The need for a BIR Compliant Accounting System
How do you make sure your accounting software is BIR-ready? It’s not often discussed, but in any business anywhere in the world, the payment of taxes and the recording of financial accounts according to a prescribed manner is a vital aspect of financial operations. A business has the obligation to record its financial performance in a manner acceptable to that country’s internal revenue body. Thus, the local accounting software must have that value-added service – enable the company to be compliant with existing regulations.
The Philippine business environment is no exception. The Bureau of Internal Revenue, through its BIR Revenue Regulation No. 09-2009, has defined the requirements, obligations and responsibilities of Philippine taxpayers. This pertains to the use of electronic systems or the Computerized Accounting System (CAS) for record-keeping, maintenance of records and books of accounts. This RR is specifically relevant for large taxpayers, which since January 2010 have been required by the BIR to maintain a Computerized Accounting System. Any company must comply with BIR accounting standards. It follows that all the systems it procures must also be BIR-certified.
A good corporate citizen has to abide by the laws – and the BIR regulation specifically on large taxpayers is something one should not miss. A good corporate citizen must also be BIR-ready. The regulation prescribes the correct ways to account for the revenues and expenses, and ultimately the bottom line of any company. Philippine accounting software ultimately must help companies realize this objective.
If a company were to design such a software from scratch, it would be tedious, time consuming and expensive given that keeping abreast of BIR accounting regulations would not be in the expertise of a company, Thus, it would help immensely to simply rely on a third party, naturally the accounting system provider, to make sure that the system is perfectly in tune with what the BIR wants. A BIR-ready accounting software would thus eliminate all unnecessary hassles that comes with making sense of a company’s financial information.
NetSuite is one company that provides this kind of value added service – that of being BIR-ready. The company will not have to do anything extra because the requirements of the BIR are already built into the software. The company will also not have to worry about missing out on any new rules or being penalized for non-compliance. What NetSuite offers is security that the accounting process undertaken by the company using its BIR-certified product is accurate and compliant.
|To know more about Netsuite Software Functionalities, Pricing and Core Features. Call Us Now or Request for a FREE Demo!|