Republic Act No. 11967, or the “Internet Transactions Act of 2023”, was enacted on 05 December 2023 to promote and strengthen e-commerce in the Philippines by building trust between online merchants and consumers.
One of its key innovations is the creation of the E-Commerce Bureau, which was tasked to implement the E-Commerce Philippine Trustmark, a badge that signifies an online business’ compliance with good e-commerce practices.
To carry this out, the Department of Trade and Industry (the “DTI”), through its E-Commerce Bureau, issued Department Administrative Order No. 25-07, or the “Implementing Rules and Regulations on the E-Commerce Philippine Trustmark”.
What makes the TRUSTMARK different?
The E-Commerce Philippine Trustmark (“TRUSTMARK”) is a government-issued digital badge that shows an online business complies with standards of good e-commerce practice. It may be displayed on websites, e-commerce platforms, and even social media selling pages.
Unlike other government licenses or permits, the TRUSTMARK does not serve as a business permit or regulatory clearance. Instead, its main purpose is to:
- Build consumer confidence by showing that an online business follows consumer protection laws and good business practices; and
- Encourage voluntary compliance with fair, honest, and transparent e-commerce standards.
In short, while a business license allows you to operate legally, a TRUSTMARK serves as a seal of trust that helps reassure consumers that they are dealing with a legitimate and responsible seller.
How to apply for a TRUSTMARK
Before applying for a TRUSTMARK, an online business must prepare the following:
- Accomplished online application form with a sworn undertaking to follow relevant laws and regulations;
- Proof of business registration, such as:
- DTI Certificate of Business Name Registration,
- SEC Certificate of Incorporation, or
- CDA Certificate of Registration (for cooperatives);
- BIR Certificate of Registration (Form 2303), which must include:
- The registered business or trade name to be used; and
- The line of business or PSIC Code (e.g., PSIC 47913 for online retail);
- List of digital platforms or websites used for online selling;
- Valid government-issued ID of the applicant or authorized representative; and
- Step-by-step guide of the company’s internal redress mechanism, showing how customer complaints will be addressed.
Once these are ready, the applicant can submit them online through the TRUSTMARK registration portal. The E-Commerce Bureau will then evaluate the application within seven (7) working days.
After completing the above requirements, an interested applicant shall submit the same online through the TRUSTMARK registration portal wherein the E-Commerce Bureau shall evaluate the application within seven (7) working days.
What are the benefits of having a TRUSTMARK?
For online businesses, securing a TRUSTMARK is more than just compliance, it can be a competitive advantage. Some key benefits include:
- Consumer Trust and Confidence – online shoppers are more likely to buy from sellers who display the TRUSTMARK, knowing they comply with DTI standards and consumer protection laws.
- Credibility – the TRUSTMARK serves as a seal of legitimacy, setting businesses apart from unverified or bogus sellers.
- Marketability – having the TRUSTMARK can be a unique selling point when marketing products, especially to cautious or first-time online buyers.
In short, a TRUSTMARK is not just a badge, it’s a sign of reliability that helps protect both the seller and the buyer, while promoting a healthier and more secure e-commerce ecosystem.
What this means for your business?
A TRUSTMARK is a step toward making online transactions in the Philippines safer and more reliable for everyone. For businesses, it represents not just compliance, but also an opportunity to strengthen consumer trust and gain a competitive edge in the digital marketplace.
This guide provides a general overview of the above case at the time of writing only and is not intended to be a comprehensive legal advice. This should also not be taken as an opinion on the topic. For more details and information, you may coordinate with any GVES Law Partner regarding the matter.
Atty. Justin Mitchel R. Avila is an Associate at GVES Law