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Tax Notes

Amended guidelines in registration of employees

THE Bureau of Internal Revenue (BIR) recently issued Revenue Memorandum Order (RMO) 37-2019, otherwise known as the Amended Policies, Guidelines and Procedures on the Registration of Employees, to simplify the procedures for registering, transferring and updating employee information through the e-registration system, including the issuance of the Tax Identification Number (TIN) card to employees.

All employees are generally required to be registered in the Revenue District Office (RDO) having jurisdiction over the principal place of business where their employer’s head office or branch is located. The TIN shall be secured within 10 days from the date of employment.

The initial registration for newly hired employees with no TIN shall be the responsibility of the employer. The registration shall be completed through the BIR’s eRegistration system, unless when a BIR advisory is issued on the unavailability of the system, or when the employee cannot be registered in the system for having no middle name or for having similar records in the database.

If an employee with an existing TIN has a new employer or must be transferred to another branch or to the head office of their current employer, it would be the employee’s responsibility to transfer their registration to the RDO having jurisdiction over the place of the employee’s residence rather than the RDO of the new/current employer.

In contrast, in cases where it is the employer’s discretion to transfer to another RDO, the mass transfer of all active employees earning purely compensation income will be automatically carried out by the said transferring employer to its new RDO.

RMO 37-2019 further prescribes that the employee personally (requires a personal appearance) requests the TIN card at the respective RDO or, in the case of employers under Large Taxpayers Office, at the local RDO where the employer’s office is located by presenting at least one valid government ID. If the employee is not available to receive the TIN card, a Special Power of Attorney will be submitted to the processing RDO.

Please be guided accordingly.


P&A Grant Thornton


As published in SunStar Cebu, dated 07 August 2019