Bureau of Internal Revenue

 

The Bureau of Internal Revenue (“BIR”) issued Revenue Memorandum Order (“RMO”) No. 37-19, 20 May 2019 entitled “Amended Policies, Guidelines and Procedures on the Registration of Employees”, to amend certain provisions of RMO No. 20-15:

1.     Revise the prescribed policies in the registration of employees, including updates, and simplify the process of transferring employee’s registration as provided under RMO No. 20-15.

2.     Prescribe policies and guidelines in the issuance of Taxpayer Identification Number (TIN) Card to employees; and

3.     Provide for a control measure in the issuance of TIN Card by the RDOs.

 

Registration of Employees Earning Purely Compensation Income

 

New Employees without TIN shall accomplish BIR Form No. 1902 - Application for Registration for Individuals Earning Purely Compensation Income, and Non-Resident Citizens / Resident Alien Employee and submit the same to the employer. The employers shall secure a TIN of its new employees using the eRegistration (eREG) System within ten (10) days from the date of employment:

		Manual Application
New Employees without TIN	Employer shall secure TIN of its employees	When eREG is unavailable or cannot be registered using the eREG	Who shall visit the RDO
Employees of Non-LT Employees of TAMP Employees with multiple Employers using eFPS Employees of Non-TAMP taxpayers	Thru eREG Thru eREG RDO or thru eREG	Submit application to the RDO of the employer	The employer
Employees of LT	Thru eREG	Submit application to the local (regular) RDO* of the LT-Employer**	The employer

_{*Local (regular) RDO is the RDO having jurisdiction over the business address of the LT-Employer’s Head Office or Branch, where the new employee will be assigned.}

 

_{**Provided that, LT-Employer shall submit a written request with corresponding transmittal list of its new employees who filed BIR Form No. 1902 for TIN issuance, attention to the concerned Revenue District Officer together with the prescribed registration form and eREG System error message for each employee.}

 

The employer, whether Large Taxpayer or Non-Large Taxpayer, shall manually secure the TIN of its new employees from the RDO under the following circumstances:

·        There is an advisory from the BIR that the eREG System is unavailable

·        Taxpayers who cannot be registered using the eREG System due to any of the following conditions:

—   Those with no middle name; and

—   Those with similar or found to have matching records in the BIR database.

 

Transfer of Registration of Employees

 

The employee shall submit the duly accomplished and signed BIR Form No. 1905 to the old/previous RDO where the employee is registered. The transfer shall be executed by the old/previous RDO that receives the application immediately or within twenty-four (24) hours from receipt of BIR Form No. 1905, depending on the time the application was received. 

 

Employees earning purely compensation income	Reason for transfer of TIN/registration record	New RDO	Who shall visit the RDO
Who shall subsequently trasfer/change its employer	If the said employee will change or will have a new employer; or The employees are transferring from head office to another branch office (or vice versa) of the same employer or company.	RDO having jurisdiction over the place of the employee's residence	The employee
Whose registration record is the same with the RDO of their employer*	employer (Head Office or Branch) transferring to a new different RDO	New RDO of employer	Automatically carried by the said transferring - employer to its new RDO

 

_{*except those employees whose residence address and employer’s old business address are both under the jurisdiction of the same old RDO of the transferring employer} 

The transferring-employer shall require the said employees that are earning purely compensation income to accomplish BIR Form No. 1905, and facilitate the mass transfer of employees’ registration by submitting the update forms and list of said employees to the old RDO together with the request for transfer of registration (update form) of the said employers, excluding those employees who have been separated prior to the transfer.

 

Update of Registration Information

 

·         Application for any change in the registration information (BIR Form No. 1905) of an employee shall be submitted by the employee to the RDO where the employee’s TIN is registered.

 

TIN Card Issuance

 

·         Application for TIN card issuance of registered employees of both LT-Employer and Non-LT Employer shall be made at their respective RDO or local (regular) RDO where the taxpayer is registered. No application for TIN card shall be submitted to the LTAD/ELTRD/LTD-Cebu/ LTD–Davao.

·         Initial request for TIN Card issuance is free. Subsequent request for issuance due to lost/damaged TIN Card shall be charged P100.00.

·         The RDO can implement the acceptance of TIN Card application cut-off period until 1:00PM pursuant to Revenue Regulations No. 7-2012 in order to control the voluminous application for TIN Card.

·         TIN Card request of employees shall be made personally by the concerned employees as a control measure to the proper issuance of TIN Card. Only the employee himself/herself shall request and receive the TIN ID card by presenting at least one valid government issued ID upon application and release of TIN ID card.

·         In cases where the taxpayer is not available to receive the TIN Card, a Special Power of Attorney shall be issued and submitted by the authorized representative to RDO  that will issue such TIN card, subject to the approval of the concerned Revenue District Officer.

The following procedures shall be done when eREG is unavailable or application cannot be registered using the eREG system:

Requirement	Reason for Manual application	Who shall conduct procedures	Procedures
Tin Issuance	When employees have similar records found in the eREG database:	Client support Section (CSS) of the concerned RDO	1.     Accept those employees who cannot process the TIN issuance using the eREG System. 2.     Receive BIR Form No. 1902 of employees and/or written request of LT-Employer with the corresponding transmittal list of new employees having similar records only. 3.     Check and validate the completeness of documentary requirements. 4.     Use the eREG System and validate by entering the basic information of the employee; if the system will display a message that the employee has a similar record in the BIR database, verify using Internal Revenue Integrated System (IRIS), eREG-TIN Query or Integrated Tax System (ITS) if the employee has existing TIN. 5.     Verify using the IRIS, eREG-TIN Query and/or ITS if the employee has no existing TIN Issue TIN using IRIS or ITS.
	If the eREGSystem is unavailable		1.     Receive BIR Form No. 1902 of employees and/or written request of LT-Employer with the corresponding transmittal list of new employees and BIR Form No. 1902. 2.     Check and validate the completeness of the documentary requirements. 3.     Verify using the IRIS, eREG-TIN Query or ITS if the employee has no existing TIN.  Issue TIN using IRIS or ITS.
	Manual TIN Issuance		1.     Receive BIR Form No. 1902 of employees. 2.     Check and validate the completeness of the documentary requirements. 3.     Verify using the IRIS, eREG-TIN Query and/or ITS if the employee has no existing TIN. Issue TIN using IRIS or ITS.
TIN Card Issuance	Employee's TIN record is under the RDO's jurisdiction	RDO	1.     Monitor the TIN Card issuance by updating and encoding in the ‘Nick Name’ field the words “TIN Card printed” with date (e.g. TIN Card printed – 06/27/2017) to determine the date of first TIN Card issuance. Release TIN Card of employees upon request.

Attached is the full text of the issuance.

Revenue Memorandum Order No. 37-2019

_{DISCLAIMER: The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although R.G. Manabat & Co. endeavors to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.}

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