REVENUE MEMORANDUM CIRCULAR NO. 91-2023 issued on September 11, 2023 circularizes the amendment to Rule 18, Section 5 of the Implementing Rules and Regulations of Republic Act No. 11534 (Corporate Recovery and Tax Incentives for Enterprises Act), which shall read as follows:
                     
                 “RULE 18. Investments prior to the effectivity of this Act.

                SECTION 5. Non-income related tax incentives. — All registered exportand domestic enterprises that will continue to avail of their existing tax incentives subject to Sections 1, 2 and 3 of this Rule, may continue to enjoy  the duty exemption, VAT exemption on importation, and VAT zero-rating on local purchases as provided in their respective IPA registrations; PROVIDED, THAT REGISTERED EXPORT ENTERPRISES ASDEFINED UNDER SECTION 293(E) OF THE ACT WHOSE INCOME TAX-BASED INCENTIVES HAVE EXPIRED, MAY CONTINUE ENJOY VAT ZERO-RATING ON LOCAL PURCHASES UNTIL THE ELECTRONIC SALES REPORTING SYSTEM OF THE BUREAU OF INTERNAL REVENUE UNDER SECTION 237-A OF THE ACT IS FULLY OPERATIONAL, OR UNTIL THE EXPIRATION OF THE TRANSITORY PERIOD REFERRED TO IN SECTION 311(C) OF   THE ACT, WHICHEVER COMES EARLIER; PROVIDED FURTHER, THAT AN RBE CLASSIFIED AS DME WHICH I LOCATED INSIDE THE ECONOMIC OR FREEPORT ZONEDURING THE TRANSITORY PERIOD WILL BE ALLOWED TO REGISTER AS A VAT TAXPAYER; Provided, FINALLY, that the duty exemption, VAT exemption on importation, and VAT zero-rating on loca purchases shall only apply to goods and services directly attributable to and exclusively used in the registered project or activity of said registered export enterprises.”

            The Rules shall apply prospectively; Provided that Domestic Market Enterprises (DMEs) inside the economic or freeport zone that will opt to register as VAT taxpayers shall not be allowed to claim VAT refund for transactions prior to the effectivity of the Rules.