I must say, that the new Commissioner of Bureau of Internal Revenue has been giving impressive outputs consistent with the current administration’s fight against corruption.  What is tangible now is how he spearheads the much needed internal cleansing of the Bureau’s own yard; by way of identifying, investigating, punishing and (even) shaming the errant and non-compliant.  I believe it is a move we waited for century.

I believe then Commissioners remained mum on these errant, abusive and non-compliant revenue officials surfacing now.  Worse, we knew that for the past six (6) years, the Bureau focused on targeting taxpayers through weekly filing RATE cases and shamed on media.  These made taxpayers distrust and fear the Bureau all the more.  This is why when Commissioner Dulay stepped in and changed the game, every taxpayer is starting to become hopeful.

Let’s take this controversial media release of Commissioner Dulay for example, where he asked sixty-six (66) and forty-six (46) examiners respectively for Revenue Region 7, Quezon City and Revenue Region 6, Manila to explain why cases either load up or became long-standing.

In RMO 69-2010, Revenue Officers are given only one hundred eighty (180) days to produce a Report of Investigation.  According to BIR’s own audit procedures, a report of investigation is essential in every audit because this contains the procedures used in examining the returns, books and records of the taxpayer that would determine how an assessment is arrived at.

The 180-days given to an examiner to prepare the same is actually a mandatory period to be observed, regardless of the taxpayer’s availability, completeness and volume of records.  The examiner cannot cite them as an excuse for extending the established period or deliberate failure to submit said report within the said timeline.

What if you are one of those taxpayers whose audit was included as case in-arrears?  What if you are one of those taxpayers who experienced being milked like a cow not knowing that RMO 69-2010 actually exists?  What if you are one of those victimized of receiving audit findings containing gargantuan, unreasonable and baseless figures?

Obviously, being silent and mum did not work and produce efficient results; not in the past 112 years, not even now.

It is good to remember that that the BIR rule provides the following grounds such as 1st offense, Suspension for six (6) months and one (1) day to one (1) year and 2nd offense, DISMISSAL to those BIR officials who violates the following (1) non-observance of the rules and procedures in the conduct of audit/examination of books of accounts or other accounting records; (2) non-compliance with prescribed rules relating to the service of letters of authority or other notices; (3) threatening or intimidating a taxpayer by making unreasonable demands; (4) frequent visitation at taxpayer’s place of business even after office hours; (5) unauthorized disclosure of audit findings that do not bear the approval and conformity of the approving authority; (6) premature disclosure to taxpayer of audit findings which are not supported by substantial evidence; (7) other similar or analogous acts or infractions. – RMO 53-2010

There are so many BIR-audit procedures consciously broken that taxpayers are not aware of.  The failure to render Report of Investigation within 180 days is just one of them.  Taxpayers need a community that will strengthen and help them identify BIR irregularities.  Be part of one as ETM-Tax Agent Office will be having our second annual Taxpayer’s Conference. Be your own hero.  Change starts from within.  Call us at (02) 425-9225 / 0922-801-0922 or email us at etmtaxagentofficeinc@gmail.com for more details.

This article is a privileged communication.  The foregoing is written based on the author’s conviction and belief.

By |2018-05-15T08:55:27+00:00August 13th, 2016|Education, Expert Insight|