The BIR has issued Revenue Regulation (RR) No. 7-2024 to implement Section 47 of Republic Act No. 11976 (Ease of Paying Taxes Act) for the Amendments on Registration Procedures and Invoicing Requirements last April 11, 2024, which will be effective 15 days after its April 12, 2024 posting on the BIR’s website.

I.  INVOICING AND ACCOUNTING REQUIREMENTS (Sections 2, 3, 6, 7)

  • INVOICE shall be the principal invoice evidencing the sale of goods and/or services issued to customers in the ordinary course of trade or business. It shall be classified as VAT invoice and Non-VAT invoice.
  • SUPPLEMENTARY DOCUMENTS are invalid proofs to support the claim of input taxes of purchasers of goods/services. Official Receipt (OR) shall now be considered as supplementary document.

Invoicing Requirements for VAT-Registered Taxpayers

The following information shall be indicated in a VAT Invoice:

  1. Statement that the seller is a VAT-registered person, followed by seller’s TIN
  2. Amount which the purchaser is obligated to pay with indication that such is inclusive of VAT. Provided, that:
  • Amount of tax shall be shown as a separate line item;
  • “VAT-Exempt Sale” or “Zero-Rated Sale” shall be written or printed, as applicable; and
  • If the sale involves goods, properties, or services, the invoice shall clearly indicate the breakdown of the sale price between its taxable, exempt and zero-rated components, and VAT calculation on each portion of the sale shall be shown
  1. Date of transaction, quantity, unit cost and description of the goods or properties or nature of the service
  2. TIN, Name, AND Address of the VAT-purchaser are required in case of sales amounting to P1,000 (or P500 or more.
  3. Information required under Section 6 (B) of this revenue regulation

Issuance of Invoice

Invoice should be issued in the following cases:

  1. For each sale valued at P500.00 or more;
  2. For each sale regardless of the amount of transaction:
  • If the buyer so requires;
  • If sales amount per transaction is below P500 but the aggregate sales at the end of the day is at least P500.00; or
  • Seller will issue 1 invoice for the aggregate sales amount at the end of the day.
  1. Regardless of the amount, if sold by a VAT-registered seller

The P500 threshold shall be adjusted to its present values every 3 years using Consumer Price Index, as published by PSA.

TICKETS, such as transportation tickets, event tickets, amusement tickets, etc. AND OTHER SIMILAR FORMS shall serve as both an invoice and proof of payment, if the word “Invoice” is printed therein and it contains required info outlined in Section 6(B) of this regulation. Otherwise, the same shall be considered as supplementary document and a separate invoice shall still be issued.

Consequence of Issuing an Erroneous VAT Invoice

  1. Seller shall be liable for non-compliance with the invoicing requirements in case the issued invoice lacks information
  2. VAT shall still be allowed to be used as input tax credit on the part of the buyer if the lacking information do not pertain to the ff:
  • Sales amount
  • VAT amount
  • Name and TIN of both parties
  • Description of goods or nature of services
  • Date of transaction

Accounting Requirements


VAT-registered taxpayers shall maintain a Subsidiary Sales Journal and Subsidiary Purchases Journal on which the daily sales and purchases are recorded.

II.  PRESERVATION OF BOOKS OF ACCOUNTS (BoA) & OTHER ACCOUNTING RECORDS (Section 4)

Type5 years
Manual BoA and other acctg. recordsIn hard copies
Manual Bound Loose Leaf BoA and other acctg. recordsIn hard copies
Computerized BoA and other acctg. RecordsIn electronic copies

The 5-year preservation period starts from the last entry of a particular business transaction in the BoA.


However, if taxpayer has pending protest or claim of tax credit/refund, which books and records concerned are material to the case, he is required to preserve his files until the case is resolved even beyond the 5-year preservation period.

Also, independent CPAs must also maintain and preserve electronic copies of the audited and certified FS including audit working papers for 5 years from the due date of filing or actual date of filing, whichever is later.

III.  REGISTRATION REQUIREMENTS (Section 5)

Please refer to Section 5 of this regulation for the details on the following:

  1. Manner and Time of Registration
  2. Place of Registration
  3. Registration of Business Taxpayers
  4. Registration of Business Name
  5. BIR Business Registration Date
  6. Issuance of Certificate of Registration to Head Office, Branch and Facility
  7. Posting of Certificate of Registration
  8. Posting of Proof of Registration on Online Websites, E-Commerce or E-Marketplace Seller/Merchant’s Page and other Platforms
  9. Registration of Each Type of Internal Revenue Tax
  10. Cancellation of Registration
  11. Transfer of Registration
  12. Unlawful Pursuit of Business – Those who engage in any business and is not duly registered with BIR shall be penalized by not less than P5,000 but not more than P20,000 and suffer imprisonment of not less than 6 months but not more than 2 years.

IV.  TRANSITORY PROVISIONS (Section 8)

  1. Certificate of Registration reflecting Registration Fee remains VALID and not required to be replaced not unless there is an update on the registration information.
  1. Unused Official Receipts – Taxpayers has the following options:
  2. Continue using remaining OR as supplementary document
  • Phrase “THIS DOCUMENT IS NOT VALID FOR CLAIM OF INPUT TAX” should be stamped on the face of the document starting the effectivity of this regulation
  1. Convert and use remaining OR as Invoice
  • Taxpayer shall be allowed to strikethrough “Official Receipt” word and stamp “Invoice” (or any invoice name describing the transaction) on the face of the manual/loose leaf printed receipt. Such will be valid until December 31, 2024 only, provided that it is stamped and it contains information required under Section 6 of this regulation.
  • Stamping of ORs does not require approval from the BIR.
  • Taxpayers must obtain newly printed invoices with an Authority to Print (ATP)  before fully consuming the converted ORs or before Dec. 31, 2024, whichever comes first
  • Taxpayers should submit notification to RDO regarding inventory of unused OR, indicating the number of booklets and corresponding serial numbers within 30 days (or until May 27, 2024) upon effectivity of this regulation
  1. Cash Register Machines (CRM) and Point-of-Sales (POS) Machines and E-Receipting or Electronic Invoicing Software
  • Revisit CAS on the impact of EOPT
  • OR may be changed to “Invoice” (or any invoice name describing the transaction) without the need to notify BIR or apply for reaccreditation  if such change is only a minor change
  • Serial number of the renamed invoice shall continue from the last series of the previously approved OR
  • Submit a notice with the starting serial number of the converted invoice to BIR where machine is registered, in duplicate
  • Receiving branch shall transmit the duplicate copy to the home office’s RDO.
  • OR, if issued, shall be considered invalid for claiming of input tax
  • Enhance CAS, if needed; Secure a new Acknowledgement Certificate (AC)
  • Enhancement shall be undertaken on or before June 30, 2024
  • Request for extension for CAS to comply with EOPT shall not be longer than 6 months from effectivity of this Regulation
  • Issuance of OR for sale of goods/services after June 30, 2024 will not be considered as evidenced of sales and shall be tantamount to non-issuance of Invoice, subject to penalty of P1,000 to P50,000 and suffer imprisonment of not less than 2 years but not more than 4 years.

BIR shall issue supporting Revenue Memorandum Circulars for more detailed instructions/guidelines