R. Montalban & Co., CPAs

na ang SUPPLEMENTARY DOCUMENTS ay ang mga dokumento bukod sa sales o commercial invoice na nagsisilbing source of accounting entries sa mga
books of accounts.

Ang mga sumusunod ay ilan sa mga halimbawa ng supplementary documents:

-Official Receipt
-Delivery Receipt
-Order Slip
-Debit/Credit Memos
-Purchase Order
-Acknowledgment o Cash Receipt
-Collection Receipt
-Bill of Lading
-Billing Statement
-Statement of Account
-Iba pang dokumentong hinahanda sa “ordinary course of business” at iniisyu sa mga customers.

Mahalagang tandaan na pagdating sa usapin ng VAT, ang mga Supplementary Documents ay hindi sapat maging valid proof sa pag-claim ng input taxes ng mga buyers ng goods and/or services.

Reference: Revenue Regulation 7-2024 (https://bit.ly/4dtIUns)

RMC welcomes the On-the-Job Trainees (OJTs) from Holy Name University and Mater Dei College to join its 2024 Internship Program.

Join us!

BIR Removes 5-year validity of eCAR.

For more information on the validity of Certificate Authorizing Registration and its revalidation, please refer to Revenue Regulations No. 12-2024 posted at the BIR Website (www.bir.gov.ph).

🗓️ 𝐑𝐄𝐌𝐈𝐍𝐃𝐄𝐑: 𝐃𝐞𝐚𝐝𝐥𝐢𝐧𝐞 𝐨𝐟 𝐀𝐧𝐧𝐮𝐚𝐥 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐒𝐭𝐚𝐭𝐞𝐦𝐞𝐧𝐭𝐬 (𝐀𝐅𝐒) 𝐟𝐨𝐫 𝐂𝐨𝐫𝐩𝐨𝐫𝐚𝐭𝐢𝐨𝐧𝐬 𝐰𝐢𝐭𝐡 𝐟𝐢𝐬𝐜𝐚𝐥 𝐲𝐞𝐚𝐫𝐬 𝐞𝐧𝐝𝐢𝐧𝐠 𝐨𝐧 𝟑𝟏 𝐃𝐞𝐜𝐞𝐦𝐛𝐞𝐫 𝟐𝟎𝟐𝟑 𝐰𝐡𝐨𝐬𝐞 𝐒𝐄𝐂 𝐫𝐞𝐠𝐢𝐬𝐭𝐫𝐚𝐭𝐢𝐨𝐧 𝐧𝐮𝐦𝐛𝐞𝐫𝐬 𝐞𝐧𝐝 𝐰𝐢𝐭𝐡 𝟗 𝐚𝐧𝐝 𝟎

Filing season continues as corporations with SEC registration numbers ending in 9 and 0 are required to submit their Annual Financial Statements within June 24 to July 5.

Bisitahin ang efast.sec.gov.ph para isubmit ang inyong mga reports, or re-watch our eFAST Tutorial video for a step-by-step guide on how to submit: bit.ly/eFASTguide

NOTICE: Corporations registered from December 18, 2023 onwards are automatically enrolled on eFAST. The temporary credentials for the eFAST account of the registrant shall be forwarded to the official email address enrolled under their MC28 compliance following the automatic enrollment to the eFAST portal, in accordance with SEC Memorandum Circular No. 23, Series of 2023: bit.ly/SECMC23s2023

Per Revenue Regulations (RR) No. 11-2024, the following deadlines have been extended:

1. The submission of the Inventory Report on Unused Official Receipts/ Billing Statement/Statement of Account/Statement of Charges Converted into Invoice/Billing Invoice has been extended until JULY 31, 2024.

2. The reconfiguration and system enhancement of Computerized Accounting System (CAS)/Computerized Books of Account (CBA) with Accounting Record (AR) adjustments has been extended until DECEMBER 31, 2024. Any extension must be approved by the concerned Regional Director or Assistant Commissioner of the Large Taxpayers Service (LTS), which shall not be longer than six (6) months from December 31, 2024.

Read more about RR No. 11-2024 here: https://bit.ly/BIR_RR11-2024

The Global Internal Audit Standards, introduced on January 9, 2024, will become effective on January 9, 2025. Internal audit functions may commence early adoption of the Standards immediately.

These Standards provide comprehensive guidance for the global practice of internal auditing and serve as a benchmark for evaluating and enhancing the quality of internal audit functions. Central to the Standards are 15 guiding principles that underpin effective internal auditing, comprising the domains of internal auditing: (1) The Purpose of Internal Auditing; (2) Ethics and Professionalism; (3) Governing the Internal Audit Function; (4) Managing the Internal Audit Function; and (5) Performing the Internal Audit Services.

You may download the resource below using this link: https://www.theiia.org/en/standards/2024-standards/global-internal-audit-standards/free-documents/complete-global-internal-audit-standards/

Complete Global Internal Audit Standards The Standards guide the worldwide professional practice of internal auditing, are principle-based, and serve as a basis for evaluating and elevating the quality of the internal audit function.

Para mas madaling sumunod sa bagong invoicing requirements sa ilalim ng EOPT Act ay nagkaroon po tayo ng pagbabago sa mga Transitory Provisions ng RR No. 11-2024 patungkol sa mga natitirang Official Receipts (OR) ng mga taxpayers.

RR No. 11-2024: https://bit.ly/3KHv6Jr

RMC: Unlock Your Potential With Us!

Attention aspiring interns! We are accepting internship applications until 11:59 PM tonight, June 14, 2024. After this deadline, we will temporarily suspend accepting new internship applications. We sincerely thank all students who have applied and shown interest in joining us.

Screening Schedules:
Batch 1: June 29, 2024 (Saturday) from 8:00 AM to 5:00 PM
Batch 2: July 6, 2024 (Saturday) from 8:00 AM to 5:00 PM

Official screening invitations and schedule assignments will be sent to your email and mobile phone. Successful applicants will undergo pre-internship training and orientation during the third week of July 2024.

Thank you for your interest in RMC. We look forward to meeting you and helping you unlock your potential!

If you have any questions, please do not hesitate to contact us at [email protected].


#2024:NumbersOfImpact

IASB ISSUED AMENDMENTS TO IFRS 9: Financial Instruments

The IASB has issued amendments to IFRS 9 Financial Instruments to address diversity in accounting practices, enhancing understandability and consistency. These amendments, stemming from the 2022 Post-implementation Review, clarify the classification of financial assets with ESG-linked features, impacting whether loans are measured at amortized cost or fair value, and address the derecognition of financial liabilities through electronic payments by defining the derecognition date. Additionally, new disclosure requirements have been introduced to improve transparency regarding investments in equity instruments at fair value through other comprehensive income and financial instruments with contingent features tied to ESG targets.

To learn more of this update, click the link below.

https://www.ifrs.org/news-and-events/news/2024/05/iasb-issues-amendments-cmfi-ifrs7-ifrs9/?utm_medium=email&utm_source=website-follows-alert&utm_campaign=immediate

IFRS - IASB issues narrow-scope amendments to classification and measurement requirements for financial instruments The IFRS Foundation is a not-for-profit, public interest organisation established to develop high-quality, understandable, enforceable and globally accepted accounting and sustainability disclosure standards.

We celebrate the incredible achievements of our talented team members who are graduating and embarking on new journeys in the world. Your hard work, dedication, and passion have brought you to this moment, and we couldn't be prouder.

As you step into the next chapter of your professional lives to becoming Certified Public Accountants (grab this title) and as Finance Professional, remember that the values you've gained here will be your foundation for success.

We believe in you and can't wait to see all the amazing things you will accomplish. Thank you for your contribution to the firm. See you very soon.

The Bureau of Internal Revenue (BIR), through Revenue Regulations (RR) No. 7-2024, which took effect on April 27, 2024, laid down the new rules of invoicing brought about by the EoPT Act.

Taxpayers, especially service providers, can no longer issue manual or loose-leaf official receipts to support their sales of services upon the effectivity of RR No. 7-2024. Issuance of official receipts for the sale of services starting April 27, 2024, will not be considered evidence of sales of services; taxpayers who issued the same as the primary supporting document will be penalized tantamount to failure to issue invoices.

But you have the option to continue using the existing official receipts.

Option 1: stamp the words “THIS DOCUMENT IS NOT VALID FOR CLAIMING OF INPUT TAX” on the face of the OR.

Option 2: Taxpayers may convert the remaining official receipts to Invoices. If this option is chosen, taxpayers should strike through the word “Official Receipt” on the face of the printed receipt and stamp the words “Invoice,” “Cash invoice,” “Charge invoice,” “Credit invoice,” “Billing invoice,” “Service invoice,” or any name describing the transaction, so long as the word “Invoice” is indicated.

For option 2, Converted official receipts are valid for claiming input VAT until December 31, 2024, and thereafter may be used only as supplementary documents. The conversion of official receipts to invoices does not require approval from the BIR, but taxpayers doing this should submit an inventory of unused official receipts, indicating the number of booklets and corresponding serial numbers, within thirty (30) days from the effectivity of RR No. 7-2024, or until May 27, 2024.

Revenue Memorandum Circular No. 61-2024

Notifies the availability of the Alphalist Data Entry and Validation Module (Version 7.3) and its updated File Structures and Standard File Naming Convention

Full text: https://tinyurl.com/rusm9dhp
Annex A and Annex B: https://tinyurl.com/24rc47x9

Revenue Memorandum Circular No. 54-2024

Amends RMC No. 91-2018 relative to the Taxpayer Identification Number (TIN) Issuance to Clients of Microfinance Non-Government Organizations (MF-NGOs) and Members of Cooperatives through Online Registration and Update System (ORUS)

Full text: https://tinyurl.com/2rfhd8wr
ORUS User Guide/Job Aid for EO98: https://tinyurl.com/28xcdhfm

After the busy season, now it’s payback time!

Part 1:
In light of the firm’s pledge of commitment to give back to the community, the members of the firm organize an outreach activity to street dwellers and the selected orphanage as our humble effort to preserve our responsibility to our society. The firm’s partners are thankful for the people involved in making this activity possible. Let's continue to shine brightly as beacons of goodwill, making a positive difference in the lives of others. Together, we can create a brighter tomorrow for all.

Part 2:
In our heartfelt gesture of appreciation, the RMC has prepared treats as token of gratitude for the unwavering efforts and commitments to our associates and colleagues. To each and every RMCians who poured their dedication and hard work into our firm, thank you! Your contributions have been immense, and this get-together is a celebration of our achievements this year. Nothing is possible without your perseverance and teamwork.

Part 3:
As another chapter unfolds, we pause to recognize and extend our heartfelt thanks to two remarkable groups: Our On-the-Job Trainees: Your enthusiasm, dedication, and eagerness to learn have enriched our workplace and inspired us all. Thank you for your valuable contributions and for being an integral part of our team. We wish you all the best as you continue to pursue your professional journey! Our Members Embarking on New Adventures: As you spread your wings and venture beyond our office walls, know that your presence will be deeply missed. Your hard work, passion, and camaraderie have left an indelible mark on our firm, and we're incredibly grateful for the time we've shared. Wishing you every success and fulfillment in your endeavors ahead! To both groups, your contributions have made a significant impact, and your presence has made our firm stronger. Here's to the next steps in your journey and the countless opportunities that lie ahead. Shine on!

𝐒𝐄𝐂 𝐀𝐃𝐕𝐈𝐒𝐎𝐑𝐘

In view of the settled disciplinary orders from the United States Public Company Accounting Oversight Board (PCAOB) relating to Navarro Amper & Co. (Firm), the Securities and Exchange Commission (SEC) urges all audit firms and practitioners in the Philippines to uphold the highest ethical standards and observe full compliance with ethical requirements under the Code of Ethics for Professional Accountants and systems of quality management in the Philippine Standard on Quality Management as independent gatekeepers, stewards of integrity, and guardians of the capital market in order to preserve the trust and confidence of the public.

For everyone's information and guidance.

Let's talk tax!!

Revenue Regulations (RR) No. 3-2024, released on April 11, 2024, enacts the revisions brought about by Republic Act (R.A.) No. 11976, also referred to as the Ease of Paying Taxes Law, concerning the applicable sections of Title IV-Value-Added Tax (VAT) and Title V-Percentage Tax of the 1997 Tax Code, as amended.

What is there to know about this Revenue Regulation for Taxpayers?

1. All references to "gross selling price", "gross value in money", and "gross receipts" shall now be referred to as the "GROSS SALES", regardless of whether the sale is for goods under Section 106, or services under Section 108 of the Tax Code.

2. The term “Invoice” will also now be used instead of Sales/Commercial Invoices or Official. For services, it will now be called “Service Invoice.”

3. All references to “receipts or payments” which was previously the basis for the recognition of sales of service under Title IV (VAT) and Title V (Percentage Tax) of the Tax Code, shall now be referred to as "BILLING" or "BILLED", whichever is applicable.

4. All provisions mentioning the VAT-exempt threshold of Php 3 million shall now be read as "the amount or VAT threshold herein stated shall be adjusted to its present value every three (3) years using the Consumer Price Index (CPI), as published by the Philippine Statistics Authority (PSA)”

5. Output VAT credit on uncollected receivables may be allowed on the next quarterly VAT compliance after the lapse of the agreed upon period to pay provided that the seller has fully paid the VAT on the transaction and the VAT component of the uncollected receivables has not been claimed as allowable deduction under Section 34(E) of the Tax Code.

6. Uncollected receivable refers to sales of goods and/or services on account that transpired upon the effectivity of RR No. 3-2024 (i.e., April 27, 2024) which remain uncollected by the buyer despite the lapse of the agreed period to pay.

7. To be entitled to output VAT credit, the following requisites must be present:

a. The sale or exchange has taken place after the effectivity of RR No. 3-2024 (i.e., April 27, 2024);
b. The sale is on credit or on account;
c. There is a written agreement on the period to pay the receivable;
d. The VAT is separately shown on the invoice;
e. The sale is specifically reported in the Summary List of Sales covering the period when the sale was made and not reported as part of "various" sales;

f. The seller declared in the tax return the corresponding output VAT indicated in the invoice within the period prescribed under existing rules;
g. The period agreed upon, whether extended or not, has elapsed; and
h. The VAT component of the uncollected receivable was not claimed as a deduction from gross income.

8. In case of recovery of uncollected receivables, the output VAT pertaining thereto shall be added to the output VAT during the period of recovery.

9. Conditions on the deductibility of bad debts expenses in the income tax returns as provided in RR No. 25-02 remain.

10. RR No. 3-2024 shall apply to the sale of services that transpired upon its effectivity on April 27, 2024. For outstanding receivables on services rendered before April 27, 2024, the output VAT shall be declared in the quarterly VAT return upon collection. The collection shall be supported with an Invoice following the transitory provisions contained in the RR No. 7-2024 (IRR on invoicing) or the new BIR-approved set of Invoices, whichever is applicable.

11. The newly introduced output tax credit on uncollected receivables under Section 4.110-9 of these regulations applies only to transactions after April 27, 2024. No output tax credit is allowed for outstanding receivables from sales of goods on account made prior to April 27, 2024.

Revenue Regulations No. 8-2024

Implements Sections 21(b) of the NIRC of 1997, as amended by Republic Act No. 11976 (Ease of Paying Taxes Act), on the classification of taxpayers. For full text, https://tinyurl.com/2p8uyn6d

Happy Easter! May this reminds us to renew our spirits with hope, growth, and resilience.

Calling all interested students to join our Internship Programs for this coming Summer (June and July) and 1st Semester of AY 2024-2025. You may send your updated curriculum vitae and letter of interest to [email protected] not later than April 30, 2024 for Summer Interns and June 30, 2024 for 1st Semester Interns.

Successful applicants will undergo pre-internship training on May 2024 for Summer and July 2024 for 1st Semester Interns.

Pre-internship trainings will cover the following areas:
1. Accounting and Bookkeeping
2. Taxation
3. Audit and Assurance

Join us and be part of this exciting opportunity to develop your skills and gain valuable experience from different industries.


:2024NumbersOfImpact

RMC's 2024 guiding theme, "Numbers of Impact." What does it mean to the firm's practices and goals for the year?

Read this short article below.

Para po sa kaalaman ng lahat, extended po ang deadline ng pagpasa ng BIR Form No. 2316.

March 31, 2024 na po ang bagong deadline.

Revenue Memorandum Circular: https://bit.ly/3TcTmIL