BIR registration for freelancers and small businesses

How to get your BIR Certificate of Registration (Form 2303) in 2026, what it costs after the Ease of Paying Taxes Act, and which returns to file once you're registered.

By Borderless PinoyUpdated 14 October 20268 min read

Quick answer

To register with the BIR as a freelancer or sole proprietor:

Fill in BIR Form 1901 through ORUS (orus.bir.gov.ph) or at the Revenue District Office (RDO) covering your business or home address.
Attach a valid ID, proof of address, and your DTI certificate if you use a business name.
Pay the ₱30 documentary stamp tax. The ₱500 annual registration fee no longer exists.^[1]
Receive your Certificate of Registration (Form 2303), then register your books of accounts and get your invoices printed.

Corporations, one person corporations and partnerships use Form 1903 instead. Register before you start earning, and remember to file every return listed on your Form 2303, even in quarters with no income.

Clients or buyers overseas? Read the free Chapter 0 of the Borderless Pinoy course to check whether registering a company abroad fits your business.

Get free Chapter 0

Selling or earning online? From 31 October 2026 you also need to display your BIR Registration Seal Badge on your pages. See what nobody tells you about the BIR seal badge.

Who needs to register with the BIR

Anyone earning business or professional income in the Philippines needs to register, including:

Freelancers and virtual assistants paid by local or foreign clients
Online sellers on marketplaces, social media or their own websites
Licensed professionals in private practice
Sole proprietors with a shop, stall or home-based business
Employees who also earn on the side (mixed-income earners)

Under the National Internal Revenue Code, you should register before you start your business or before your first tax return is due.^[2] Registering late can mean penalties and back taxes for the periods you missed.

Which BIR form to use

Form	Use it if you are
1901	A sole proprietor, freelancer, self-employed individual, professional or mixed-income earner
1903	A corporation, one person corporation (OPC), partnership or other juridical entity
1902	An employee earning purely compensation income (usually filed by your employer)
1904	Someone who needs a TIN for a one-time transaction, with no business income
1905	Already registered and need to update details, transfer RDO or close your registration

Already have a TIN from a job? Keep it. You can only have one TIN for life. You update your existing registration to add business income instead of applying for a new number. If your RDO is still the one from your old employer, transfer it to your current address first with Form 1905.

Documents you need (Form 1901)

A completed BIR Form 1901
A valid government ID showing your name, address and birthday
Proof of business address, such as a lease contract, land title, tax declaration, or written consent from the owner if you use a family member's home
Your DTI Certificate of Business Name Registration, if you trade under a business name
Your PRC ID, if you are a licensed professional
Your mayor's permit or proof that you applied for one, if your RDO asks for it
For freelancers without a DTI name, some RDOs also ask for proof of your work, such as a client contract

Requirements differ slightly between RDOs. Call or message your RDO before you go, and bring photocopies of everything.

How to register, step by step

Find your RDOUse the BIR's RDO locator to find the office covering your business address. Freelancers working from home use the RDO for their home address.
Apply through ORUS or at your RDOCreate an account at orus.bir.gov.ph, choose new registration, complete Form 1901 online and upload your documents. If your RDO prefers walk-in applications, bring printed copies to the new business registrant counter.
Choose your income tax optionForm 1901 asks whether you want the 8% income tax rate or the graduated rates. Read the section below before you tick a box.
Pay the ₱30 documentary stamp taxPay through a BIR ePayment channel or an authorized agent bank.
Get your Certificate of RegistrationYou receive Form 2303. It lists your tax types and which returns you must file. Display it where you do business.
Register your books of accountsRegister them through ORUS or at your RDO. You can use manual books, loose-leaf books or a computerized system.
Get your invoices printedApply for an Authority to Print (Form 1906), then order invoice booklets from a BIR-accredited printer. Since 2024, the invoice replaces the official receipt for both sales of goods and services.

How much BIR registration costs

Item	Cost
Documentary stamp tax on the Certificate of Registration	₱30
Annual registration fee	₱0 (removed from 22 January 2024 by RA 11976)^[1]
Books of accounts	About ₱200 to ₱600
Invoice booklets from an accredited printer	About ₱800 to ₱1,500

If anyone asks you to pay a yearly ₱500 BIR registration fee, check again. That fee was abolished under the Ease of Paying Taxes Act.

8% income tax or graduated rates

If your gross sales or receipts are ₱3,000,000 or less a year and you are not VAT-registered^[3], you can choose between two ways of paying income tax:

	8% option	Graduated rates
Income tax	8% of gross sales or receipts above ₱250,000	0% to 35% of net taxable income
Percentage tax	None. The 8% replaces it.	3% of gross sales or receipts, filed quarterly
Expenses	Not deducted	Deducted, either itemized or a flat 40%
Paperwork	Simpler	More, especially with itemized deductions

To use the 8% option, choose it on Form 1901 when you register, or on your first quarterly income tax return of the year. Your choice applies for the whole year. Mixed-income earners can use the 8% rate on their business income, but without the ₱250,000 deduction, because that amount is already covered by their salary.

Which option is cheaper depends on your income and expenses. A CPA or bookkeeper can run the numbers for you before you register.

Your BIR filing calendar

These are the main returns for a non-VAT sole proprietor or freelancer. Your Form 2303 is the final word on which ones apply to you.

Return	What it's for	Due
1701Q	Quarterly income tax	15 May (Q1), 15 August (Q2), 15 November (Q3)
1701 or 1701A	Annual income tax, covering the full year	15 April of the following year
2551Q	Quarterly percentage tax (graduated-rate filers only)	25 days after the end of each quarter

File even when you had no sales that quarter. Missed returns are the most common reason small taxpayers end up with penalties.

Smaller penalties for micro taxpayers. Under the Ease of Paying Taxes Act, taxpayers with gross sales below ₱3,000,000 are classified as micro taxpayers, and their surcharge for late filing drops from 25% to 10%, with interest cut in half.^[1]

If you sell on Shopee, Lazada or other e-marketplaces

Under Revenue Regulations No. 16-2023, e-marketplaces and digital payment providers withhold 1% of one-half of the gross remittances they pay out to online sellers.^[4] This doesn't apply if your gross remittances were ₱500,000 or less in the previous year, or haven't passed ₱500,000 so far this year. Submit your Form 2303 to the platform so they record your registration, and keep the withholding certificates they issue so you can credit the amount on your income tax return.

After you register

Issue an invoice for every sale or service. Since 2024 the threshold for issuing one is ₱500, though you can always issue one for smaller amounts.^[5]
Keep your books updated and keep your records for the period the BIR requires.
File Form 1905 if you move, change your business name, add a new line of business or close the business. Closing your registration properly stops penalties from building up on returns you no longer need to file.
Renew your mayor's permit every January. The BIR doesn't renew it for you. See the mayor's permit section.

If your clients are overseas

Many Filipino freelancers are paid by clients abroad, and the BIR treats that income the same way as income from local clients when you do the work in the Philippines. You register, file quarterly and yearly, issue invoices and, if you work online, display the seal badge.^[6]

Freelancers and online sellers whose clients are mostly overseas often add a company registered abroad, set up online through a licensed provider. That company can open the business accounts and payment platforms overseas clients expect, such as Stripe, which doesn't accept businesses registered in the Philippines.^[7] Your provider handles the company's yearly filings abroad.

A company abroad has its own yearly costs, and it doesn't replace the obligations you have here as a resident, so plan it with a CPA. The free Chapter 0 of the Borderless Pinoy course helps you check whether it fits you, and the side-by-side comparison shows how the two routes differ.

Frequently asked questions

How do I register with the BIR as a freelancer?

File BIR Form 1901 through ORUS or at the RDO covering your home address, attach a valid ID and proof of address, and pay the ₱30 documentary stamp tax. You'll receive your Certificate of Registration (Form 2303). Then register your books of accounts and get invoices printed through an Authority to Print.

Can I register with the BIR online?

Yes. The BIR's Online Registration and Update System (ORUS) at orus.bir.gov.ph lets you apply for registration, upload documents and download your Certificate of Registration. Some RDOs still ask you to visit in person to verify documents.

How much does BIR registration cost?

Registration itself costs ₱30, which is the documentary stamp tax on your Certificate of Registration. The ₱500 annual registration fee was removed from 22 January 2024 by the Ease of Paying Taxes Act. Books of accounts and printed invoices cost extra, usually about ₱1,000 to ₱2,100 combined.

What is BIR Form 2303?

Form 2303 is your Certificate of Registration. It shows your TIN, RDO, registered business name and address, and the tax types and returns you must file. You must display it at your place of business.

What is the difference between BIR Form 1901 and 1903?

Form 1901 is for individuals in business: sole proprietors, freelancers, self-employed professionals and mixed-income earners. Form 1903 is for corporations, one person corporations, partnerships and other juridical entities.

Who can use the 8% income tax rate?

Self-employed individuals and professionals whose gross sales or receipts are ₱3,000,000 or less a year and who are not VAT-registered. You choose it on Form 1901 at registration or on your first quarterly return of the year, and the choice applies for the whole year.

Do I still need official receipts?

No. Since the Ease of Paying Taxes Act and Revenue Regulations No. 7-2024, the invoice is the primary document for both goods and services. New businesses apply for an Authority to Print invoices.

I already have a TIN from my job. Do I need a new one?

No. You keep the same TIN for life. Update your registration to add business income, and transfer your RDO to your current address with Form 1905 if needed.

Do I need the BIR seal badge?

If you sell goods or services online, or earn as a content creator, yes. RMC 38-2026 requires covered taxpayers to display the BIR Registration Seal Badge on their websites, social media and marketplace pages, and RMC 99-2026 set 31 October 2026 as the deadline. You get it through ORUS or your RDO.

What happens if I don't file because I had no income?

You can still be penalized. Once registered, you must file every return listed on your Form 2303, including returns with zero sales. If you've stopped your business, close your registration with Form 1905.

Do your clients or buyers live overseas?

See the exact setup the course teaches to register a company abroad online and run it from the Philippines. The course is ₱699, and that price is separate from what the company itself costs to set up and keep.

Read free Chapter 0 Full registration guide

Sources

This guide is general information about BIR registration, not tax advice. Rules and forms change, and RDOs differ in what they ask for, so confirm with your RDO or a CPA. Sources checked 14 October 2026.