Philippines e-Invoicing: Tax Deductions and Compliance Under the CREATE MORE Act

• The Philippines is advancing digital tax compliance with the CREATE MORE Act, offering tax deductions for e-Invoicing setup costs.
• The Act accelerates the e-Invoicing mandate, removing the five-year timeline set by the TRAIN Law.
• Tax deductions are available for expenses related to e-Invoicing systems, including software and training.
• Micro and small taxpayers receive a 100 percent deduction on setup costs.
• Medium and large taxpayers receive a 50 percent deduction on these costs.
• Voluntary adopters are also eligible for deductions.
• Eligible costs include software for digital invoices, digital signature tools, and EIS integration.
• Large taxpayers, e-commerce businesses, exporters, and voluntary adopters can claim deductions.
• The March 2026 deadline requires full adoption of e-Invoicing by large taxpayers, e-commerce businesses, and exporters.
• Businesses must issue e-invoices in specified formats, report sales to EIS within three days, and register with the EIS Certification Portal.
• Failure to comply may lead to penalties.
• To claim deductions, track expenses, use a compliant system, file deductions in 2025 tax returns, and keep records for audits.

Source: taxilla.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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