Hello! Today I will be discussing about updating your Tax Identification Number (TIN) registration using Bureau of Internal Revenue (BIR) Form 1901 and applying for a Certificate of Registration as well.
I was recently “engaged” as a Court Decongestion Officer (CDO). The correct term, according to the BIR, is “engaged” because independent contractors are not employed. Per our contract, CDOs are independent contractors since we are hired to provide “professional” services to the court.
As a requirement, we were required to submit a Certificate of Registration from the BIR. I searched the internet but I had difficulty finding guides on how to obtain a Certificate of Registration. I learned that most workers hired on job order or contract of service are required to submit a Certificate of Registration so I decided to share what I did to obtain a Certificate of Registration.
First step: Update your TIN registration
I applied for a TIN ID before to use as a government ID before. I used the BIR Form 1904 then. Thankfully, a friend from BIR told me that I need to update my registration or else I will not be subject to tax. To update your TIN registration, these are the following steps:
1. Prepare and bring the following documents for verification purposes:
-PSA Birth Certificate (bring a photocopy and the original for verification)
-One or two valid government IDs bearing your date of birth, address, picture, and signature
-Contract of Employment/Certificate of Employment/Contract of Engagement/Certificate of Engagement
-In some BIR branches, they require a Barangay Certification that you are a resident of the barangay (this is important in order to determine which Revenue District Office (RDO) has jurisdiction over you). If you are applying for the first time, this is also a requirement.
-In some BIR branches, they require Professional Tax Receipt (PTR)/Occupational Tax Receipt (OTR) from the City/Municipality/Province Treasury. According to a fellow CDO, she was required to present a PTR by the BIR. However, the job of a CDO is not listed as a professional occupation, so they taxed her based on her teacher’s license instead. This was inappropriate, I thought, because she was being taxed for a profession that isn’t her work. Anyway, I was not required to submit a PTR/OTR.
2. Download BIR Form 1901. You can download the form here https://www.bir.gov.ph/images/bir_files/taxpayers_service_programs_and_monitoring_1/1901%20Jan%202018%20ENCS%20V4_03.04.2019.pdf. They also have available forms in the BIR office, but I suggest you print and fill out beforehand so that you can process faster. You need to fill out two copies of Form 1901.
3. Download Form 0605. The link to the form is https://www.bir.gov.ph/images/bir_files/old_files/pdf/1210605.pdf. Again, they have this form in the BIR office. Fill out three copies. Don’t stress on answering all fields in the form. I just answered fields 2, 9, 12, 13, 15, 16, and 22A.
4. Go the BIR branch in city/municipality/province of your place of work. In observance of safety and hygiene protocols, register your information in the log book, sanitize/wash your hands, and subject yourself to temperature check.
5. Proceed to the Assistance Desk to get a queue slip. When your number is called, proceed to the counter indicated in your queue slip. The BIR personnel will check your Form 1901 and Form 0605 and ask the purpose for your application. Then, he/she will note on the Form 0605 the amount you need to pay. Registration Fee is Php 500. You will need to pay this in any of the accredited banks of BIR. The list of accredited banks is usually posted at the entrance.
6. Go to the bank and tell the security guard that you are paying for BIR Registration Fee or show them your Form 0605. They will give you a form to fill out. In some banks, they will only allow payment if you have an account with the bank. So, ask the security guard first to avoid wasting time.
7. The bank teller will give you one copy of Form 0605 with the receipt attached. They will keep the other two Form 0605 copies.
8. Go to the BIR office again and present your Form 1901, paid Form 0605, and all other documents to the Assistance Desk. She/He will give you another queue slip. Then, when your number is called, submit all the documents to the assigned counter. The BIR personnel will ask for information about your registration. Tell him/her that you are also requesting for a Certificate of Registration as a required by your employer.
Second Step: Certificate of Registration
Note that a Certificate of Registration is usually issued for those who are self-employed, practicing professionals, and those who are engaged in business. So if the BIR inquires why you need it, just tell them it’s a requirement for work. In the case of independent contractors, we are actually engaged for our professional services so it’s as if we are practicing professionals.
1. In the same counter where you are asked to submit your Form 1901 and other requirements, tell the BIR personnel that you are requesting a Certificate of Registration. The Certificate of Registration costs Php 100 and the Documentary Stamp Tax costs Php 30 (each documentary stamp costs Php 15 and you will need two).
2. The BIR personnel will give you back your documents. Go to the Client Support Section and submit your documents and documentary stamps. They will issue the Certificate of Registration (Form 2303) after a few minutes or depending on how many clients are waiting in line.
That’s it! It took me one day to process my registration update and certificate of registration because of the bank payment. I had to find a bank that allowed me to pay the registration fee. It took a while to pay also because of the longs lines in banks.