Bloggers, Vloggers, Film makers, or anyone earning from digital ads will now be required by the Bureau of Internal Revenue (BIR) to register.
BIR has released the Revenue Memorandum 60-2020, requiring those who are conducting businesses through the use of any electronic platforms, media, and other digital means to register to the BIR.
BIR Deputy Commissioner for Operations Arnel Guballa identified the digital merchants who are required to register:
- E-Commerce platform providers (such as Shopee and Lazada)
- Internet retailers of consumer goods
- Providers of digital membership/subscription services
- Digital transaction through the use of electronic platforms and media
- Online blogging, vloggers, content creators, film makers, earning from advertising gained from their online channels
- Ride-hailing services for food, transportation, delivery, or merchandise
The taxation for bloggers, content creators, and other professionals earning through digital ads is similar for the online merchants. However, to those who are earning below P250,000 a year will be exempted from paying taxes, given that they file their annual Income Tax Returns.
Highlights of RMC No. 60-2020:
All persons doing business and earning income in any manner, specially those into digital transactions should be compliant with the tax code:
- Should be registered with the BIR
- Should issue proper receipts/invoices
- Should keep books of accounts
- Should file and pay tax returns on time
If you register before July 31, 2020, there will be no penalty imposed for late registration and late filing for past transaction
ALSO READ: Basic guidelines on BIR Registration
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