Notice to Suppliers

To: All Suppliers / From: Accounting Department

To All Suppliers and Subcontractors:

The BIR issued Revenue Regulation (RR) No. 7-2024 dated March 22, 2024 and took effect last
April 27, 2024, implementing the new invoicing requirements provided under the Ease of Paying
Taxes Act (EOPT) Act. Under RR 7-2024, an “INVOICE” shall be issued as evidence for both sale of
goods and sale of services, which shall be the basis of the output tax liability of the seller and the
input tax claim of the buyer.

Accordingly, effective April 27, 2024 and onwards, the following are the acceptable documents for
sales of services including those sales of goods with services or turnkey contracts:

A. Loose Leaf Billing Documents for Sales of Services During Transitory Period – Apr 27, 2024 to
Dec 31, 2024
 VAT-registered Invoice – e.g.: Sales Invoice, Billing Invoice, Commercial Invoice, Services Invoice
& the like provided the term “Invoice” is printed.
 VAT-registered Official Receipt – provided this will be renamed as Invoice by striking the term
“Official Receipt” and stamping the term “Invoice”. Please see Annex A

B. Loose Leaf Billing Documents for Sales of Services from Jan 1, 2025 and onwards
 VAT-registered Invoice – e.g.: Sales Invoice, Billing Invoice, Commercial Invoice, Services
Invoice & the like provided the term “Invoice” is indicated

C. Loose Leaf Proof of Payments for Sales of Services from Apr 27, 2024 and onwards
 Unused Official Receipt (as supplementary document until fully utilized) – provided that the
phrase, ”This Document is Valid for Claim of Input Tax” shall be replaced with ”This Document
is Not Valid for Claim of Input Tax”. Please see Annex A
 Collection Receipt, Acknowledgment Receipt & the like – with the phrase ”This Document is
Not Valid for Claim of Input Tax”.

* Republic Act no. 11976 otherwise known as Ease of Paying Taxes Act
D. System Generated Documents from BIR Approved Computerized Accounting System (CAS) or
Computerized Books of Accounts (CBA)
 Existing System Generated Billing Statements/Statement of Accounts and Official Receipts shall
be acceptable up to June 30, 2024 or up to BIR-approved extension (Supplier should submit
copy of the BIR approval).
 Invoices (valid for input tax claim) and Proof of Receipts (not valid for input tax claim)
generated from the BIR approved amended CAS/CBA shall be acceptable from July 1, 2024 or
from lapse of the BIR approved extension and onwards.

E. Invoices generated through the use of Cash Register Machines (CRM) and Point-of-Sale (POS)
Machines and E-Receipting or Electronic Invoicing Software shall be acceptable from Apr 27,
2024 and onwards. Official Receipt is no longer acceptable.

Further, please see Annex B for the required information that should be contained in the Invoices
as provided under the regulations. Non-compliant invoices from suppliers will not be accepted for
payment processing.

Copy of RR no. 7-2024 is attached, for your reference.

Thank you very much for your kind cooperation and support on this matter.

Very truly yours,

Accounting Department
 Annex A

Converting an Official Receipt to an Invoice

To Strikethrough

To stamp

(Note: Conversion of Official Receipt to Invoice shall only be until December 31,
2024)

Official Receipt as Supplementary Document

To stamp
 Annex B

The following information must be indicated in the invoice as provided under RR no. 7-2024
implementing the EOPT Act:
A. Taxpayer (Seller) Registered Name as shown in the BIR Certificate of Registration;
B. At the option of the taxpayer, in addition to its BIR-registered name, the taxpayer may choose to
add its DTI Registered Business Name or Trade Name in SEC Articles of Incorporation/
Partnership/Certificate of Incorporation of the taxpayer (seller);
C. A statement that the seller is a VAT or Non-VAT registered person followed by the seller’s
Taxpayer Identification Number (TIN) and Branch Code (e.g., VAT Reg. TIN: 123-456-789-00000,
Non-VAT Reg. TIN: 987-654-321-00000);
D. Registered business address where invoice shall be used;
E. The term Invoice is printed or included (e.g., Sales, Invoice, Commercial Invoice, Cash Invoice,
Charge Invoice, Credit Invoice, Service Invoice or any similar description followed by the word
“Invoice”);
F. Date of transaction;
G. Registered name, registered business address and TIN of the buyer/purchaser;
H. Serial Number of the document;
I. Quantity;
J. Unit cost/price;
K. Description of the goods or properties or nature of the service;
L. Total amount of sale. If VAT-registered, VAT is included in the total amount;
M. The VAT amount shall be shown as separate item;
N. If the VAT taxpayer is engaged in mixed transactions, the sales involved shall be broken down
into: VATable Sales, VAT amount, Zero Rated Sales, and VAT Exempt Sales;
O. If the VAT taxpayer opts to issue separate invoices for the VATable sale, exempt and zero-rated
components of the sale, the term “VAT-Exempt Sale” is written or printed if the sale is exempt
from VAT; or term “Zero-rated Sale” is written or printed if the sale is subject to zero percent (0%)
VAT;
P. Taxpayers whose transactions are not subject to VAT or percentage tax shall issue Non-VAT
Invoice indicating at the face of such invoice the word “EXEMPT”;
Q. If the tax payer is not VAT-registered and is subject to percentage tax under Title V of the Tax Code,
but sells goods/services under Section 109 (A) to (CC) except (E) of the same Section, then the Non-
VAT Invoice shall indicate the breakdown of Sales Subject to Percentage Tax (SSPT) and Exempt
Sales;
R. For supplementary documents such as official receipt, delivery receipt, order slips, purchase
orders, acknowledgement receipt, collection receipt, credit/debit memo, job orders, and other
similar documents, in addition to the above-enumerated applicable information, the phrase “THIS
DOCUMENT IS NOT VALID FOR CLAIM OF INPUT TAX” in bold letters be conspicuously printed at
the face of the supplementary document;
S. The following information shall be printed at the bottom portion of the manual invoice:
a. ATP Number/Outbound Correspondence Number (OCN), date issued;
b. BIR Permit Number (if loose leaf Invoice);
c. Approved inclusive serial numbers of Invoice
T. The following information shall be printed at the top or bottom portion of the Invoices generated
from CRM/POS/Other Similar Machines or Software:
Top portion:
a. Machine Identification Number (MIN);
b. Serial Number of the CRM/POS machine (if branded machine) and/or the serial number
of the hard disk drive and/or software license number (if cloned machine);
c. For reprinting of invoice, the word “Reprint” should be prominently indicated;
Bottom portion:
a. BIR Final Permit to Use (PTU) Number
U. The following information shall be printed at the top or bottom portion of the Invoices of the
system-generated from CAS / CBA with Accounting Record and/or its Components and Other
Similar System:
Top portion:
a. For reprinting of invoice, the word “REPRINT” should be prominently indicated;
Bottom portion:
a. BIR Permit to Use (PTU) Number or Acknowledgement Certificate Control Number (ACCN);
b. Series range to be used; and
c. Date Issued (mm/dd/yyyy)