An immigration audit in the Philippines begins with one central requirement: the mandatory Annual Report for all registered foreign nationals holding valid visas and Alien Certificate of Registration Identity Cards (ACR I‑Cards). Every calendar year, from 1 January to 1 March, all “registered aliens” must report to the Bureau of Immigration (BI) or via its online system, and failure to comply can lead to fines, prosecution, or travel delays. For employers of foreign staff, this Annual Report functions as a built-in immigration compliance check that should be fully integrated into internal audit and HR processes.
Annual Report as Core Immigration Control
From an immigration audit perspective, the BI Annual Report is the primary yearly mechanism for validating the ongoing presence and status of foreign nationals in the Philippines. Under Section 10 of the Alien Registration Act of 1950 (RA 562), all registered aliens must report in person to the BI within the first sixty days of every year. This statutory obligation applies across work, resident, and special visa categories, and BI increasingly uses it as a trigger point to review status changes, address updates, and compliance with other immigration conditions.
Key features of the Annual Report framework:
- Coverage: All registered foreign nationals with valid visas and ACR I‑Cards or paper ACRs, except holders of temporary visitor/tourist visas.
- Reporting window: 1 January to 1 March each calendar year (e.g., 2026 advisory applies 01 January–01 March 2026).
- Purpose: Confirm presence, update records (address, status, employment), and verify that visa holders remain compliant with Philippine immigration law.
For employers, failure of a foreign employee to complete the Annual Report can later disrupt visa renewal, Emigration Clearance Certificate (ECC‑B) issuance, or even result in fines affecting the company’s compliance profile.
Who Must Report and How It Impacts Employers
From a corporate immigration audit standpoint, understanding coverage is critical to avoid gaps in foreign staff compliance. The Annual Report applies to nearly all long‑term foreign workers and residents on BI‑issued visas backed by ACR I‑Cards.
Covered foreign nationals include:
- 9(g) pre‑arranged employment visa holders (standard work visa).
- Long‑term resident and special resident visa holders (e.g., SIRV, SRRV, TRV, certain treaty visas).
- ACR I‑Card and paper‑based ACR holders with valid visas present in the Philippines between 1 January and 1 March.
Not covered:
- Temporary visitor/tourist visa (9(a)) holders without ACR I‑Cards.
Employer impact:
- Long‑term foreign employees must complete the Annual Report to avoid downstream issues with 9(g) renewals, ACR renewals, and eventual cancellation/exit processing.
- Companies should treat Annual Report completion as a mandatory annual compliance checkpoint in their internal immigration audit calendar.
Documentation Requirements and Reporting Channels
For immigration audit readiness, both employers and foreign staff must understand the documentation required for submission to BI offices or through the virtual Annual Report system. The 2025 and 2026 advisories and guidelines align closely in required documents.
Core requirements:
- Completed online registration via BI e‑Services (Annual Report Online Filing System), generating a reference number.
- Original valid ACR I‑Card or paper‑based ACR.
- Original valid passport.
- Official Receipt of the previous year’s Annual Report fee (if applicable).
Special document cases:
- Expired passport: Affidavit of undertaking to secure a new passport submitted to the Registration Officer.
- Native‑born aliens without passports: Affidavit of no passport issued since birth with undertaking to secure one.
- Refugees/stateless persons: Presentation of original ACR or paper‑based ACR instead of a passport, per specific legal categories.
- RA 7919 visa holders with pending re‑stamping: Proof of payment for ASIO re‑stamping required.
Reporting channels:
- In‑person: BI Main Office, authorized field offices, and off‑site locations (e.g., Robinsons Place Manila, SM Mall of Asia Government Service Express).
- Virtual Annual Report: 24/7 online option during the Annual Report period for registered foreign nationals with valid visas and ACR I‑Cards, using BI e‑Services and paying fees the same day via Maya, GCash, credit card, or Landbank.
For audit purposes, employers should retain copies of Annual Report reference numbers, payment confirmations, and stamped receipts for all sponsored foreign staff.
Exemptions, Delegations, and Online Options
A well‑structured immigration audit must also account for exceptions to personal appearance and eligibility for online filing, especially for vulnerable or remote staff. BI guidelines and legal commentaries recognize limited exemptions from the personal appearance requirement while retaining the reporting obligation.
Exemptions from personal appearance (for in‑person reporting):
- Foreign nationals below 14 years old or 60 years old and above.
- Mentally or physically incapacitated individuals, with a supporting Person With Disability (PWD) ID or medical certificate.
- Pregnant women and foreign nationals with medical conditions, supported by medical certificates.
In these cases, an authorized representative may complete in‑person reporting on behalf of the foreign national, usually alongside proof of relationship or authorization.
Online/virtual Annual Report:
- Available to all registered foreign nationals present in the Philippines with valid visas and ACR I‑Cards (except those with paper‑based ACRs in some implementations).
- Requires completed online registration and same‑day payment through BI e‑Services channels.
- May involve an additional PHP 1,000 fee for virtual filing convenience in some advisories.
For employers, online options provide a powerful tool to close compliance gaps, especially for staff based outside Metro Manila or traveling domestically.
Link Between Annual Report and Emigration Clearance (ECC‑B)
From a risk‑management immigration audit perspective, a critical point is the direct link between Annual Report compliance and departure clearance. BI expressly requires that all departing registered foreign nationals with valid visas and ACR I‑Cards must settle their Annual Report obligations before an Emigration Clearance Certificate‑B (ECC‑B) can be issued.
Implications:
- Foreign employees planning to exit the Philippines (for final departure or long transfers) cannot obtain ECC‑B if they have not filed the current Annual Report.
- International ports of exit may refuse boarding to registered foreign nationals who cannot prove Annual Report compliance for the current year.
- Employers arranging end‑of‑assignment exits must integrate Annual Report verification into their offboarding checklists.
Failure to comply can delay departures, incur additional immigration processing costs, and negatively affect both the employee and employer’s compliance profile.
Penalties, Fines, and Audit Consequences
The Annual Report regime carries clear sanctions that must be factored into any corporate immigration audit of foreign workers. Under Section 10 of RA 562 and subsequent amendments, failure to comply may subject the alien, at the Commissioner’s discretion, to administrative fines or prosecution, punishable by fine, imprisonment, or both.
Practical consequences observed in current guidance:
- Administrative fines imposed for late or missed Annual Reports.
- Potential refusal or delay in visa renewals and ACR I‑Card renewals for non‑compliant individuals.
- Possible inclusion in watchlists or adverse records affecting future entries.
- Departure delays due to ECC‑B denial until the Annual Report is settled.
For employers, recurring non‑compliance among sponsored employees can prompt closer scrutiny by BI and, in serious cases, contribute to broader investigations into company immigration practices.
Building an Internal Immigration Audit Program Around the Annual Report
For companies employing foreign nationals, the Annual Report should sit at the center of an internal immigration audit framework. A structured program enables proactive compliance, reduces the risk of enforcement action, and supports timely visa renewals and exits.
Key components of an effective internal audit program:
- Centralized registry of all foreign employees and dependents, including visa type, ACR I‑Card number, expiry dates, and work location.
- Annual Report calendar: automated reminders beginning in December, targeting completion for all staff well before the 1 March deadline.
- Standard operating procedures for:
- Online registration and file retention (screenshots, reference numbers, receipts).
- In‑person representation for exempt staff (below 14, above 60, incapacitated, pregnant, or medically unfit).
- Verification of passport validity; securing affidavits of undertaking for expired passports, where applicable.
- Departure checklist integrating Annual Report clearance and ECC‑B requirements.
- Periodic internal reviews (e.g., quarterly) to ensure no foreign national is overlooked, including dependents on derivative visas.
Employers should designate an internal immigration compliance officer or external adviser to oversee these processes and interface with BI.
Best Practices for Employers Managing Foreign Staff
To align with both statutory duties and best‑practice immigration audit standards, employers of foreign nationals in the Philippines should adopt proactive, documented compliance routines.
- Educate foreign hires during onboarding about Annual Report obligations, timing, and consequences of non‑compliance.
- Require employees to submit evidence of completed Annual Report (e.g., BI receipt, online confirmation) annually for HR records.
- Coordinate the Annual Report with other immigration milestones, such as 9(g) renewals, ACR renewals, and contract extensions, to ensure harmonized timelines.
- For remote or regional staff, prioritize online/virtual Annual Report options and, where needed, appoint authorized representatives for those exempt from personal appearance.
- Retain copies of advisories (e.g., 2025 and 2026 Annual Report Advisories) and update internal policies annually based on new BI guidelines.
These measures minimize the risk of last‑minute issues and demonstrate good‑faith compliance in the event of regulatory inquiries.
Final Thoughts
The BI Annual Report requirement functions as the core annual immigration audit mechanism for all registered foreign nationals in the Philippines, compelling in‑person or virtual reporting between 1 January and 1 March, supported by valid ACR I‑Cards, passports, and prior‑year receipts. Non‑compliance can result in fines, renewal delays, or ECC‑B denial, directly affecting both foreign staff and their employers.
By embedding Annual Report tracking and documentation into internal audit and HR practices, and leveraging expert support where needed, organizations can maintain robust immigration compliance across their 2026 foreign workforce.
Support for Immigration Audit and Annual Reporting
Work Visa Philippines assists employers and foreign nationals with all aspects of immigration audit and Annual Report compliance, including e‑Services registration support, document review, representative filings for eligible exempt individuals, and integration of Annual Report into broader visa and ACR renewal strategies.
This coordinated approach helps ensure that long‑term work visa holders, investors, and other resident foreigners satisfy BI’s mandatory reporting requirements on time every year. Contact our team of experts today for additional guidance:
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