BIR Accreditation for The Philippines

BIR Accreditation for The Philippines

Introduction 

BIR (Bureau of Internal Revenue) in the Philippines is the statutory body that certifies retail POS applications that can be used in the country. This government agency not only certifies POS applications but is also responsible for collecting internal revenue taxes and enforcing fines and penalties associated with them. You will be able to carry out your retail operations in the Philippines, only when your POS solution is BIR accredited. See: www.bir.gov.ph 
There are some very specific features that a retail POS application must possess to qualify for being used by retailers in The Philippines. 
When you create a new tenant, on the Tenant Registration Page there is a specific section that prompts you to select the Country and the Trading Currency. You need to select The Philippines as your country and Philippine Peso as your currency.

The BIR (Bureau of Internal Revenue) features are country specific and are applicable only in the Philippines. This means that these country specific features are activated only when you select The Philippines as your country and Philippine Peso as your currency.

Specific Feature Requirement for BIR Accreditation

There are some very specific features that the application should have before it is accredited by the BIR authorities. Once accredited by the BIR authorities, you need to enable the BIR specific features to make it a BIR complaint POS solution. 
Flip the Enable BIR switch ON to unlock the BIR specific settings in the application. 

The process is irreversible. It means that , once BIR is enabled, it cannot be disabled.

These features are summarised in the section below:

Store Master Settings

A screenshot of the Store Master screen is pasted below:


Perform End of Day

Using the Store Settings master, you can perform End of Day and generate a Z-Report.

When you enable BIR, a new Perform End Of Day button is displayed in the Actions column. Clicking on the Perform End Of Day button will open a End of Day pop up screen where the Current Business Date is pre-filled. You just need to specify the Next Business Date and click the OK button to generate a Z-Report


Store TIN Number

Using the Store Settings master, you can map the TIN number to your store. 

When you enable BIR, an additional text field appears on the Store’s setting page that allows you to specify the TIN Number.

TIN Number is the unique 12-digit number that is assigned to your business by the Bureau of International Revenue.

POS Master Settings

A screenshot of the POS Master screen is pasted below:

Using the POS Settings master, you can map the following information:

– MIN Number
– Serial Number
– PTU Number
– PTU Issue Date
– PTU Valid Until Date

POS MIN Number

When you enable BIR, an additional text field appears on the POS’s settings page that allows you to input MIN number. 

POS Serial Number

When you enable BIR, an additional text field appears on the POS’s settings page that allows you to input the Serial number assigned to your POS terminal. 

PTU Number

When you enable BIR, an additional text field appears on the POS’s settings page that allows you to input the Permit To Use Number allotted to the POS terminal. This must be pasted on the POS terminal it was allotted to.

PTU Issue Date

When you enable BIR, an additional text field appears on the POS’s settings page that allows you to select/update the date the Permit To Use was issued.

PTU Valid Until

When you enable BIR, an additional text field appears on the POS’s settings page that allows you to select/update the date the Permit To Use is valid until.

You must fill in the MIN, Serial Number, PTU Number, PTU Issue Date, and PTU Valid Until fields carefully, as these numbers would reflect on the transaction receipt.

POS Number Series

Using the POS Settings master, you can define and follow a POS Document Number Series for your POS (Point of Sale) terminals. Defining a POS Numbering Series allows you to set up multiple POS at the same store. 



Leaving the  POS number series accordion blank will generate a  notification pop up asking you to define one. 

Customer Master Screen

A Customer can be created on the Web Register or in the back-office using the Customer Master screen.

Senior Citizens and Person With Disability Customers

When you enable BIR, the application automatically creates a PWD Customer and a Senior Citizen Customer. For BIR accreditation, the application should offer every Senior Citizen (SC) or Person With Disability (PWD) a specific percentage discount on the entire transaction. 



Senior Citizen and Person With Disability Customer Groups

The application automatically creates a PWD Customer and a Senior Citizen Customer and maps them to the Person With Disability Customer Group and the Senior Citizen Customer Group  respectively when you enable the BIR settings. These customer groups are created to ensure that a specific discount of 20% is automatically applied when such a customer is selected on the POS. 


Senior Citizen and Person With Disability Discounts

For BIR accreditation, the application should offer every Senior Citizen (SC) or Person With Disability (PWD) a specific percentage discount on the entire transaction. This amount that is offered as a Senior Citizen discount or PWD discount is clearly printed on the transaction receipt. 

Senior Citizen Number / Person With Disability Number

Every customer in the Philippines who is a  Senior Citizen (SC) customer or a Persons With Disability (PWD) customer, is alloted a unique number. 



When you select a Senior Citizen (SC) customer or a Persons With Disability (PWD) customer at the POS you must specify that unique number.

If you don’t specify that unique number, the application will not let you proceed to the payment screen and complete the transaction.
The PWD Citizen Discount and the Senior Citizen Discount is applied automatically when such a customer is selected on the POS terminal.
The screenshot below depicts a Senior Citizen (SC) Discount applied on the Web Register using the Senior Citizen Discount Promotion.


Promotions

Promotion includes all those activities that you perform as a retailer to encourage customers to buy more products. Buy Shirts | Get T Shirts @ 20% off, Buy 3 Women’s Bags for $199, Buy 3 Skirts |  Save an 15%, and Spend $3000 | Save 30% on bill total are some good examples of promotion. You can define the following Promotions in Tagrain only when the Offers, Discounts and Pricing Management plugin has been purchased and activated.
  1. Buy X | Get Y
  2. Buy X | For a fixed price
  3. Buy X | Save an amount
  4. Spend X | Save an amount

PWD Discount and Senior Citizen Discount Promotion

When you Enable BIR specific settings, the Offers, Discounts and Pricing Management plugin is activated and the PWD Citizen Discount and the Senior Citizen Discount promotions are automatically created.


BIR accreditation requires that all the Senior Citizens (SC) customers and Person With Disability (PWD) customers must be given a discount of 20% on the purchases made. This discount is offered using the PWD Citizen Discount Promotion and the Senior Citizen Discount Promotion. These promotions are of the Spend X | Save an amount, Promotion Type.  

Receipt Format

For BIR accreditation, every Sales Invoice / Transaction Receipt must include some information specific to BIR such as Accreditation Number, Date Accreditation issued, Valid Until, etc. The application allows you to customise your Sales Invoice / Transaction Receipt to include the BIR specific information.

For BIR accreditation every Receipt Format in the Philippines must include the following:

The Receipt Header Section

Company Name and Address
Company Tax Identification Number (VAT REG TIN)
Permit to Use Number (PTU NO)
Permit to Use Issued Date (Date Issued)
POS Serial Number (POS S/N)
Machine Identification Number for POS (MIN)
Sales Invoice Number

The Receipt Customer Section

Customer Name
Customer Tax Identification Number (TIN)
Customer Address
Customer Style – Senior Citizen / PWD etc.
Signature

The Tax Summary Section

Zero rated sales – Sales value of zero rated products
Exempt – Sales value of Exempt VAT sales
Vatable Sales – Net value of sales with value
Vat amount – Value of VAT charged on sales
In the Tax Summary section, each value is printed 0 if no sales are recorded in that category.
Item Quantity 
Cashier Name
Company details of accreditation (in this case Clasen)
VAT Registration Number (VAT REG TIN)
Company Address
Accreditation Number
Date Accreditation issued
Valid Until
When the retailer is not VAT registered the statement “THIS DOCUMENT IS NOT VALID FOR CLAIM OF INPUT TAX” is added to the footer
A sample (consolidated) sales invoice / transaction receipt is pasted below for your reference.   



BIR Specific Reports

For BIR accreditation, your retail POS solution should be able to generate reports specific to BIR. These BIR specific reports include the following reports:
-- BIR Sales Report Summary
-- BIR Sales Transactions
-- BIR Refund By Item Report
-- BIR Refund Report
-- BIR Discount Report
-- BIR Audit Log Report

Cashier Report

This report is generated when the POS / Web Register is closed after all the tender types have been reconciled and generally includes the following information:
Gross Sales
Discount
Net Sales
VAT Sales
Zero Rated Sales
Count of Sale Transactions
Count of Refund Transactions
Collections by Payment Types

BIR Sales Transaction Report

This report displays a summary of daily sales made at the POS terminal and generally includes the following information:
Sales listing of all transactions for the POS for the day
Sales Invoice Number 
Sales Refund Number
Customer Name (Blank when not known)
Customer Address  (Blank when not known)
Customer TIN  (Blank when not known)
Sales Total 
VATable Sales Total
Exempt Sales total
VAT amount

BIR Sales Report Summary

This report shows a summary of daily sales made by that POS terminal and generally includes the following information:
Sales listing of all transactions for the POS for the day
Sales Invoice Number or the transaction number for refund (in case of a refund)
Customer Name (Blank when not known)
Customer Address  (Blank when not known)
Customer TIN  (Blank when not known)
Sales Total for transaction
Vatable Sales total
Exempt Sales total
VAT amount
POS Daily Report is quite similar to the Z-Tape Report. However, like the Z Tape report it does not reflect any Till transactions (Cash In, Cash Out, and Expenses)

BIR Refund By Item Report

This report is used to record and monitor the products refunded in refund sale transactions.   

BIR Refund Report

This report is used for reviewing and monitoring the refund sale transactions done on a POS terminal. 

BIR Discount Report

This report is used for reviewing and monitoring the discount offered to the General customers and the Senior Citizen customers / Person With Disability customers 

BIR Audit Log Report

This report is used to record the chronological sequence of activities performed by the user from the time he logs in to the application and is recorded until he logs out from the application.

BIR End Of Day Report

Z Tape / Z reading report is the last report that you would print for the POS / Register or the store and is therefore also called an end-of-day report. Z Reading or the Z Tape Report is generated when the POS / Web Register is closed after all the tender types have been reconciled. 

The Z Tape Report for Philippines will not have any mention of Till Transactions (Cash In, Cash Out, Expenses) unlike the normal Z Tape Report for non-Philippines locations. Also, if a till is closed multiple times a day, each time a separate Z Tape is shown.

Export the BIR Report

All the BIR Reports can be exported using the Export button.  The steps to export any BIR Report are as follows:

Step 1. Generate the BIR Report
Step 2. Click on the Export button 
Step 3. Browse to a location where you want to save the BIR Report. 
Step 4. Click on the Save button to save the BIRReport.xls file.

When exporting the BIR Reports, the date is always exported in MM/DD/YYYY format irrespective of the date format specified in Display Settings (Home > Setup > General Settings > Display Settings) OR the date time format of the Operating System OR Excel.
All the BIR Reports can be printed using the Print button. The steps to print a BIR Report are explained below:

Step 1. Generate the BIR Report.  
Step 2. Click the Print button to open the Print Preview page. 
Step 3. Select the destination printer. 
Step 4. Specify the number of copies and pages to be printed.
Step 5. Click on the Print button to print the BIR Report. 

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