> ## Documentation Index
> Fetch the complete documentation index at: https://docs.hitpayapp.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Philippines

> Required documents and verification process for businesses in the Philippines

## Verifying a Philippines-Registered Business

Businesses registered in the Philippines can verify their HitPay account by completing both identity and document verification steps.

## Verification Process

### Identity Verification

The **account representative** must complete:

* **ID verification**
* A **selfie submission** for facial match

<Check>This step takes place after you’ve set up your bank account.</Check>

### Document Verification

You’ll need to submit the following:

* **Registration document**:

  * DTI Registration (for sole proprietors)
  * SEC Registration Certificate (for corporations and partnerships)

* **Ownership information**:

  * Articles of Incorporation or GIS (for corporations)
  * Articles of Partnership (for partnerships)

* **BIR Requirements**:
  * BIR Certificate of Registration (Form 2303)
  * Business bank account proof (e.g. passbook, bank certificate, statement, or screenshot)
  * Sworn Declaration (if applicable)

If the account representative is **not listed** in the SEC registration:

* A signed **Letter of Authorisation (LOA)** from the company secretary or director
* **Identification documents** for:
  * The account representative
  * The person signing the LOA

<Info>
  Additional documents may be requested by our Compliance team based on your
  business type.
</Info>

#### Common Additional Requirements

* **Complex ownership structures** → Provide Beneficial Ownership Structure
* **Multiple shareholders/partners** → Submit ID of owners with 25%+ ownership
* **Regulated industries** → Submit licenses, such as:
  * Department of Tourism (DOT) accreditation
  * NTC Certificate (for telcos)
* **No online presence** → Provide physical proof (store photos, tenancy agreement, Mayor's Permit)

## Entity Types and Required Documents

| Entity Type         | Required Documents                                                                                                   |
| ------------------- | -------------------------------------------------------------------------------------------------------------------- |
| Corporation         | SEC Registration Certificate, Articles of Incorporation, GIS, BIR Form 2303, Proof of Business, Corporate Bank Proof |
| Partnership         | SEC Registration, Articles of Partnership, BIR Form 2303, Proof of Business, Partnership Bank Proof                  |
| Sole Proprietorship | DTI Registration, BIR Form 2303, Proof of Business, Business Bank Proof                                              |
| Not-for-Profit      | One of: ITR, AFS, PCNC Cert, SEC Mandatory Disclosure Form                                                           |

| Document Requirements                                                                                                                                                                                             | Details                                                                                                                                                                                                                    | Corporation                  | Partnership                    | Sole-Proprietorship     |
| ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------- | ------------------------------ | ----------------------- |
| Government IDs of authorized person and of the owners/incorporators                                                                                                                                               | Clear copy of ID, not cropped and no information removed. Full name is consistent with authorized person and not expiring in the next 3 months.                                                                            | ✔                            | ✔                              | ✔                       |
| SEC Registration Certificate                                                                                                                                                                                      | Document must be active. Legal name consistent with information provided.                                                                                                                                                  | ✔                            | ✔                              |                         |
| Latest General Information Sheet                                                                                                                                                                                  | Full name is consistent with name of merchant. Must have confirmation that document was received by SEC                                                                                                                    | ✔                            |                                |                         |
| Articles of Incorporation and By-Laws                                                                                                                                                                             | Primary purpose consistent with industry information provided. Legal name consistent with information provided.                                                                                                            | ✔                            |                                |                         |
| For Not-for-Profit, provide one of the following:(a) Latest Income Tax Return (ITR). (b) Latest Audited Financial Statements (AFS) (c) Philippine Council for NGO Certification (d) SEC Mandatory Disclosure Form | ✔ Applicable to Non-stock Corporation / Not-for-Profit Organizations                                                                                                                                                       | ✔                            |                                |                         |
| Articles of Partnership                                                                                                                                                                                           | Primary purpose consistent with industry information provided. Legal name consistent with information provided.                                                                                                            |                              | ✔                              |                         |
| DTI registration certificate                                                                                                                                                                                      |                                                                                                                                                                                                                            |                              |                                | ✔                       |
| Proof of Business                                                                                                                                                                                                 | Brand logo and storefront Photo of products, invoice for services; Website                                                                                                                                                 | ✔                            | ✔                              | ✔                       |
| BIR Certificate of Registration (Colored copy of Form 2303) 2 pages                                                                                                                                               | Must be Business TIN for DTI and SEC-registered businesses                                                                                                                                                                 | ✔ Corporate BIR registration | ✔ Partnership BIR registration | ✔ Business BIR form     |
| Proof of bank account                                                                                                                                                                                             | Proof of bank account that reflects the account you are using in HitPay, **containing full account name and account number**. Passbook, Online banking screenshot, Bank certificate, Validated deposit slip are acceptable | ✔ Corporate bank account     | ✔ Partnership bank account     | ✔ Business bank account |

<Tip>
  Ensure documents are not cropped, names are consistent, and ID documents are
  valid for at least 3 months.
</Tip>

## BIR Withholding Tax Regulations

### BIR Business Registration

* Register here: [BIR New Business Registration](https://web-services.bir.gov.ph/newbizreg/)

### Overview

Under **[Revenue Regulations No. 16-2023](https://bir-cdn.bir.gov.ph/BIR/pdf/RR%2016-2023.pdf)**, as amended, and **[RMC No. 55-2024](https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2055-2024%20\(1\).pdf)**, a **0.50% withholding tax** will apply to gross remittances made by digital financial service providers and electronic marketplace operators to sellers/merchants.

<Info>
  The withholding tax rate transitioned from 1% to 0.50%. See **[RMO No. 018-2025](/files/RMO%20No.%20018-2025.pdf)** and **[RMO No. 26-2025 Digest](/files/RMO%20No.%2026-2025%20Digest.pdf)** for details.
</Info>

All HitPay-registered merchants are subject to this 0.50% withholding tax **unless** they qualify for an exemption.

### Exemptions Include:

* Non-stock, non-profit organizations exempt from income tax
* Entities with annual gross remittances via digital financial service providers **not exceeding PHP 500,000**

***

## Required Documents During Onboarding

1. **BIR Certificate of Registration (Form 2303)**

2. **Business Bank Account**

   * *Note: As per BIR rules (RMC No. 8-2024), payouts can only be made to business bank accounts — not personal accounts.*

3. **To Assess Tax Exemption Eligibility**
   * **Sworn Declaration**
     * Must be notarized, stamped, and verified by your BIR RDO
     * [Download Sworn Declaration Template](https://drive.google.com/file/d/1zzrG23IvFC0OJ8RpkQMSuGgMbJWGzI9d/view)
   * **Alternative Documents** *(if applicable)*:
     * Certification of BMBE registration
     * Proof of non-profit, tax-exempt status

## Important:

If the sworn declaration is **not submitted**, the 0.50% withholding tax will automatically be applied to **your gross sales** starting **October 12, 2024**, regardless of your earnings.

***

## Tax Forms and Reporting

Merchants subject to withholding tax will receive **BIR Form 2307** at their registered email within **15 days after the end of each quarter**.

## FAQs

<AccordionGroup>
  <Accordion title="How do I register a business in the Philippines?">
    Use the following official resources:

    * [DTI Business Registration](https://www.dti.gov.ph/negosyo/business-registration-and-permits/)
    * [BNRS Guide](https://bnrs.dti.gov.ph/resources/registration-guide)
    * [SEC Registration for Partnerships](https://www.sec.gov.ph/company/primary-registration-2/processing-of-applications-for-partnerships/)
    * [Stock Corporations](https://www.sec.gov.ph/company/primary-registration-2/primary-registration-of-stock-corporations/)
    * [Non-Stock Corporations](https://www.sec.gov.ph/company/primary-registration-2/primary-registration-of-non-stock-corporations/)
  </Accordion>

  <Accordion title="What are the tax compliance requirements for HitPay merchants?">
    Under BIR [Revenue Regulations No. 16-2023](https://bir-cdn.bir.gov.ph/BIR/pdf/RR%2016-2023.pdf) and [RMC No. 55-2024](https://bir-cdn.bir.gov.ph/BIR/pdf/RMC%20No.%2055-2024%20\(1\).pdf), a 0.50% withholding tax applies to remittances made by digital platforms unless exempt.

    **Exemptions include**:

    * Non-stock, non-profits
    * Merchants earning below PHP 500,000 via digital providers annually

    <Info>
      Submit a notarized, stamped, and BIR-verified **Sworn Declaration** to qualify for exemption.
    </Info>

    If not submitted, 0.50% tax applies to **gross sales** starting **October 12, 2024**.

    <Check>
      Withholding tax will be reported quarterly via **BIR Form 2307**, sent to your registered email.
    </Check>
  </Accordion>
</AccordionGroup>