RMO No. 37-2019: Amends the policies, guidelines and procedures on the registration of employees earning purely compensation income, transfer of registration of employees, update of registration of information and issuance of TIN card

Summary

RMO No. 37-2019 amends the policies and procedures on registration of employees earning purely compensation income, transfer of registration, update of registration information and issuance of the TIN card.

Key points

1. New employees without a TIN. They are registered at the RDO where the employer’s Head Office or Branch is located. The employee accomplishes BIR Form No. 1902 and submits it to the employer, who secures the TIN through the eRegistration (eREG) System within ten (10) days from the date of employment, with manual application at the RDO only when eREG is unavailable or cannot register the person.
2. Change of employer or branch. The employee’s registration is transferred to the RDO covering the employee’s residence, not the new employer’s RDO. The employee submits BIR Form No. 1905 to the previous RDO, which executes the transfer within twenty-four (24) hours from receipt.
3. Employer moving to a new RDO. Active employees whose registration is with the employer’s RDO are carried over to the new RDO, except those whose residence and the employer’s old business address are under the same old RDO. The employer has them accomplish BIR Form No. 1905 and submits the forms and a list to the old RDO, excluding employees separated before the transfer.
4. TIN card. Employees apply at their RDO or local (regular) RDO, and no application goes to the LTAD, ELTRD, LTD-Cebu or LTD-Davao. The first request is free and a replacement for a lost or damaged card is charged P100.00, and the RDO may set a 1:00 PM cut-off for applications, while only the employee (or an authorized representative with a Special Power of Attorney) requests and receives the card, with one valid government-issued ID.
5. Penalties. Employers required to use eREG who send new employees to RDOs with photocopied eREG messages pay P1,000.00 per employee. eREG users who supply erroneous or invalid information pay P1,000.00 for every instance, not to exceed P25,000.00.
6. Existing and pending records. Records of existing employees registered with their employer’s RDO stay there unless the employee moves to a new employer under a different RDO. Pending applications received before the effectivity of the Order are still processed.

Who is affected

• Employees earning purely compensation income
• Employers of such employees
• Employers required to use the eREG System

Deadlines and effectivity

• TIN secured through eREG within ten (10) days from date of employment
• Transfer of registration executed within twenty-four (24) hours from receipt of BIR Form No. 1905
• TIN Card application cut-off until 1:00 PM

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.