 20 January 2021