Taxpayer Identification Number  

Definition

A number assigned to companies operating in the Philippines after they have registered with the Bureau of Internal Revenue (BIR).

Use

Your own TIN has to be printed on most business documents issued by your company, such as official receipts or the value-added tax (VAT) reports.

You maintain your customers' and vendors' TINs – required on official receipts, VAT reports, and withholding tax reports – in their master records. In the Tax Number 1 field, enter the TIN in the format 999-999-999-999V for customers and vendors subject to VAT, or 999-999-999-999N for customers and vendors not subject to VAT.

The last character in the TIN, V or N, determines whether the transaction is subject to VAT, and it is printed accordingly on the official receipt. However, in the transaction, you can overwrite this by specifying a VAT or non-VAT tax code.

You maintain your own company's TIN in Customizing for Financial Accounting (FI), under Financial Accounting Global Settings ® Company Code ® Enter Global Parameters. Enter the TIN in the ID number EXTRASTAT field under Additional details.

Business Places

If you work with business places, then each of your business places is assigned a taxpayer identification number (TIN). When you create your business places in Customizing, you enter its TIN in the Tax Number 1 field, on the Details screen. Note that you must also create a business place for your head office, and you enter the same TIN as you enter in your FI global settings (see above).

Head office TIN: 123-456-789-000V; business place TIN: 123-456-789-012V

In most cases, the head office is identified by 000 in the last three digits of the TIN. The business place TIN typically has the same first nine digits as that of the head office, with the last three identifying its area – in this case, 012.