3 QUICK AND EASY STEPS FOR BIR CAS APPLICATION
WHAT IS A COMPUTERIZED ACCOUNTING SYSTEM (CAS)?
As per Bureau of Internal Revenue (BIR) website, CAS refers to the integration of different component systems to produce computerized books of accounts and computer-generated accounting…
Published: February 28, 2019
THERE ARE 3 QUICK AND EASY STEPS IN APPLYING FOR YOUR BIR CAS APPLICATION!
Step 1. Choose the right Accounting Software for your Business. It will be less hassle if you will pick the right software for accounting. There are software companies in Philippines that provide a BIR Ready Accounting System that has complete BIR CAS Application Requirements.
Step 2. Complete your Documents. Prepare your Documentary Requirements and be ready with your BIR Form 1900 or Application for Authority to Adopt Computerized Accounting System (CAS) and/or Components Thereof/Loose-leaf Books of Accounts, 2002 Enhanced version and/or BIR Form 1907 (Application for Permit to Use Cash Register Machine/Point of Sale Machine, 2002 Enhanced Version). The requirements are as follows:
- RMC No. 5-2021 Annex A or Checklist of Documentary Requirements
- RMC No. 5-2021 Annex A-1 or Sworn Declaration by Tax Payers, if the Taxpayer is the Software provider. RMC No. 5-2021 Annex A-2 or Joint Sworn Declaration by Taxpayer and Software Provider, if the Software was outsourced by the taxpayer from another provider.
- RMC No. 5-2021 Annex A-3 or Summary of System Description, Commercial Invoice, Receipts, Document Description, Forms/Records and Report Specification
- RMC No. 5 -2021 Annex B or Standard Functional and Technical Requirements of the System
- RMC No. 5-2021 Annex C or the filled-up Acknowledgement Certificate
- Company Profile of the Tax Payer and Software Provider
- End User License Agreement
- System Backup Procedure and Disaster Recovery Process
- System Data Migration
- System Process Flow
- Sample Forms and Reports Generated by the System as declared in RMC Annex A-3
- System Audit Trail
HERE’S A GUIDE ON THE REQUIREMENTS NEEDED IN APPLYING FOR BIR CAS
Step 3. File your Documents. Make sure that all your Documentary and Technical Requirements are clear and complete. There are software companies in Philippines that gives BIR CAS Application assistance, from technical requirements application to face-to-face meetings with the BIR personnel. Application for permit to use CAS whether by the Head Office or branches, shall be filed at the RDO /LTAD I or II/LTDO having jurisdiction over the Head Office (HO) of the taxpayer, except in the following cases:
- The branch adopts CAS ahead of the HO – the application shall be filed by the Branch with the RDO having jurisdiction over the Branch with a certification that the HO does not use CAS. In the event that the HO later adopts the same CAS and the branch with the previously issued permit shall be linked to it, the permit to be issued to the HO shall include a new permit for the said Branch, which shall supersede the previously issued permit.
- The Branch adopts a different CAS from that of its HO – it shall apply for permit to adopt CAS at the BIR office having jurisdiction over the Branch.
The Permit for CAS shall be issued after a demonstration of the applied system has been evaluated and recommended for approval by the CSET.
Meanwhile, in case there will be System Enhancement/Modification on the Previously Approved CAS, the following documents must be submitted by the Head Office or branches, at RDO /LTAD I or II/LTDO having jurisdiction over the Head Office (HO) of the taxpayer.
Application For System Enhancement/Modification
- Photocopy of the previously issued Permit to Adopt CAS or Components Thereof; and
- Letter to the BIR detailing the enhancement/modification to be made on the previously approved CAS or Components Thereof
Moreover, the company must be aware that application for authority to use CAS must be filed before the system is used.
Now, once your BIR CAS Application has been filed, you’re now closer to jump-start your business as a BIR Compliant company! Good luck! Visit this link for more details about the BIR CAS Application and other BIR Compliant Requirements.
Source: BIR CAS Application and Requirements
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