Do you already have a DTI or SEC Certificate, BIR Certificate of Registration (COR), Local Government Permits, “Ask for Receipt” Signage, stamped books of accounts, and booklets of printed official receipts? If so, congratulations! Your startup is now an official entity and is a credible business that can fully serve your customers.
However, many newbie entrepreneurs don’t know what to do after business registration. Are you one of those people who feel lost and don’t what to do after getting your COR and other pertinent requirements from government offices? If you are, this article is for you. Here are 5 practical guidelines that you might find helpful in making sure you’re following the right track for your startup’s stability and progress.
1. Display Appropriate Certificates
As a business owner you are required to display your DTI Certificate, BIR Certificate of Registration, Local Government Permits, and “Ask for Receipt” Signage at your Business Address. According to tax services in Manila, there are penalties for failing to comply with this requirement. If your business is based at home, you may keep these documents in a place where it will be easy for you to present them to any government agency in case they visit you.
Bear in mind that government offices regularly do spot checks to see if you are compliant. Besides, having these requirements on hand proves to clients that you are a credible and legitimate business. Furthermore, you must keep several copies of your business permits and certificates. Keep photocopies and digital copies of everything. You’ll have better accessibility. You might need them in case you lose your original copies or if you need to present the documents to your stakeholders.
2. Make Sure You Have Printed Official Receipts or Sales Invoices
According to accounting services in the Philippines, it is better if you always prepare a receipt whether or not your customer asks for it. So you won’t forget, train your staff to make it a habit to issue a receipt right after every transaction.
Receipts and sales invoices are important since they declare the sales transactions. Used receipts should be kept in your registered business address along with your books of accounts. You may eventually need to present these as supporting documents for tax deductions.
3. Keep Your Books of Accounts Up To Date
Your books of accounts will record all of your business transactions so tax and accounting services in the Philippines emphasize that you must be diligent in organizing these records. Maintaining the books of accounts is necessary for tax compliance. However, it is through these books that you will be able to know and assess the situation of your business. It will help you identify potential problems and nip them in the bad.
More importantly, with this data, you will be able to make wise business decisions and forecasts that could help with your business growth. That’s why you have to make sure you are using your books of accounts for recording. It should be filled out monthly to ensure that there are no unrecorded business transactions. These records will also help prove your due diligence in case you undergo an audit.
4. Do Not Be Late in Filing and Paying Your Taxes
Make sure that you will be able to file your tax returns on time to avoid penalties. If you cannot go to the RDO to file and pay your taxes, you are given the option to file your tax returns online. Even businesses that earn little are still required to file their tax returns. More so, for businesses that exceed the tax threshold.
Through eBIR, you can pay through a bank, an e-wallet, or using online tax filing platforms. If you have a difficult time filling up the forms, you can always ask for help from a professional or a back-office support services provider. Again, even if you do not have transactions, as long as you are registered with the BIR, you still need to file. As indicated in your COR, filing your taxes should be done with or without tax dues.
It is advisable to file and pay your taxes way before the deadline. In case you encounter technical problems, you will still have time to pay on time. You might even have to pay manually so you don’t have to pay penalties.
5. Understand and Stay Updated with New Regulatory Requirements
Ensure that you know and understand the regulatory requirements. You need to be aware that regulatory requirements can change over time. Develop the habit of checking social media pages or websites of regulatory agencies to see whether or not the regulatory requirement has been changed. This is for your own good so stay updated.