SAN FERNANDO CITY, La Union (PIA) – Business taxpayers will no longer have to pay the annual registration fee with the Bureau of Internal Revenue (BIR) starting January 22 this year.

In a recent advisory signed by BIR Commissioner Romeo Lumagui, the BIR said it will stop collecting the annual registration fee from business taxpayers in compliance with the Republic Act No. 11976 or the “Ease of Paying Taxes Act,” signed by President Ferdinand Marcos Jr.

As a result, business taxpayers are no longer required to file BIR Form No. 0605 and to pay the P500 annual registration fee on or before January 31 every year.

Aldrin Camba of BIR-Revenue District Office in Calasiao, Pangasinan said, “Kapag magpaparehistro na sila ng business, wala na silang registration fee na babayaran. Ganoon din sa mga registered na ‘yong mga negosyo nila, ‘yong yearly na binabayaran nila na registration fee is mawawala na rin yon.”

(When they register a business, they no longer have to pay a registration fee. The same goes for their registered businesses, the annual registration fee they pay will also be waived.)

According to the tax bureau, business taxpayers with an existing certificate of registration, which includes the registration fee, will remain valid.

“These taxpayers may choose to update or replace their certificate of registration at their convenience,” the BIR said.

To facilitate this process, businesses may visit the Revenue District Office where they are registered on or before December 31, 2024, and surrender their old certificate of registration for the necessary updates or replacements.

This is a positive development for taxpayer, Marivic Dela Cruz as this will reduce her expenses.

“Less din ‘yon sa expenses namin as business person dahil hindi naman kasi kalakihan ‘yong kinikita namin,” she said.

(It will lessen our expenses because we don’t earn that much.)

The Ease of Paying Taxes Act aims to modernize tax administration, update the taxation system, and protect taxpayer rights and welfare.

The law amends several sections of the National Internal Revenue Code of 1997, such as the introduction of a taxpayer classification system and a risk-based classification for value-added tax (VAT) refund claims.

Taxpayers may also now file returns electronically or manually to any authorized agent bank, Revenue District Office, or authorized tax software provider.

The law also mandates the BIR to adopt an integrated digitalization strategy by providing automated end-to-end solutions for the benefit of taxpayers.

The agency is also ordered to develop an Ease of Paying Taxes and digitalization roadmap to ensure ease of tax compliance and streamlining of tax processes. (JCR/AMB/PIA Region 1)