Understanding Your COR: When to Contact the RDO

Encountering problems with your Certificate of Registration (COR) can be a stressful experience, especially when you're unsure of how to resolve them.  It's important to understand that while your POS provider is a valuable partner in many aspects of your business operations, there are certain COR-related issues they simply cannot address.  These are typically related to information that is automatically populated on your COR and originates directly from the Bureau of Internal Revenue (BIR) database.  Because your POS provider doesn't have access to modify this underlying data, your only recourse is to contact your issuing Revenue District Office (RDO) directly and report the problem as soon as possible.

Here's a breakdown of the specific COR items that your POS provider cannot change and require direct RDO intervention:

 Revenue District Office (RDO) that issued your COR is automatically populated and cannot be altered by your POS provider.  Any discrepancies or errors in this field must be addressed with the RDO.

TIN of Company. Your Tax Identification Number (TIN) is a unique identifier assigned by the BIR.  It's automatically populated on your COR and is beyond the scope of your POS provider's access.  Any issues with your TIN should be reported to the RDO.

 Registered Name. The official, registered name of your business is also automatically populated and cannot be changed by your POS provider.  Corrections or updates to your registered name must be handled through the RDO.

 Business Address. Your registered business address is another field that is automatically populated on your COR.  Your POS provider has no control over this information.  If your business address has changed or is incorrect on your COR, you need to contact the RDO to update it.

Line of Business. The line of business you declared during registration is automatically populated on your COR.  Your POS provider cannot modify this.  If you need to update or correct your line of business, you must coordinate directly with the RDO.

 Business Name. While you may use a trade name different from your registered name, the official business name on your COR is automatically populated from the BIR's records. Your POS provider cannot change this.  Any discrepancies should be reported to the RDO.

Because these data points are directly linked to your BIR registration, only the RDO can make the necessary corrections or updates.  Attempting to resolve these issues through your POS provider will likely be unproductive, as they lack the necessary access. 

Therefore, it's crucial to contact your issuing RDO immediately when you encounter any problems with these automatically populated fields on your COR.  Prompt action will help prevent further complications and ensure your COR accurately reflects your business information.

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Sample of Cancellation Letter Issued by BIR RDO

Doing business in the Philippines involves navigating certain requirements set by the Bureau of Internal Revenue (BIR).  One crucial aspect is the use of a Point of Sale (POS) system, which necessitates partnering with a POS vendor or supplier. These vendors play a vital role in setting up and customizing your POS system to meet your specific business needs.  They can create tailored order punching systems or provide specialized software designed for efficient order taking. POS machines significantly streamline the cashier's workflow, simplifying order processing and even facilitating upselling to customers, ultimately contributing to a smoother and more profitable business operation.

While POS suppliers/vendors are responsible for the initial registration of your POS machines with the BIR, the responsibility shifts to the taxpayer when business operations cease or the need for a particular POS machine ends. In such cases, the taxpayer is solely responsible for the cancellation, decommissioning, or retirement of their POS machines. This process involves coordinating directly with the local Revenue District Office (RDO) to schedule the cancellation.  It's essential to communicate the scheduled date to your POS supplier/vendor, as their support and assistance are crucial throughout the cancellation process.  They can provide technical guidance and ensure the process goes smoothly.

Be prepared for a potential wait time.  According to sources, scheduling a POS machine cancellation with your local RDO can take upwards of 30 days. This extended timeframe is often due to the high volume of establishments undergoing similar procedures.  The RDO handles numerous requests, and processing them efficiently takes time.  Therefore, it's advisable to initiate the cancellation process well in advance of your planned business closure or POS machine retirement to avoid any unnecessary delays.

Once the POS machine(s) are successfully cancelled in the BIR's Electronic Accreditation and Registration (EACCREG) portal, the taxpayer will receive an official cancellation letter. This letter serves as proof of the cancellation and should be kept for your records.  This documentation is essential for compliance and may be required for future BIR transactions.  Having a copy readily available can prevent complications and ensure a smoother interaction with the BIR.  

Here's a sample of the cancellation letter that will be issued to the taxpayer:  

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Reference for List of requirements for cancellation of POS permit to use/CRM

In processing of POS cancellation or termination of POS machine, local RDO has a list of requirements that you needed to complete before they will process your request. Please prepare the following documents:

WARNING: This is just a reference but its really depends on the needed requirements of each local RDO. I recommend to visit them and inquire. 

1.      BIR Form 1905 ( 2PCS)  

2.      Duly Notarized Sworn Statement 

3.      Letter request for cancellation with specific date for ocular inspection of Revenue Officer.

4.       Photocopy of BIR Form 2303/ COR

5.       Cover letter 

6.       Z-Reading (last day of transaction of POS machine was used)

7.       Reprint Copy of Last Official Receipt (last OR issued)

8.        Zero reading of old POS permits

9.       Original copy of Permit to Use Sales Machine (BIR POS permit)

10.     Original Decal Sticker (blue BIR Ask for Receipt)

11.     BIR Sales Report (last month of POS machine was used)

12.     Last 3 years of the following: (saved to CD or Flash drive)

                (A) Z-Reading (1st and last day of the month)

                (B) BIR Sales Report (monthly)

13.      Electronic Sales Journal ( saved to CD or Flash drive ) for POS user

13.1    Last Manual Sales Book for CRM user

14.      Photocopy of ID with signature ( For #16) 

15.      Photocopy of Representative ( maybe 2 valid ID) with signature

16.      For Taxpayer who will process the cancellation with representative

            For Individual - Special Power of Attorney

            For Non-Individual - Board Resolution/Secretary Certification

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Inside the EACCREG Portal ( POS Provider )

Let's all explore the portal of BIR EACCREG under the POS provider account. Yes! You read it correct under POS provider. We have 2 kinds:  POS Provider and Taxpayer.

For the mean time, I will let you see the content of BIR EACCREG portal under POS provider so you can compare the content of Taxpayer (on my next blog).

Upon logging in,  you will noticed some tabs below the logo of BIR (Bureau of Internal Revenue).
Click Registration for Permit to Use > List of Registrations for Permit to Use > Encode Application.

This is the usual part where your POS provider file your POS machine(s) for you to have POS permit and on the next page you will see the complete POS application field by field - Application for Registration of Sales Machines.

We have 3 types of permit under EACCREG namely:
(a) POS provider - Final Permit
(b) Client/Taxpayer -  Provisional Permit
(c) Client/Taxpayer -  Special Purpose Machine Permit

 Once all the POS machine(s) has been added to the POS application. We need to include the details of Server Consolidator also or else we will encounter such an error [ see screenshot below ]

Once the POS application has been filed.
You will receive instruction on the next page [ see screenshot below ]
Your POS provider will take note of the generated transaction number and be given to their client/taxpayer for their reference and follow ups.

Your POS provider also download the PDF for both references [ see screenshot below ]

REMINDER: Be sure to provide the correct information to your POS provider like serial number, model and brand. To avoid any inconveniences on both end POS provider and taxpayer.

If ever something went wrong and only realize after POS application. POS provider has no control or power to recall a filed POS application. Client or taxpayer will visit their local RDO to inquire any possible requirements to be submitted in order to DENY your existing POS application.

Once denied, that's the only time your POS provider can re-file POS application.



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How important is a change address in BIR?

We all know that when you moved to a new location their are many things that we need to consider especially if you are in the business area. Take note that BIR is involve in every action we do.

Here are some pointers you may take a look at:

1. You need to advise BIR ahead of time before anything else through formal letter.

2. Consult your legal office or RDO if there will be any change of RDO code due to jurisdiction(s).

If YES, below are the things you need to accomplish before doing re-application
      a. Update your BIR Form 2303 or COR and monitor the changes in your EACCREG account.
      b. Process POS termination/cancellation/termination/decommission of your POS (that will under
          due to process and scheduling)    
      c. Send scanned copy of your cancelletion letter to your POS provided issued by your RDO for
          re-validation.
      d. Seek help with your POS provider to check if your new COR info is already align with
          EACCREG details
      f. So, pOS provider can start processing your new POS application under to your new RDO. 
      e. Once filed and approved, print and laminate your new POS permit and placed it besides your   
          POS machine.
      g. Coordinate to your POS provider to re-encode new BIR details to your Official Receipt (OR) info.

TIP: Always have a spare printed POS permit just case of damage or loss

If NO, your current POS permit is/are safe to use just request to RDO to update current POS permit to the new address. Coordinate to your POS provider to re-encode new address your Official Receipt (OR) info.


3. To avoid any penalty during tax mapping due to wrong info.







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RDO 026 : Cancellation of Permit To Use CRM/POS

Revenue District Office No. 26 - Malabon City/Navotas City

Office Address: 
2nd and 3rd Flrs. Aglipay Building, Blk 9,
Lot 6. C-4 Road, Brgy. Longos, Malabon City


Cancellation of Permit To Use CRM/POS and other similar sales machines

1. Letter request for cancellation of "Permit to Use" CRM/POS/SPM and other sales machines within fifteen (15) days from the date the machine was last used/withdrawn from use stating the reasons for cancellation and other necessary information such as but not limited to the following based on RMC 19-2009

a. Permit Number
b. Machine Identification Number (MIN), if any;
c. Machine Accreditation Number, if any;
d. Type of Machine;
e. Machine brand and/or model
f. Software name/or version; and
g. Serial number

2. BIR Form 1905 - 2 copies
3. BIR Form 2303 - (Photocopy)
4. esales Report based on RMO 12-2012 * www.bir.gov.ph
5. BIR Form 0506 - latest registration fee


Updated as of March 16, 2018

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RDO 54A : Requirements for Cancellation of CRM/POS

Revenue District Office No. 54A - Trece Martirez City, East Cavite

Office Address: 
BIR Building, National Road, Trece Martirez, Cavite City


Requirements for Cancellation of CRM/POS

1. BIR FORM 1905 - Application Form
2. Letter Request - Stating the Purpose
( PLS. indicate contact number and person )
3. Surrender Original Permit/Sticker
4. Accumulated Total Sale-Tape
5. Duly Notarized Sworn Statement stating therein the details/reading of machines due for cancellation;
6. Original Tape showing the Z-Reading ( End of Day/Accumulated Grand Total Sales);
7. Reprint Copy of Sales Invoice/Official Reciept issued on the last day of use
8. Original pemit issued;
9. Original deical
10. Print-out of Back-end Report


Updated as of May 10, 2019

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Importance of BIR Form 2303 or Certificate Of Registration

Did you ever experienced that you cannot open a branch on your desired target opening due to POS permit delay? Even though you already provided the BIR Form 2303 or Certificate of Registration to your software provider.

The answer is that it will take three (3) days for the TIN/date to be updated in the BIR central data base and when was the COR released.  See computation below:

Day 1 - All TIN generated TIN for the day will be uploaded per batch  every night to the to the BIR Central Data File (CDF).

Day 2 - All uploaded TIN information (company name, business name, address etc) will be then process in the  CDF.

Day 3 - All processed TIN will be sent back to the BIR Regional District Office system for updating. 

Once updated, software provider can process or file POS application for their client/taxpayer. However, we still have dependencies and this part we have no control even head office if there will be any erroneous during the issuance of the COR. 

Therefore, be sure to double check the information filed under BIR Form 1903  (Application of Registration) so that we can avoid any possible delays once BIR Form 2303 process and release. 

 

Updated of March 21, 2018

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BIR Procedure - POS/ CRM / SPM Permit Cancellation

All POS cancellation documents will be coming from the store.
The Z-Reading is the last terminal report of the POS units for permit cancellation.

BIR Procedure - POS/ CRM / SPM Permit Cancellation Application 

STEP 1. Submit a letter to your local BIR RDO requesting for the cancellation of the permit of the POS units.

Please indicate the following in the letter:
1.1 Reason for cancellation;
1.2 POS Permit Number;
1.3 POS Machine Identification Number, if any;
1.4 Machine Accreditation Number, if any;
1.5 Type of Machine(s)
      a. (POS/ CRM (Cash Register Machine)
      b. SPM (Special Purpose Machine e.g PDA, Server Consolidator, Tablet, Order
           Taker(OTK, Workstation, Kitchen Display System (KDS), Station Order Display (SOD);
1.6 Machine Brand and/ or Model;
1.7 Software Name and/ or version - WINVQP version 8 or 9 ; and
1.8 POS/ CRM/ SPM Serial Number.

Note: You can get the above information from the store's POS permit.

STEP 2. Submit a letter to your local BIR RDO requesting for the cancellation of the permit of the POS units.HAND-CARRY the letter to your local BIR-RDO.

2.1 Get the name of the BIR representative receiving the letter.
Note: BIR assistant logs all requests received from the store. Get the name of the BIR personnel who will handle your request

2.2 Talk to the designated BIR personnel assigned to the store and request for a schedule for POS inspection
Note: Per BIR Revenue Memorandum Circular No. 19-2009, POS/ CRM/ SPM inspection will be within five (5) working days from the receipt of the letter/ written.

2.3 For POS cancellation: Once you have the schedule, call your POS provider to allot engineer for POS resetting at least 3 working days prior to the schedule of the BIR (if POS provider will be required by BIR RDO)
Note: Make sure to get the helpdesk reference number for this request and documents this via email addressed to the following recipients: POS Provider, Client/Taxpayer side, Project Manager if any or any recipients you wish to include for your personal documentation purposes.


BIR INSPECTION TIME

STEP 3. Per BIR regulation No. 11-2004, the store needs to provide roundtrip transportation to the BIR personnel who will inspect the POS units.

The BIR personnel will inspect the POS unit(s) and get the following documents:
3.1 Last POS Terminal Reading/ Report;
3.2 Zero Reading- taken after resetting of the POS units by the Sweda/ ANSI engineer;
3.3 Photocopy of the first and last page of the BIR notebooks;
Note: Make sure all entries are complete. BIR penalty Php25,000.00 per POS
3.4 Copy of the POS BIR permit.
3.5 Decal stickers
3.6 Reprint copy of Last Official Receipt (OR) issued to the customer
4. The BIR personnel will then make a report regarding the inspection together with the Cancellation Approval letter and have it approved
by the BIR Chief.
5. Get the POS Permit Cancellation Certificate and FILE the document. You will need this during BIR Tax Mapping and Corporate Audit.


Updated as of May 2, 2019

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