Internal Revenue Commissioner Kim Jacinto-Henares has ordered all revenue district offices (RDOs) and units under the Large Taxpayer Service (LTS) to stop issuing provisional permits to use (PTUs) cash-registers, point-of-sale or other sales machines because these temporary permits were found prone to abuse by the taxpaying public.
“This circular is hereby issued to implement strict nonissuance of provisional PTUs to prospective/new cash-register machine/point-of-sale machine/other sales machines/receipting software users effective immediately,” Revenue Memorandum Circular 30-2015 clearly stated.
“Hence, all RDOs shall no longer accept/approve applications for provisional PTUs, until such time the Electronic Accreditation and Registration system shall have been modified accordingly,” the circular said.
Henares issued the circular, after reports that the three-month validity period of the provisional permits are being abused, and that a significant number of these provisional PTUs eventually failed to be converted into final PTUs.
To remedy the situation, Henares ordered all RDOs and offices under the LTS to ensure that all existing provisional PTUs must be converted to a final PTU on or before July 31, otherwise, such provisional PTUs shall be considered revoked.
Henares also imposed a five-year effectivity period for all existing final PTUs, including those provisional PTUs that will be converted into final PTUs before the July 31 deadline.
“Further, all existing final PTUs, including those provisional PTUs that will be converted to final PTUs on or before July 31, 2015, shall have a validity period of five years effective, August 1, 2015,” the circular said.
“All new applications for accreditation of machine/software of suppliers/distributors/dealers/vendors shall be processed at the Bureau of Internal Revenue-National Office level only and shall have a validity period of five years upon registration and approval of the corresponding PTU,” the circular added.