BIR unfolds 26-pt program to improve collections

By Zinnia B. dela Peña, The Philippine Star

Posted at Feb 15 2013 08:48 AM | Updated as of Feb 15 2013 04:48 PM

MANILA, Philippines - The Bureau of Internal Revenue (BIR) has released its 26-point program aimed at further improving its performance and hitting its collection goal this year of P1.25 trillion.

In a memorandum circular, the BIR identified 26 major projects that will help the agency sustain a positive collection growth.

The BIR will continue to pursue vigorously two priority projects, the Run After Tax Evaders (RATE) and Oplan Kandado.

The RATE program seeks to identify and prosecute high profile tax evaders through investigation of large-scale violators of the National Internal Revenue Code. Aside from enhancing voluntary compliance among taxpayers and promoting confidence in the tax system, the program also aims to generate the maximum deterrent effect by impressing on the public that tax evasion is a criminal offense punishable under the law.

Oplan Kandado, on the other hand, is an initiative involving the strengthening of the BIR’s imposition of prescribed administrative sanctions for non-compliance with essential requirements such as taxpayer’s VAT registration, the issuance of sales invoices/receipts, filing of VAT returns, declaration of taxable transactions and paying the correct amount of taxes by pesons engaged in transactions subject to VAT.

Aside from these, the BIR is putting in place an automated facility on excise products that will allow excise taxpayers to electronically submit the official registry books for monitoring and reconciliation purposes to mainly uncover discrepancies on declarations that will increase revenue collection.

BIR commissioner Kim Henares said the agency would also implement the internal revenue stamps integrated system on the use of secured stamps for cigarettes to ensure tax compliance among tobacco manufacturers. The BIR will tap a government-accredited printer to bid out the printing of the cigarette stamp tax in the first half of the year.

Henares said the BIR will also adopt a web-based system that will enable the establishment of accurate accounts receivables/delinquent accounts database of the BIR across all offices for easy monitoring and timely generation of required correspondences and reports.