We provide a BIR Accredited Accounting Software
The Philippines’ Bureau of Internal Revenue through Revenue Regulation No. 09-2009 defines the requirements, obligations and responsibilities of Philippine taxpayers. The regulation also refers to the use of the Computerized Accounting System – BIR Accounting System – for record-keeping and maintenance and for the book of accounts.
Compliance with the reporting requirements of the revenue body, in this case the BIR, is supposed to be built into the accounting system that a company considers putting in place.
In a business, paying taxes and recording its financial accounts in a manner prescribed by tax authorities and regulators are matters of utmost importance. No organization exists in a vacuum and for a company to gain legitimacy in the eyes of its existing and potential customers, it must be compliant to tax policies of the internal revenue body. In the case of the Philippines, this is the Bureau of Internal Revenue.
Manually keeping abreast of all BIR policies however may be taxing and near impossible especially if a company’s manpower pool is small or does not have that level of expertise and familiarity with the BIR.
The Philippine government’s renewed drive to prevent tax evasion (by catching evaders) and increase the efficiency of its revenue collection also complicates this already-challenging task.
It is thus highly desirable for an accounting system to be BIR-compliant. This is a value-added service that not only helps the organization in its financial aspects but moreover enables it to adapt to the regulatory environment.
The BIR, through its Revenue Regulation No. 09-2009, has defined the requirements, obligations and responsibilities of Philippine taxpayers. This pertains to the use of electronic systems or the Computerized Accounting System (CAS) for record-keeping, maintenance of records and books of accounts.
Specifically, this revenue regulation is relevant for large taxpayers, which since January 2010 have been required by the BIR to maintain a Computerized Accounting System. Compliance with BIR accounting standards is shown through the standard forms and reports used by the company.
All of these standard forms and reports are provided by the SAP System. Among the standard forms offered by SAP Business One is the purchase order, goods receipt PO, goods returns, A/P debit memo, A/P voucher, sales quotation, sales order, delivery, returns, A/R credit memo, AR invoice, incoming payment, goods issued and inventory transfer.
Among the standard reports provided in the software are the balance sheet, trial balance, profit and loss statement, cash flow, general ledger report, aging report, transaction journal report, document journal, cash flow reference, withholding tax report, VAT reconciliation report, check register report, item list, last prices report, inventory posting list, inventory status report, inventory valuation simulation report, serial numbers report, batch numbers report, open items list, and order recommendation,
SAP and its partner Fasttrack Solutions, Inc. Can help your company become BIR-ready through a software that eliminates the dangers and hassles in financial reporting, freeing up the time and energy of your key decision makers and personnel, and enabling them to focus on enhancing competitiveness, profitability and growth.
All business decisions have an impact on the profit and loss statement and consequently on the amount of taxes that the business has to pay. There is also the income tax that is withheld from the employees even before they receive their salaries.
Because of these, accounting system compliant with BIR rules – what is knows more commonly as BIR Accounting System — is not just desirable, but necessary.
The vendor of the accounting software must have the ability to tweak the software into a form that will enable the company to be better attuned to the requirements of the tax authority.
Of course, BIR Accounting Software may just be designed from scratch, but this would prove counter-productive because it would mean that the in-house team should be always on the lookout for updates on or new regulations that the BIR would issue. This is difficult and, in the case of those who might miss the updates, potentially disastrous.
What would be ideal then is to have a BIR Accounting Software from an established, trustworthy and complacent provider such that business owners would no longer have to worry about not being able to comply with BIR standards. Inconveniences ranging from counter-productive discrepancies to run-ins with and penalties from the tax authority will be avoided.
Instead, with a BIR Accounting Software firmly in place, managers and executives can just continue doing what they have to do for the business – making it profitable and viable for growth.
Computerized Accounting System BIR
In fact, the BIR spelled it out for large taxpayers in January 2010. They have to have in place a computerized accounting system. Thus, a computerized accounting system BIR is not just a matter of choice but compliance.
The order is part of the bigger effort to professionalize business practices in the Philippines such that when a company reports a gain, then that is not just a financial maneuver but an actual gain.
There are many providers of Computerized Accounting System BIR in the Philippines, but some are better than others. This is because track record and a known expertise will always set apart the better providers than the rest of the pack.
BIR Compliant Accounting Software
One may ask – is it worth it to purchase a BIR Compliant Accounting Software given its cost and consequent outlays, especially pertaining to training needs for the staff and hardware upgrade to maximize its benefits?
The answer is an unequivocal yes.
The best argument for obtaining a BIR-compliant accounting system is the hassle that it saves business owners and managers from. With such a product, they can proceed to doing business, simply, while all other things are taken care of.