The Bureau of Internal Revenue (BIR) has released a memorandum circular that requires online businesses to register. The memorandum includes online sellers, merchants, payment gateways, delivery channels and even internet service providers that sell products and services online.
Online businesses are also obligated to declare their past transactions that may be subject to taxes.
BIR has set a deadline for registration on or before July 31. Those who will violate will be penalized in accordance with the revenue rules and regulations.
The Department of Trade and Industry (DTI) has stated that this can be the first step in regulating E-commerce in the Philippines.
There are currently no laws obligating online sellers to register with any government agencies.
DTI Undersecretary Ruth Castello has said that due to the lack of online laws, many have taken advantage. In relation with this, the DTI has received over 8,000 complaints on being scammed online since the implementation of the Enhanced Community Quarantine.
“The online sellers will be more responsible, kasi alam na nilang may track sila na iiwan o mate-trace sila. ‘Yong traceability at least they will be more wary na mahahanap at mahahanap sila ng DTI. (The online sellers will be more responsible because they know that they can be traced. The traceability at least they will be more wary because the DTI can track them.)” DTI USec. Ruth Castelo has added. – Report from Cleizl Pardilla
