BIR mandates the use of updated CETI templates given in FIRB advisory
The BIR announces updated templates from FIRB and mandates their use to all IPAs starting March 1, 2023
A Certificate of Entitlement to Tax Incentives (CETI) is needed to ensure that all tax incentives are received by a business, it is a beneficial document that helps increase the profits of your establishment. Just last month, updated CETI templates have been implemented and mandated for use in the Bureau of Internal Revenue’s (BIR) Revenue Memorandum Circular (RMC) 17-2023, issued on February 6, 2023.
The RMC announced the publication of Fiscal Incentives Review Board (FIRB) Advisory No. 002-2023. It explains the annexes on the availability of the templates for CETI covering the Projects registered under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act, the Projects registered before the CREATE Act’s effectivity, and the Projects registered under the Renewable Energy Act of 2008.
The advisory also explains that the availability of the templates depends on the classification of projects, these consist of the following:
Classification of Projects | Annex | Updates |
1. Projects registered under Republic Act (RA) No. 11534 or the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act (“CREATE Projects”) | Annex “A” | No Change |
2. Projects registered before the effectivity of the CREATE Act (“Pre-CREATE Projects”) | Annex “B” | Minor Changes |
3. Projects registered under RA No. 9513 or the Renewable Energy Act of 2008 (“Renewable Energy Projects”) | Annex “C” | Minor Changes |
This RMC then highlights that all Investment Promotion Agencies (IPAs) are now mandated to use the new CETI templates from March 1, 2023, onwards. Any CETIs that were issued on or before February 28, 2023, that still used the old CETI templates released on March 23, 2022, will still be valid for the corresponding fiscal or calendar year unless it was cancelled, suspended, or withdrawn by the IPA or FIRB after the end of due process.
The RMC also shares a sample of the new CETI template, you can access this by clicking the link HERE.