Tax Digest
Volume 10,
Series 60
Book Keeping of the Government, Clarified

Is the National Government Agencies (NGAs), Government Agencies and Instrumentalities (GAIs) and Government-Owned and Controlled Corporations (GOCCs) required to register their books and keeping the same? Yes, as the term “corporation” as defined in the Corporation Code of the Philippines also covers entities of the governments that are created under special laws or charters. The tax code under Section 232 requires corporations to keep a journal and a ledger or their equivalents. However, the BIR qualifies the use of computerized accounting system, it was held that those who are using the Commission on Audit (COA)-developed Electronic Government Accounting System (eNGAS) are not required to apply for its Permit to Use (PTU), while for those who use other than eNGAS are required to secure a PTU. Furthermore, both system are required to submit in electronic format of its books of accounts.

Finally, the place of submission will be on the RDO having jurisdiction over the principal place of business or to the LTAD, ELRTD, LTD-Cebu or LTD-Davao where the head office is duly registered within 30 days from the close of each taxable year or within 30 days upon the termination of its use.

Revenue Memorandum Circular No. 10-2017
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