BIR unveils 26-point program to increase tax collection

A 26-point program aimed at further improving its performance and hitting its collection goal this year of P1.25 trillion has been released by the Bureau of Internal Revenue (BIR). In a memorandum circular, the BIR identified 26 major projects that will help the agency sustain a positive collection growth, including vigorously pursuing the Run After Tax Evaders (RATE) and Oplan Kandado programs. The RATE program seeks to identify and prosecute high-profile tax evaders through investigation of large-scale violators of the National Internal Revenue Code. It is aimed at enhancing voluntary compliance among taxpayers by impressing on the public that tax evasion is a criminal offense punishable under the law. Oplan Kandado, meanwhile, strengthens the BIR’s imposition of prescribed administrative sanctions for non-compliance. Other initiatives of the BIR under the 26-point program include the rationalization and automation of tax payment processes. An example is an automated facility on excise allowing excise taxpayers to electronically submit the official registry books for monitoring and reconciliation purposes. BIR commissioner Kim Henares said the agency will also implement the internal integrated system on the use of secured stamps for cigarettes, ensuring 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. A web-based system enabling establishment of accurate accounts receivables/delinquent accounts database for easy monitoring and timely generation of required correspondences and reports will also be adopted. Taxpayers can also file transfer tax transactions online through a system capable of automated computation of tax due and generation of tax returns. The BIR will also put in place a facility allowing taxpayers to update information and linking third parties like state-run pension providers, Securities and Exchange Commission, Land Transportation Office, Professional Regulation Commission, Insurance Commission, among others. Large taxpayers are expected to contribute P768.3 billion this year, an increase of 14 percent from 2012, with the balance coming from revenue regions and districts across the country. — SOA/BM, GMA News