BIR E-invoicing Deadline Extended to December 2026
Disclaimer: QNE Software Philippines, Inc. published this BIR E-invoicing Deadline Extended to December 2026 blog to inform taxpayers of the BIR’s latest update. This blog only serves to provide valuable information and thus QNE cannot be held liable for any error that readers may commit that will result in misinterpretation or other related causes. It can and will change anytime without prior notice in accordance with BIR.
MANILA – In a decisive action aimed at assisting businesses with the complex requirements of digital transformation, the Bureau of Internal Revenue (BIR) has officially extended the compliance period for its Electronic Invoicing System (EIS). This crucial decision grants selected taxpayers additional time to meet the requirements for issuing electronic invoices or receipts.
Implemented through Revenue Regulation No. 26-2025, the e-invoicing deadline has been moved from the initial target of March 2026 to December 31, 2026.
Former BIR Commissioner Romeo Lumagui Jr. explained the rationale behind this extension, noting that the primary objective is to grant businesses sufficient time (“sapat na oras”) to properly implement electronic invoicing. The Commissioner stressed the BIR’s desire to ensure that business systems are fully prepared (“handa ang kanilang mga systems”) before the system is fully enforced. The ultimate goal is to enable tax compliance that is faster, more accurate, and significantly more modern.
Acknowledging the challenges faced by the private sector, Former Commissioner Lumagui stated that the transition process requires considerable time, budget, and careful implementation. By extending the e-invoicing deadline, the BIR aims to provide taxpayers with adequate time for this transition (“sapat na panahon para sa transition”) without disrupting their regular business operations. The move recognizes that many businesses are actively engaged in upgrading or reconfiguring their existing accounting systems to align with the necessary e-invoicing standards.
The Official Scope: Taxpayers Covered by the BIR E-invoicing Mandate
The extension until December 31, 2026, applies specifically to various categories of taxpayers who are mandated to comply with the electronic invoicing requirements, as detailed in Revenue Regulation No. 26-2025.
The following taxpayers must comply with the electronic invoicing requirements (issuance of electronic invoices) by the extended e-invoicing deadline of December 31, 2026:
1. E-commerce and Internet Transactions
This group includes taxpayers involved in electronic commerce (e-commerce) or internet transactions. This requirement applies to those classified as Small, Medium, and Large Taxpayers. Micro enterprises are explicitly exempted from this requirement. Former Commissioner Lumagui specifically mentioned those in e-commerce or online-based businesses, excluding micro enterprises, as covered by the extension.
2. Large Taxpayers
This category covers taxpayers who fall under the jurisdiction of the BIR’s Large Taxpayers Service (LTS). However, the mandate specifies an exception: existing pilot users of the Electronic Invoicing System (EIS) are excluded from this extension.
3. Taxpayers Covered by Specific Legislation
The extension also covers taxpayers classified as Large Taxpayers under Republic Act No. 11976, known as the Ease of Paying Taxes Act, and those covered by Revenue Regulation (RR) No. 8-2024.
4. Users of Computerized Accounting Systems (CAS) and Software
Taxpayers utilizing the Computerized Accounting System (CAS) and Computerized Books of Accounts (CBA) are mandated to comply. This includes those who use these systems for accounting records, electronic invoicing, and other invoicing software.
5. Exporters of Goods and Services
Taxpayers engaged in the export of goods and services pursuant to Sections 106 and 108 of the Tax Code are covered. An exception applies to those falling under Section 3(A) of RR No. 11-2025.
6. Registered Business Enterprises (RBEs)
Registered Business Enterprises (RBEs) availing of Tax Incentives under Section 304(D) of the Tax Code, as amended, are required to transition to electronic invoicing. Similar to exporters, an exception applies to RBEs falling under Section 3(A) of RR No. 11-2025.
7. Users of Point-of-Sale (POS) Systems
Taxpayers who use Point-of-Sale (POS) systems must also comply with the BIR E-invoicing requirements.
8. Others as Required
Finally, the regulation includes “other taxpayers as may be required by the Commissioner”.
Once any covered taxpayer establishes a system capable of storing and processing the required data for transmission to the BIR, they will then be required to issue electronic invoices as prescribed by separate Revenue Regulations.
Guidance Over Enforcement: The BIR’s Digital Roadmap
Although the Tax Code outlines penalties for noncompliance with tax regulations, Former Commissioner Lumagui indicated that the BIR is currently focused on providing education and guidance rather than immediate enforcement. The bureau has proactively issued clear and simple guidelines to help and assist these businesses in reconfiguring their systems and successfully transitioning to BIR E-invoicing.
The expansion of the e-invoicing deadline is a critical component of the BIR’s overarching digital transformation roadmap. The Electronic Invoicing System (EIS) is designed to work in tandem with the Electronic Sales Reporting System (ESRS). The ESRS, which complements the EIS, is anticipated to become fully operational in the coming years. It is expected to act as a companion to the e-invoicing system, enabling “faster and more transparent reporting”.
The bureau’s grand vision, as highlighted by Former Commissioner Lumagui, is the full digitalization of all BIR operations by the year 2028. The successful implementation of the BIR E-invoicing system and the subsequent activation of the ESRS are vital steps toward achieving this modern tax administration environment. Once a covered taxpayer establishes the capability for storing and processing required data for transmission to the BIR, they will also be mandated to comply with the Electronic Sales Reporting System requirements.
Final Consideration: Utilizing the Extended Period
The extension of the e-invoicing deadline until December 31, 2026, provides a valuable opportunity for covered taxpayers to conduct thorough system upgrades and necessary training.
It is important to note that the Commissioner of Internal Revenue retains the authority to further extend the deadlines in the compliance period if deemed necessary, as stipulated in Section 3 of the Revenue Regulations. Nevertheless, businesses should prioritize utilizing this period to ensure readiness by the December 2026 deadline to align with the BIR E-invoicing mandate.
FAQs Section: Understanding the BIR E-invoicing Deadline
The compliance period for covered taxpayers to issue electronic invoices or receipts has been extended until December 31, 2026. The original deadline for compliance with the Electronic Invoicing System (EIS) was previously set for March 2026. This extension was implemented through Revenue Regulation No. 26-2025.
Yes, electronic invoicing is mandatory for select taxpayers required to issue electronic invoices or receipts. The extension applies to specific groups of taxpayers who must comply by the new December 31, 2026 deadline. These groups include large taxpayers (excluding existing EIS pilot users), those using computerized accounting systems (CAS), and those in e-commerce or online-based businesses (with micro enterprises being exempted).
The Tax Code provides penalties for noncompliance with tax regulations. However, the BIR is currently focused on providing education and guidance to businesses rather than immediate enforcement. The extension was granted because the BIR recognizes that businesses need adequate time, budget, and careful implementation to upgrade or reconfigure their systems.
The extension was implemented specifically to “give businesses enough time to properly implement electronic invoicing”. Commissioner Lumagui Jr. noted that the process requires “time, budget and careful implementation,” and the deadline was extended to allow for a transition period without disrupting business operations. The BIR wants to ensure that business systems are “ready” so that tax compliance becomes faster, more accurate, and more modern.
Revenue Regulation (RR) No. 26-2025 is the official regulation issued by the BIR that extends the compliance period for covered taxpayers regarding the issuance of electronic invoices. Specifically, it amends the transitory provisions of Revenue Regulation No. 11-2025.
