BIR maps out plans to raise P1.83 T

MANILA, Philippines – From expanding electronic systems to reviewing past orders and assessments, the Bureau of Internal Revenue (BIR) is banking on renewed taxpayer trust to attain its P1.83-trillion goal this year.

The agency, traditionally accounting for 80 percent of state revenues, laid out its plans and programs for the first full year of the Duterte administration under Revenue Memorandum Circular 5-2017.

“The taxes collected by the bureau contribute significantly to the government’s revenue-generating efforts and will surely support the President’s 10-point agenda,” the circular stated.

Under the plan, BIR will focus on three “principal objectives” of attaining collection targets, improving taxpayer satisfaction and protecting revenues by recapturing public trust.

Specific programs were provided under each objective led by expanding the tax base through more verification of unregistered taxpayers and “comprehensive” benchmarking scheme to get a sense of how much each taxpayer should be paying.

Flagship programs namely the Run After Tax Evaders (RATE) and the Oplan Kandado that closes erring businesses will also be continued and strengthened.

For RATE specifically, the bureau said it would “review all pending cases” before the Court of Tax Appeals and the Department of Justice for swift disposition.

There were more than 600 RATE cases filed from 2010 until last year. More had been filed since the program started in 2006.

There will also be an expansion of compromise settlement program to cover those cases still pending, while BIR works to become “more aware of the benefits” of exchange of information.

Meanwhile, under taxpayer satisfaction, the ongoing review of previous issuances and tax rulings as well as simplification of tax forms will continue.

The Duterte government embarked on a review of past regulations that it believes put “unnecessary burden” on taxpayers. Most of those reviewed, however, were retained after study and after revenue growth slowed.

In addition, improving BIR information technology systems will also be continued, the circular stated.

“Provide taxpayers additional options or facilities to pay taxes using credit/debit/prepaid cards and mobile payments,” it said.

“Strengthen registration database in order to allow taxpayers to register and update their registration data online,” the circular said.

Better stamps to monitor excise taxes from tobacco and liquor products will likewise be put up.

Looking inward to “recapture public trust,” BIR will also push for legislation to exempt its officers and employees from the Salary Standardization Law to avoid corruption.

Recruitment of 996 new staff personnel will also be fast-tracked, while an “integrity management program” will be applied to “relieve/transfer” or “remove” erring personnel.

“All bureau offices are therefore enjoined to align their respective activities and projects to these priority programs to reduce the opportunities for corruption in the revenue service...,” the circular said.