BIR Removes Mayor’s Permit as a Mandatory Requirement for Business Registration
The Bureau of Internal Revenue (BIR) released Revenue Memorandum Circular (RMC) No. 57-2020 removing Mayor’s Permit* (MP) as one of the mandatory requirements for registering a business with the agency. The removal is part of the streamlined registration requirements and revised documentary requirements checklist to further ease doing business in the Philippines.
BIR has indicated their policy updates, revisions on the documentary requirements checklist, and other applications through Annexes A1-A11.
*The Mayor’s Permit is still a requirement for full business registration in the Philippines. It is only removed as a prerequisite for registering with BIR. As such, business owners can register their business with BIR while obtaining their Mayor’s Permit from their Local Government Unit (LGU) at the same time.
Only complete business registration applications and requests shall be processed by the BIR. Any deficient applications or requests will not push through, pursuant to Rule VII, Section 2(b) of the Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 11032, otherwise known as the “Ease of Doing Business and Efficient Government Delivery Act of 2018”.