BIR Eyes on Unregistered and Untaxed Online Sales

BIR Can go After Unregistered and Untaxed Online Sales of Online Sellers -- The Philippine's Bureau of Internal Revenue (BIR) sets its eyes on online sellers and entrepreneurs with unregistered and untaxed online sales. This better serve as a warning bell to those who are involved with online buying and selling via websites like,, and among many others.

Secure your business as duly registered with the BIR and Department of Trade and Industry (DTI) to avoid any legal consequences.

BIR Commissioner Kim Jacinto-Henares said:
We will file cases against sellers who fail to issue receipts and pay taxes, but we will also file cases against the websites which provide such service
Henares said, online operators of buy and sell activities are like operators found in the malls that cater sellers to lease a space in their establishments. This is covered by the "Revenue Regulation 12-2011", which says that: shall be the primary responsibility of all owners or sub-lessors of commercial establishments/buildings/spaces to ensure that the person intending to lease their commercial space is a BIR-registered taxpayer.
The operators have to make sure that their renters or sellers issue receipts or else they will also be held responsible.

Requiring the online operators and sellers to issue receipts or necessary invoices is already a standing mandate in the National Internal Revenue Code (NIRC), wherein receipts are required for every sale or service with a value of P25 or more. NIRC Section 237 states that:
all persons subject to an internal revenue tax shall, for each sale or transfer of merchandise or for services rendered valued at P25 or more, issue duly registered receipts or sales or commercial invoices, prepared at least in duplicate, showing the date of transaction, quantity, unit cost and description of merchandise or nature of service.
So as said, beware online buy and sell operators and sellers! BIR is on you.


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