1. The big change: invoices replace official receipts
Under the EOPT Act and RR 11-2024, sellers of both goods and services — including freelancers and self-employed professionals — now issue invoices. The old distinction (sales invoice for goods, official receipt for services) is gone. Existing ORs/SIs could still be used up to their 5-year validity or until June 30, 2025 for unregistered ones; today, new issuances must follow the invoice rules.
2. Required contents of a compliant invoice
- Seller: registered name, TIN, and business address (or branch code)
- Buyer: name, and TIN/address when applicable (buyer TIN optional for non-VAT customers under EOPT)
- Document style: the word "INVOICE" prominently
- Serial number (continuous, per establishment/branch) and date of issue
- Per line: quantity, unit of measure, description, and unit price
- VAT status: VAT-registered sellers must show the 12% VAT amount (per item or in aggregate); non-VAT sellers must print "NON-VAT"; VAT-exempt sales say "VAT EXEMPT"
- Copies: original for the buyer; duplicate for the seller (that's your books)
Also standard practice: amount in words, and signature of the seller/authorized signatory.
3. VAT vs NON-VAT: which layout applies to you?
- Non-VAT / VAT-exempt — most freelancers (8% or below ₱3M gross): print "NON-VAT", charge no VAT. Percentage tax (3%), where applicable, is borne by the seller and typically priced in.
- VAT-registered (above ₱3M or voluntary): show "VAT-registered" and the 12% VAT — either prices are VAT-exclusive (VAT added on top) or VAT-inclusive (VAT carved out of the price). Both are allowed; the invoice must make the amount clear.
4. Do I need to register my invoices with the BIR?
Yes — invoice series generally need authority-to-issue (ATI) processing with your RDO for manually-issued invoices, and e-invoicing rules may apply to large taxpayers. This guide covers the document contents; for registration of your specific series, confirm with your RDO. Many freelancers issue computer-generated invoices from accredited formats — check current RDO practice.
5. Common 2026 mistakes that trigger notices
- Still issuing "OFFICIAL RECEIPT" for services (outdated post-EOPT)
- Missing "NON-VAT" label (non-VAT sellers)
- No buyer TIN where required, or no per-line quantity/unit/price detail
- Reusing serial numbers or skipping series after voiding one
6. Do it in 2 minutes
The InvoicePH generator bakes in everything above: VAT/NON-VAT modes, serial numbering, per-line details, amount in words, original/duplicate labels, and a print-ready PDF layout. Free — PRO (₱199 once) adds a sales book + saved clients.
Educational content, not legal or tax advice. Requirements can change — verify with your RDO or accountant.