REVENUE MEMORANDUM CIRCULAR NO. 24-2020 issued on March 6, 2020 provides transitory procedures for all taxpayers who are affected in complying with the Administrative Requirements pursuant to Republic Act (RA) No. 11346, imposing Excise Tax on Heated Tobacco Products and Vapor Products, as further amended by Republic Act No. 11467.
Heated Tobacco Products and Vapor Products are new products being introduced under the category of Tobacco Products that are subject to Excise Tax and, as such, the following administrative requirements should be complied with:
1. Amend the Registration with the BIR to include tax type “EXCISE TAX”;
2. Secure a Permit to Engage in business as Manufacturer, Importer or Dealer/Trader of Heated Tobacco Products and Vapor Products with Excise LT Regulatory Division (ELTRD);
3. Assign an Assessment Number to be provided by ELTRD;
4. Secure of a Permit to Import and an Authority to Release Imported Goods, in case of Importation with ELTRD and pay the Excise Tax with the BIR using BIR Form No. 2200-T — Excise Tax Return for Tobacco Products and use the corresponding Alphanumeric Tax Codes;
5. Request for Internal Revenue Strip Stamps pursuant to Revenue Regulations No. 3- 2006 dated January 3, 2006 to include Heated Tobacco Products and Vapor Products which are identified under Tobacco Products. Internal Revenue Strip Stamps shall be requisitioned from the BIR and shall be firmly affixed on the said products before its removal from place of production or Customs’ custody in case of importation;
6. Register New and Existing Brands of Tobacco Products;
7. Fill up the prescribed Excise Taxpayer’s Removal Declaration for all removals of Heated Tobacco Products and Vapor Products, in case of Manufacturer; and
8. Maintain Official Registry Books and such other forms or records that may be prescribed by the BIR.