Are you a business owner in Iloilo looking to renew your business permits? The process can be complex, but with this guide, we will walk you through it step by step. Along the way, we’ll also provide helpful tips so that you stay up-to-date and compliant with any regulations – ensuring that everything goes smoothly during your permit renewal.
Take note: Please be aware of any official announcements from the Iloilo City Government! This blog is simply a step-by-step guide.
January is here, and Iloilo City is bustling with activity for the new year and Dinagyang fever. But keep in mind – we also have the duties of filing taxes and renewing business permits. For business owners, it’s essential to renew their permits early to avoid fines or penalties.
The process can be time-consuming, but it’s essential to ensure everything is in order before the deadline. Additionally, businesses in Iloilo City also need to pay local taxes, secure their Declaration of Gross Receipts, Barangay Clearance, Fire Inspection Certificate, and more.
With the help of a professional accountant or tax preparer, businesses can easily file their taxes and renew their business permits in Iloilo City. But, if you’re on your own (like me), here is what you need to know and do.
How to renew your business permits – Deadline January 20
- How long: Maybe 2-5 days of processing (depending on a lot of factors)
- How long to wait for your permits in all: 2-3 weeks
Save yourself the hassle of re-navigating through the complex process of renewing your business permits. To ensure you get everything done quickly and efficiently, follow this easy guide on how best to obtain a barangay permit renewal, mayor’s permit renewal, and BIR registration without any hiccups.
BRING THE FOLLOWING:
- DTI Certificate (or SEC for corporations)
- Gross Sales Receipts
- Old Business Permit
- Cedula (current period)
- Fire Safety Inspection Certificate
- Sanitary Permit
- Barangay Clearance (current period)
- IDs
Please prepare photocopies of your DTI business permit, IDs, cedula, barangay clearance, etc. also!
How to get your Declaration of Gross Receipts (Iloilo City residents only)
Know your financial status! It will help if you know your business’ income and expenses. Or, have prepared your financial statements.
- Declaration of Gross Receipts – available onsite, or you can download it here.
- Your taxes will be defined according to the assessment.
How to get your barangay clearance
Please bring your IDs, DTI permit, cedula (Community Tax Certificate), barangay clearance – and photocopies. Take note: fees differ per barangay and gross income. Likewise, the fee for your cedula also differs according to your profession and income.
- Barangay Clearance – secure your permit at your office’s barangay (not at your residential’s place). The fee varies per barangay and gross income.
- Visit your barangay hall at government-regulated hours (8AM to 5PM, Monday to Friday).
- Inform the secretary and fill up the document s/he will give to you. Some barangays will ask for your IDs, cedula, and DTI Permit. It’s best to have them all in hand when visiting the barangay hall.
- The barangay secretary will print out your clearance, but you must wait for the Barangay Captain to sign it. Meanwhile, you can check whether your name and business are spelled correctly.
- After the Barangay Captain has signed the permit, pay the barangay fees.
How to get the Fire Safety Inspection Certificate
Please bring your prior year’s FSCIP and all your permits – DTI, IDs, barangay clearance, cedula, etc.
- Fill up the application form.
- Present your documents.
- Please wait until the Bureau of Fire Protection has printed your Fire Safety Inspection Certificate.
- The fee is usually Php600+ (Php500 in 2020; Php615 in 2021 and 2022).
Follow the steps provided in the image above!
How to renew your BIR Registration – Deadline January 31
- How long: 1 day waiting when processed in BIR
- How long online: a couple of minutes, then a visit to BIR
- How long will it take to receive your new BIR permit: 1-2 weeks
Renewing your BIR Business Registration ensures that you are registered to operate legally and allows for a range of privileges such as issuing official receipts, registering books, paying taxes, and more -all important tasks associated with running an effective enterprise. Ensure to obtain the necessary Barangay Permit/Clearance plus Mayor’s Permit before taking this final step to stay above board.
What you need to do:
- Go to BIR (2nd Floor, Plazuela Dos, Iloilo City).
- Submit your duly accomplished BIR Payment Form 0605 (you can get it here).
- Once approved by the officer in charge, pay your fees at the bank. The fee is Php500.
Penalties for late renewal of business permits
Businesses that fail to renew their permits on time may experience a range of stiff penalties. Early action is recommended to avoid legal consequences and comply with local regulations.
For late business permits renewal
By the Philippine Local Government Code, business owners face a hefty penalty for failing to renew their permits promptly. This includes an increased tax rate of 25% in addition to 2% per month of delinquency or closure if accounts remain unpaid for too long.
For late BIR permit registration
The National Internal Revenue Code outlines big consequences for violations of their regulations. Penalties can range from a fine between five thousand to twenty thousand pesos (Php5,000.00 to Php20,000.00) to imprisonment lasting up to two (2) years in the most serious cases.
