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BIR Prescribed Policies, Guidelines, and Procedures in the Application for Revalidation of Tax Credit Certificates

The Bureau of Internal Revenue (“BIR”) issued Revenue Memorandum Order (“RMO”) No. 26-2022 to prescribe the policies and procedures in the processing, verification, and approval of request for revalidation of Tax Credit Certificates (“TCC”). The RMO also seeks to provide the proper treatment of expired TCCs identified by the concerned office for write-off in the National Collection Book and cancellation from the BIR’s Integrated System Tax Credit and Refund.

Documentary Requirements of the Application for Revalidation of TCC:

  • Letter request for TCC revalidation of the taxpayer
  • Original copy of the TCC for revalidation
  • Original copy of the Secretary’s Certificate or Board Resolution appointing the company’s authorized signatory/ies and representative/s
  • Authorization Letter of the employee/representative duly signed by the company signatory
  • Copy of two (2) valid government issued identification cards (“IDs”) and company IDs of both the company signatory and authorized representative, if applicable

Policies

All applications for TCC revalidation, together with the original TCC and listed documentary requirements, shall be filed with the Miscellaneous Operations Monitoring Division (“MOMD”) at the National Office which shall be done prior to the expiration of the validity period of the original TCC. The revalidation shall be accomplished through the issuance of a new TCC, reflecting its unutilized amount or creditable balance. It must be noted however, that no revalidated TCC shall be issued unless the concerned offices have certified that the taxpayer-TCC holder has no outstanding liability.

The MOMD will request the concerned offices for certifications needed in the processing of TCC revalidation as follows;

Name of Certification

Concerned Issuing Offices

Certification on the existence of Outstanding Tax Liability

Accounts Receivable Division (ARMD), Large Taxpayer Collection Enforcement Division (LTCED), Large Taxpayer Division (LTD) Cebu and Davao, Revenue District Office (RDO) and Collection Division of the concerned Revenue Region

Certification on the Existence or Status Pending Legal or Judicial Resolution

Appellate Division, Litigation Division, Prosecution Division and/or Regional Legal Division

Certification on TCC Utilization

LTCED, LTD Cebu and Davao, All RDOs under Revenue Region No. 8A and B, Makati

Certification on whether or not the TCC has Record of Cash Conversion

Accounting Division

Certification on whether or not the TCC is included in the list of cancelled or lost TCCs

Accountable Forms Division and/or Administrative and Human Resource Management Division

Further, the RMO also provides that the issued TCCs which remained unutilized by the taxpayer after five (5) years from the date of issue, shall be considered invalid, unless an application for revalidation has been filed before the end of the fifth year.
For a copy of the issuance and its annexes, please refer to this link.