The Bureau of Internal Revenue (BIR) extended its online registration period for non-resident digital service providers (NRDSPs) until 1 July.

BIR stressed it will continue to impose tax obligations on NRDSPs pending their completion of the online registration. This also applies to NRDSPs that have yet to update their tax classification to value-added tax or VAT-registered businesses.

Among so-called NRDSPs include Netflix, Google, Amazon, and Spotify, among others. The policy also covers e-commerce platforms like Temu, AliExpress and Shein.

In its Revenue Memorandum Circular (RMC) 58-2025, the government agency stated that it has extended the deadline for such registration, as it is still completing the integration of VAT into the Digital Services Portal and the Online Registration and Update System.

“Additionally, buyers or customers who are engaged in business remain liable to file the appropriate remittance return, and to withhold and remit the VAT due on their purchase of digital services within the period prescribed under the National Internal Revenue Code of 1997, as amended, and in accordance with the relevant rules and regulations issued by the Bureau,” BIR said.

Online traders must

pay tax

In October last year, President Ferdinand Marcos Jr. signed into law Republic Act 12023, also known as the Value-Added Tax on Digital Services, to streamline the government’s 12 percent VAT collection not only from local digital service providers (DSPs) but also from foreign firms.