BIR E-Invoice Software in the Philippines for Smarter Tax Reporting

FreshBooks e-Invoicing in the Philippines: Frequently Asked Questions

1. What is Philippines e-invoicing?

It is the requirement to issue invoices as structured, digitally signed data and transmit them to the Bureau of Internal Revenue (BIR) through its Electronic Invoicing System (EIS). A PDF or scanned copy alone does not satisfy the rule. 

FreshBooks creates and sends invoices to your customers, but it does not report them to the BIR. If you are in scope, each invoice must also reach EIS within the required window, so an extra connection layer is needed. 

FreshBooks is built as a global invoicing tool and is not designed around the Philippine EIS schema. You should assume you need a certified integration or middleware, and confirm current capabilities with FreshBooks directly. 

Advintek acts as the compliance layer between FreshBooks and the BIR. It maps your invoice data to the BIR format, applies the digital signature, transmits to EIS and returns the accept or reject result to you. 

 The framework comes from the TRAIN Law (RA 10963), the EoPT Act and the CREATE MORE Act (RA 12066). Revenue Regulations 11-2025 and 26-2025 set the operating rules and the Phase 1 timeline. 

 Sales invoices, service billings, credit notes and debit notes. Credit and debit notes must reference the original invoice. 

Not automatically. Micro-taxpayers are currently exempt unless they already use an electronic invoicing system, so check your BIR classification and registration status before assuming you are out of scope. 

 Potentially yes. Users of CAS, CBA or invoicing software are one of the Phase 1 groups, so software-generated invoicing can bring a smaller business into the mandate. 

 31 December 2026, as extended by RR 26-2025. This is your go-live date, so certification and testing must be finished before it. 

 Exporters fall under a later phase to be set by a separate regulation. Even then, export invoices will eventually need e-invoicing, so plan ahead if you bill overseas clients from FreshBooks. 

Yes. Each branch with its own four-digit branch code must issue e-invoices and be configured separately. 

 No. The seller transmits the transaction to the BIR. The buyer simply receives the invoice as usual. 

You issue the invoice in FreshBooks. Advintek picks up the invoice data, converts it to BIR JSON, signs it, sends it to EIS and passes the accepted unique ID back for your records. 

 The connection typically uses the FreshBooks API so that new, updated and credited invoices are captured without manual re-entry. 

 Mostly no, but required fields such as TINs, branch codes and tax treatment must be captured consistently. Some mapping or custom fields may be needed. 

Customer TINs are usually kept in a customer profile or custom field. For B2B invoices the buyer TIN is mandatory, so it should be filled in for every business customer. 

 You must set up tax rates so that 12% VAT, zero-rated and VAT-exempt lines are clearly distinguished. The integration maps each line to the right BIR tax category. 

 Yes, but every e-invoice must carry the transaction currency and its PHP equivalent. Exchange-rate handling is part of the mapping. 

The BIR schema separates Senior Citizen, PWD, Regular and Special discounts. A single lump discount in FreshBooks may need to be categorised during mapping. 

 Withholding amounts are reported in dedicated fields. If your customers withhold tax, make sure the amounts are recorded in a way the integration can read. 

Plan roughly six to ten weeks end to end, including certification and testing. Start about three months before your go-live date. 

 Structured JSON with a JWS digital signature. PDFs and Word files are only human-readable copies. 

 The BIR’s approval to send live invoice data to EIS. You obtain it after system certification and functional testing. 

 The BIR’s acknowledgement of your invoicing system, filed at branch level. Without an active AC, EIS can reject your transmissions. 

JWS with RS256 (RSA plus SHA-256). Your private key should remain under your control and be protected. 

 Within three calendar days of the transaction date, with the BIR expecting real-time or near real-time transmission. 

Each invoice is capped at 1,000 line items and one API call can carry up to 100 invoices. Large invoices may need splitting. 

The rejection concerns the data sent to the BIR. Correct the data and retransmit under the same invoice reference. Your customer’s copy is unchanged unless the underlying content was wrong. 

 You cannot silently edit a transmitted invoice. Issue a credit note or debit note referencing the original, or cancel and reissue under the BIR process. 

 Failure to issue can mean fines and imprisonment under Section 264, and late or failed transmission can mean daily penalties under Section 264-A. Responsible officers can also be held liable. 

 For 10 years, in a retrievable digital format. Keep the full signed invoice, not just the BIR’s unique ID. 

 Once you are live on EIS, covered transactions must go through the e-invoicing process. Treat 31 December 2026 as a hard switch. 

 Under the CREATE MORE Act, an additional deduction may be claimed for reporting system costs: 100% for micro and small taxpayers and 50% for medium and large. Confirm eligibility with your tax adviser. 

 Contact Advintek to confirm whether you are in scope, review your FreshBooks setup and plan certification ahead of the 31 December 2026 deadline.