Sen. Bam Aquino called on the Bureau of Internal Revenue (BIR) to temporarily halt a mandate requiring online merchants, freelancers and content creators to display a digital registration seal badge ahead of the Oct. 31 deadline.
Aquino urged the tax agency to conduct in-person public consultations to resolve widespread technical difficulties, administrative costs and security concerns reported by small digital entrepreneurs.
The requirement, issued under Revenue Memorandum Circular No. 38-2026, directs e-commerce sellers, vloggers, influencers and digital service providers to post a digital seal containing an official QR code on their storefronts and social media profiles. The badge serves as verifiable proof of tax compliance.
“Our appeal to the BIR: postpone the Registration Seal Badge requirement first,” Aquino said in a statement. “Let us first listen to the grievances of online sellers and content creators.”
Aquino added that state agencies should support individuals attempting to earn a living through digital commerce rather than imposing additional regulatory burdens.
While generating the digital badge is free, taxpayers updating their records through the bureau’s Online Registration and Update System must pay a 30-peso documentary stamp tax. Under Revenue Regulations No. 15-2024, failure to display the seal or a Certificate of Registration on commercial platforms carries an administrative compromise penalty of 1,000 pesos per violation. (Read More: Crypto Regulation in the Philippines: An Introductory Guide)
The BIR previously defended the mandate as a consumer protection and privacy measure. BIR Commissioner Charlito Martin Mendoza stated that the badge replaces the public posting of full registration certificates, which previously exposed taxpayers’ home addresses and Taxpayer Identification Numbers.
The bureau issued Revenue Memorandum Circular No. 99-2026 earlier this year to extend the compliance deadline to Oct. 31, waiving non-display penalties during the grace period.
The appeal aligns with Aquino’s broader legislative push for digital governance and public accountability. Aquino is the principal author of the proposed Citizen Access to Digital and Electronic National Accounts (CADENA) Act, also known as the Blockchain the Budget Bill, which seeks to put national budget allocations and government expenditures on a tamper-proof blockchain ledger. (Read More: Bam Aquino’s CADENA Bill Receives Full Support of Senators)
This article is published on BitPinas: Aquino Urges Tax Bureau to Suspend Registration Seal Mandate for Online Merchants
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