BIR requires separate withholding tax entry on invoices

The Bureau of Internal Revenue (BIR) has issued a regulation requiring invoices to show creditable withholding tax as a separate item whenever it applies to a transaction.

The change aims to give both parties a clearer record of deductions, making amounts withheld easier to check and reducing confusion over tax compliance.

Revenue Regulations No. 6-2026 was signed by Finance Secretary Frederick D. Go and published by the BIR on Oct. 1, 2026, according to the bureau.

BIR Commissioner Charlito Martin R. Mendoza said the requirement would make the withholding applied to a transaction more transparent.

“Taxpayers should be able to see what is being withheld from a transaction and how that amount is reflected in the invoice. Proper documentation reduces confusion, makes withholding easier to verify, and helps both parties comply correctly,” Commissioner Mendoza said.

Taxpayers may continue using unused or unissued invoices existing on the regulation’s effectivity date until those stocks are fully consumed, provided the phrase “Less: Withholding Tax” is conspicuously stamped on the face of each invoice.

Newly printed invoices must carry the same phrase before use.

The transition provision allows taxpayers to use their remaining invoice stocks while complying with the additional disclosure requirement.

RR No. 6-2026 amends Section 6(B) of RR No. 7-2024, which sets out mandatory invoice information, pursuant to Republic Act No. 11976, or the Ease of Paying Taxes Act.

The amendment adds the applicable creditable withholding tax amount as item 22 in the invoice requirements.

Under Section 6, the regulation takes effect 15 days after publication in the Official Gazette or on the BIR’s official website, whichever comes first.