RMO No. 21-2000: Prescribes the policies and procedures in the processing and approval of taxpayer’s application for permit to adopt computerized accounting system and its components

Key points

1. Components covered. These are the general journal, general ledger and other subsidiary records, and accounting records such as sales, purchases, receivables, payables, inventory and payroll. They also include generation of official accounting documents such as official receipts, sales and cash invoices, cash vouchers, journal vouchers, billing statements and sales tickets, and generation of reports required by the BIR.
2. Evaluation. A Computerized System Evaluation Team (CSET) is created for the National Office and Regional Office to evaluate applications and recommend approval. Evaluation is completed within 30 days from receipt of the application and complete documentary requirements. Regular and large taxpayers may both apply.
3. Authority to print. A taxpayer with a Computerized Book of Accounts with computer-generated accounting records, off-the-shelf or customized, need not apply for an authority to print (ATP) invoices and receipts. A taxpayer whose Computerized Book of Accounts has no computer-generated accounting records needs an ATP for official receipts, invoices and the like.
4. Revocation of the permit. The permit is deemed revoked when changes or modifications are made to the approved CAS, or when the pre-approved range of serial numbers for computer-generated official receipts or sales/cash invoices is fully consumed. Such changes need a new permit.
5. Reporting number ranges and approval. Where there is no pre-approved range of numbers before generation, the consumed and cancelled ranges for the preceding taxable year are reported within 30 days from year-end. The report goes to the Chief of the Large Taxpayers Assistance Division, the Chief of the Excise Taxpayers Assistance Division or the Revenue District Officer. With CSET’s favorable recommendation, the Assistant Commissioner of the Large Taxpayers Service or Excise Taxpayers Service approves for large taxpayers, and Revenue District Officers approve for regular taxpayers.

Who is affected

• Regular and large taxpayers applying to adopt a CAS

Deadlines and effectivity

• Evaluation within 30 days from receipt of the application and complete documents
• Report of consumed and cancelled number ranges within 30 days from the close of the taxable year