BIR still trying to hit P1.066-T collection target, says RATE program paying off

The Bureau of Internal Revenue Commissioner Kim Henares reaffirmed the BIR’s confidence that it will reach P1 trillion in collections this year—but she also maintained that the bureau's actual collections target of P1.066 trillion is much harder to attain. “We will hit the P1 trillion. Everyone has been working hard,” Henares said. The BIR will reach it with the help of its Run After Tax Evaders (RATE) program, which, said Deputy Commissioner Estela Sales, is resulting in more taxpayers filing proper returns. The BIR has so far filed 133 tax evasion cases, from which it hopes to collect at least P50.773 billion in unpaid taxes. On Thursday, the BIR filed tax evasion cases at the Department of Justice. In one it demanded the payment of taxes amounting to P16.44 million from a Mandaluyong contractor who, said the bureau, avoided filing tax returns on a property for three years. Another case was filed against a property seller in Manila who failed to pay capital gains tax and, according to the bureau, owes P461,433.37 (including surcharge and interest) in capital gains tax. The buyer of the property has also been slapped with a lawsuit for failing to pay documentary stamp tax on the property. The BIR is requiring the buyer to pay P115,953.63 with surcharge and interest. The BIR also filed criminal charges against the Registrar of Deeds for allowing the transfer of property without a BIR certificate. The BIR’s collections account for around 70 percent of total government revenues. — BM, GMA News