MANILA – The online community is abuzz not so much on the sudden leap of sales prospects during this time of Covid-19 pandemic but because of the Memorandum Circular No. 60-2020 of the Bureau of Internal Revenue (BIR), that all Filipinos engaged in an online business, through any use of electronic platforms and media or any digital means, must follow the Tax Code.
The said circular which was issued on June 1 enjoined online businesses like payment gateways, delivery channels, internet service providers and other business facilitators to register on or before July 31 or be penalized with late registration fine. It also says, vendors who have been selling prior to the registration need to declare past transactions and pay appropriate taxes on the same deadline.
But Bureau of Internal Revenue (BIR) deputy commissioner Arnel Guballa, in a live radio-TV interview, Monday, aired over DZBB said they are calling for the registration of all online sellers so that they will have a baseline information on the extent of the industry.
“Gusto lang naming magparehistro sila upang makita namin ang data dahil dumadami na ang online selling na naging new normal pagkatapos ng pandemic,” (We just like them to register so that we could have a data because online sellers are increasing and this may become the new normal after the pandemic), Guballa said.
However, he said their real target is the big ones and their merchants and not those small ones who are not habitually doing it for a living. “Target talaga namin sa BIR ang mga malalaki. Nakausap namin sila tulad ng Lazada at willing naman silang i-share ang kanilang malalaking merchants. Diyan kami tutungo at hindi yong maliliit,” (BIR is really targeting the big ones. We talked with some of them like Lazada and they are willing to share their big merchants. That is our direction and not the small hand-to-mouth online sellers), he clarified.
The said circular of the agency is the subject of criticism lately not only from those who just want to make both ends meet because of the pandemic but from law makers and government officials on the ground for being insensitive to the current plight of the people. But still deputy commissioner Guballa encouraged online sellers to register especially those who are thinking of doing it as main source of livelihood. “Ang babayaran lang sa BIR ay registration fee na Php500, at kailangan lang sila magpakita ng registration of business name from the Department of Trade and Industry and a valid identification card,” (They will only pay a registration fee of Php500 and a copy of the DTI business name registration and valid ID), he said.
