Balanced Cents Bookkeeping and Tax Services

Source: Bureau of Internal Revenue Philippines

𝗠𝗶𝗰𝗿𝗼 𝗧𝗮𝘅𝗽𝗮𝘆𝗲𝗿 𝗸𝗮 𝗯𝗮 𝗮𝘁 𝗻𝗮𝗶𝘀 𝗺𝗮𝗴𝗽𝗮-𝗰𝗮𝗻𝗰𝗲𝗹 𝗻𝗴 𝗶𝘆𝗼𝗻𝗴 𝗕𝗜𝗥 𝗿𝗲𝗴𝗶𝘀𝘁𝗿𝗮𝘁𝗶𝗼𝗻?

Magandang balita! Sa ilalim ng RMC No. 47-2026, pinadali ang proseso ng pagkansela ng BIR registration para sa mga qualified Micro Taxpayers.

✔️Walang mandatory audit para sa closure at/o cancellation ng business registration
✔️Maaaring ma-isyu ang Tax Clearance sa loob lamang ng tatlong (3) working days mula sa pagsusumite ng kumpletong documentary requirements

Basahin ang buong Circular: https://tinyurl.com/BIRRMC47-2026

𝗜𝗖𝗬𝗠𝗜: 𝗠𝗮𝘆 𝗻𝗲𝗴𝗼𝘀𝘆𝗼 𝗸𝗮 𝗯𝗮𝗻𝗴 𝘁𝘂𝗺𝗶𝗴𝗶𝗹 𝗻𝗮 𝘀𝗮 𝗼𝗽𝗲𝗿𝗮𝘀𝘆𝗼𝗻?

Mas pinasimple at mas streamlined na ang proseso ng Closure and/or Cancellation of Business Registration sa ilalim ng RMC No. 47-2026.
Tingnan ang step-by-step guide para malaman ang mga requirements, filing options, at proseso ng Tax Clearance.

Basahin ang buong Circular: https://tinyurl.com/BIRRMC47-2026

Source: Bureau of Internal Revenue Philippines

During the Taxpayer Portal Launch for the Large Taxpayers Service on May 26, 2026, Commissioner Charlito Martin R. Mendoza emphasized the Bureau’s “improve-as-we-go” approach in moving reforms forward under BIR DARES.

Learn more about the Taxpayer Portal through this video: https://www.facebook.com/share/v/1Edk1bX1Xc/?mibextid=wwXIfr

𝗣𝗥𝗘𝗦𝗦 𝗥𝗘𝗟𝗘𝗔𝗦𝗘

𝗕𝗜𝗥 𝗖𝗟𝗔𝗥𝗜𝗙𝗜𝗘𝗦 𝗟𝗜𝗙𝗘𝗟𝗜𝗡𝗘 𝗦𝗨𝗕𝗦𝗜𝗗𝗬, 𝗚𝗥𝗘𝗘𝗡 𝗘𝗡𝗘𝗥𝗚𝗬 𝗔𝗨𝗖𝗧𝗜𝗢𝗡 𝗔𝗟𝗟𝗢𝗪𝗔𝗡𝗖𝗘 𝗡𝗢𝗧 𝗦𝗨𝗕𝗝𝗘𝗖𝗧 𝗧𝗢 𝗩𝗔𝗧, 𝗪𝗜𝗧𝗛𝗛𝗢𝗟𝗗𝗜𝗡𝗚 𝗧𝗔𝗫

The Bureau of Internal Revenue (BIR) issued on June 4, 2026, Revenue Memorandum Circular (RMC) No. 60-2026, clarifying that the Lifeline Subsidy and the Green Energy Auction Allowance (GEA-All) are not subject to value-added tax (VAT) and withholding tax.

The Circular amends RMC No. 116-2024 by adding the Lifeline Subsidy and the Green Energy Auction Allowance to the list of government-mandated charges treated as pass-through collections and not subject to output VAT and creditable withholding tax on both VAT and income.

BIR Commissioner Charlito Martin R. Mendoza explained that for both Lifeline Subsidy and GEA-All, distribution utilities such as electric cooperatives merely act as collecting agents under the regulatory framework established by the Energy Regulatory Commission (ERC).

“These amounts do not belong to the distribution utilities or electric cooperatives, do not form part of their revenues, taxable income, or gross sales. This is why the Circular clarifies that they should not be subject to output VAT or creditable withholding taxes. These are government-mandated charges, regulatory in nature, that are collected and remitted to the proper entities,” said Commissioner Mendoza.

The amendments under RMC No. 60-2026 follow the issuance by the Energy Regulatory Commission (ERC) of Resolution No. 02, Series of 2026, establishing the Uniform National Lifeline Subsidy Program and ERC Resolution No. 6, Series of 2025, on the Green Energy Auction Allowance.

Under the ERC framework, the Lifeline Subsidy is collected by distribution utilities and electric cooperatives to support subsidized electricity rates for qualified low-income and marginalized households. The Green Energy Auction Allowance, meanwhile, is collected to support the government’s renewable energy initiatives under the Green Energy Auction Program.

“This is not a grant of a new tax exemption. Rather, it ensures that the tax treatment of these ERC-mandated charges is consistent with their nature as pass-through collections and with other charges in the power sector. This, in turn, is expected to contribute to lower electricity costs for consumers by preventing the imposition of additional tax burdens on amounts that do not constitute utility income or gross sales,” Commissioner Mendoza added.

The Circular is in line with Finance Secretary Frederick D. Go’s push to operationalize in full the objectives of Republic Act No. 11976, or the Ease of Paying Taxes (EOPT) Act, which seeks to promote uniform, equitable, and simplified compliance with existing tax laws and regulations.

The issuance is likewise aligned with President Ferdinand Marcos Jr.’s directive for whole-of-government efforts to protect consumers and vulnerable sectors from rising energy costs while supporting longer-term energy resilience and renewable energy development.

“This clarification contributes to that broader effort by ensuring that government-mandated charges intended for social protection and energy transition are not burdened by taxes that do not properly apply to them,” said Commissioner Mendoza.

Read the full RMC here: https://tinyurl.com/RMC60-2026

Yes, we are BIR REGISTERED and Business Registered under the Municipality of Muntinlupa.

You may visit us at Unit 1015, 10th Floor, Parkway Corporate Center, Corporate Ave. cor. Parkway Place Filinvest City, Alabang, Muntinlupa City

For those who have not yet filed their previous BIR returns, feel free to message me for the assistance.

Thank you.

𝗕𝗜𝗥 𝗟𝗔𝗨𝗡𝗖𝗛𝗘𝗦 “𝗘𝗔𝗦𝗘 𝗢𝗙 𝗖𝗟𝗢𝗦𝗜𝗡𝗚 𝗕𝗨𝗦𝗜𝗡𝗘𝗦𝗦” 𝗚𝗨𝗜𝗗𝗘𝗟𝗜𝗡𝗘𝗦 𝗙𝗢𝗥 𝗧𝗔𝗫 𝗥𝗘𝗚𝗜𝗦𝗧𝗥𝗔𝗧𝗜𝗢𝗡 𝗖𝗔𝗡𝗖𝗘𝗟𝗟𝗔𝗧𝗜𝗢𝗡; 𝗧𝗔𝗫 𝗖𝗟𝗘𝗔𝗥𝗔𝗡𝗖𝗘 𝗥𝗘𝗟𝗘𝗔𝗦𝗘𝗗 𝗔𝗦 𝗙𝗔𝗦𝗧 𝗔𝗦 𝗧𝗛𝗥𝗘𝗘 𝗗𝗔𝗬𝗦

The Bureau of Internal Revenue (BIR) issued Revenue Memorandum Circular (RMC) No. 47-2026 on May 19, 2026, prescribing new guidelines to simplify the process for closing businesses and cancelling tax registration, as part of the implementation of Republic Act No. 11976, otherwise known as the “Ease of Paying Taxes Act.”

“This is our ‘Ease of Closing Business’ reform,” Commissioner Charlito Martin R. Mendoza said. “In line with President Ferdinand R. Marcos Jr.’s directive to make government services faster, better, and more responsive, and Finance Secretary Frederick D. Go’s push to make tax administration more investor-friendly and business-friendly, the BIR is making it easier for taxpayers who have already ceased operations to properly close their business and cancel their registration.”

“From improving the ease of doing business and the ease of paying taxes, this reform completes the BIR’s support for businesses through every stage of the business life cycle. If we make it easier to start and operate a business, then the government must also make it easier to properly close BIR registration once operations have already ceased,” he added.

Under RMC No. 47-2026, taxpayers who have already ceased operations may now apply for the closure or cancellation of their registration, either manually or electronically, through the Revenue District Office where their head office or branch is registered.

The Circular simplifies and standardizes documentary requirements. Together with the application form and the surrender of original BIR registration documents and permits previously issued to the business, taxpayers will only be required to submit two other document sets for closure: the list of ending inventory of goods and supplies, including capital goods for VAT-registered taxpayers, and the unused invoices, supplementary documents, and other unutilized accounting forms, together with their inventory.

Under the new guidelines, penalties for non-filing of tax returns shall no longer accrue once the taxpayer submits the complete documentary requirements for the closure or cancellation of registration. To prevent the further accumulation of open cases, the taxpayer’s registered form types shall likewise be placed under “deregistered” status upon submission of the complete requirements. Filing an application for the closure or cancellation of registration, however, does not preclude the Bureau from conducting an audit to determine any outstanding tax liabilities.

In addition, micro taxpayers shall not be subject to mandatory audit for closure and/or cancellation of business registration. Hence, tax clearances will be issued within three (3) working days from submission of complete documentary requirements for those with no open cases or outstanding liabilities. For micro taxpayers with open cases, tax clearance will be issued within three (3) working days from the submission of the complete documentary requirements and the payment of outstanding liabilities, including penalties.

Commissioner Mendoza encouraged taxpayers who have already ceased operations to avail themselves of the streamlined process to avoid the continued accumulation of penalties and to properly update their registration records with the Bureau.

Read the full RMC here:https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2047-2026.pdf