19/05/2026
๐ข ๐ ๐๐๐ข๐ฅ ๐จ๐ฃ๐๐๐ง๐: ๐๐๐ฅ ๐๐๐จ๐ก๐๐๐๐ฆ โ๐๐๐ฆ๐ ๐ข๐ ๐๐๐ข๐ฆ๐๐ก๐ ๐๐จ๐ฆ๐๐ก๐๐ฆ๐ฆโ ๐๐จ๐๐๐๐๐๐ก๐๐ฆ! ๐ขโจ
Great news for entrepreneurs and business owners! Following the implementation of the Ease of Paying Taxes Act (RA 11976), the Bureau of Internal Revenue (BIR) has just issued Revenue Memorandum Circular (RMC) No. 47-2026 to completely simplify tax registration cancellation and business closure.
Here is what you need to know about this massive reform:
๐ ๐ง๐ฎx ๐๐น๐ฒ๐ฎ๐ฟ๐ฎ๐ป๐ฐ๐ฒ ๐ถ๐ป ๐ฎ๐ ๐ณ๐ฎ๐๐ ๐ฎ๐ ๐ฏ ๐๐ฎ๐๐!
โ๏ธ Micro taxpayers with no open cases or outstanding liabilities will now receive their tax clearance within three (3) working days from the submission of complete documents.
๐ ๐ฆ๐ถ๐บ๐ฝ๐น๐ถ๐ณ๐ถ๐ฒ๐ฑ ๐๐ฝ๐ฝ๐น๐ถ๐ฐ๐ฎ๐๐ถ๐ผ๐ป ๐ฃ๐ฟ๐ผ๐ฐ๐ฒ๐๐
โ๏ธ Applications can now be submitted either manually or electronically through your respective Revenue District Office (RDO).
โ๏ธ Documentary requirements have been streamlined. Aside from the basic application and original BIR registration documents, you only need to submit:
1.A list of ending inventory of goods/supplies (and capital goods for VAT taxpayers).
2.Unused invoices, supplementary documents, and unutilized accounting forms.
๐ ๐ก๐ผ ๐ ๐ผ๐ฟ๐ฒ ๐๐ฐ๐ฐ๐๐บ๐๐น๐ฎ๐๐ถ๐ป๐ด ๐ฃ๐ฒ๐ป๐ฎ๐น๐๐ถ๐ฒ๐
โ๏ธ Penalties for non-filing will automatically stop accruing once complete documentary requirements are submitted.
โ๏ธ Registered form types will be immediately shifted to a "deregistered" status to prevent open cases from piling up.
๐ ๐๐๐ฑ๐ถ๐ ๐๐
๐ฒ๐บ๐ฝ๐๐ถ๐ผ๐ป๐ ๐ณ๐ผ๐ฟ ๐ ๐ถ๐ฐ๐ฟ๐ผ ๐๐๐๐ถ๐ป๐ฒ๐๐๐ฒ๐
โ๏ธ Micro taxpayers are now exempt from mandatory audits for closure or cancellation of business registration
๐๐๐ฅ ๐๐๐จ๐ก๐๐๐๐ฆ โ๐๐๐ฆ๐ ๐ข๐ ๐๐๐ข๐ฆ๐๐ก๐ ๐๐จ๐ฆ๐๐ก๐๐ฆ๐ฆโ ๐๐จ๐๐๐๐๐๐ก๐๐ฆ ๐๐ข๐ฅ ๐ง๐๐ซ ๐ฅ๐๐๐๐ฆ๐ง๐ฅ๐๐ง๐๐ข๐ก ๐๐๐ก๐๐๐๐๐๐ง๐๐ข๐ก; ๐ง๐๐ซ ๐๐๐๐๐ฅ๐๐ก๐๐ ๐ฅ๐๐๐๐๐ฆ๐๐ ๐๐ฆ ๐๐๐ฆ๐ง ๐๐ฆ ๐ง๐๐ฅ๐๐ ๐๐๐ฌ๐ฆ
The Bureau of Internal Revenue (BIR) issued Revenue Memorandum Circular (RMC) No. 47-2026 on May 19, 2026, prescribing new guidelines to simplify the process for closing businesses and cancelling tax registration, as part of the implementation of Republic Act No. 11976, otherwise known as the โEase of Paying Taxes Act.โ
โThis is our โEase of Closing Businessโ reform,โ Commissioner Charlito Martin R. Mendoza said. โIn line with President Ferdinand R. Marcos Jr.โs directive to make government services faster, better, and more responsive, and Finance Secretary Frederick D. Goโs push to make tax administration more investor-friendly and business-friendly, the BIR is making it easier for taxpayers who have already ceased operations to properly close their business and cancel their registration.โ
โFrom improving the ease of doing business and the ease of paying taxes, this reform completes the BIRโs support for businesses through every stage of the business life cycle. If we make it easier to start and operate a business, then the government must also make it easier to properly close BIR registration once operations have already ceased,โ he added.
Under RMC No. 47-2026, taxpayers who have already ceased operations may now apply for the closure or cancellation of their registration, either manually or electronically, through the Revenue District Office where their head office or branch is registered.
The Circular simplifies and standardizes documentary requirements. Together with the application form and the surrender of original BIR registration documents and permits previously issued to the business, taxpayers will only be required to submit two other document sets for closure: the list of ending inventory of goods and supplies, including capital goods for VAT-registered taxpayers, and the unused invoices, supplementary documents, and other unutilized accounting forms, together with their inventory.
Under the new guidelines, penalties for non-filing of tax returns shall no longer accrue once the taxpayer submits the complete documentary requirements for the closure or cancellation of registration. To prevent the further accumulation of open cases, the taxpayerโs registered form types shall likewise be placed under โderegisteredโ status upon submission of the complete requirements. Filing an application for the closure or cancellation of registration, however, does not preclude the Bureau from conducting an audit to determine any outstanding tax liabilities.
In addition, micro taxpayers shall not be subject to mandatory audit for closure and/or cancellation of business registration. Hence, tax clearances will be issued within three (3) working days from submission of complete documentary requirements for those with no open cases or outstanding liabilities. For micro taxpayers with open cases, tax clearance will be issued within three (3) working days from the submission of the complete documentary requirements and the payment of outstanding liabilities, including penalties.
Commissioner Mendoza encouraged taxpayers who have already ceased operations to avail themselves of the streamlined process to avoid the continued accumulation of penalties and to properly update their registration records with the Bureau.
Read the full RMC here:https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2047-2026.pdf
