Contents

Due to the unavailability of the Bureau of Internal Revenue’s (BIR) VAT on Digital Services (VDS) Portal as well as the Online Registration and Update System (ORUS), which remains offline as a result of ongoing system migration activities, the BIR issued Revenue Memorandum Circular (RMC) No. 58-2025 extending the deadline for the registration of Non-Resident Digital Service Providers (NRDSPs) from June 1, 2025 to July 1, 2025.

NRDSPs that are already registered with the BIR but are not yet classified under the “Non-Resident Digital Service Provider” taxpayer type and/or do not have “Value-Added Tax (VAT)” in their registered tax type should update their registration information accordingly. 

The failure to register for VAT does not relieve NRDSPs from their legal obligation to file the necessary tax returns and pay the corresponding taxes due. Similarly, business entities in the Philippines that purchase digital services from NRDSPs are still required to file the appropriate remittance returns and to withhold and remit the VAT applicable to such transactions within the period prescribed under the Tax Code, as amended, and in accordance with the relevant rules and regulations issued by the BIR. 

Please be guided accordingly.

 

Source: 

P&A Grant Thornton 

Certified Public Accountants 

P&A Grant Thornton is the Philippine member firm of Grant Thornton International Ltd.

 

As published in SunStar Cebu, dated 27 June 2025