THE Bureau of Internal Revenue (BIR) has suspended its auditing and field operation activities on business establishments and taxpayers for over three weeks to allow the completion of reports on their cases.
According to Revenue Memorandum Circular 87-2014, issued on December 5 and signed by commissioner Kim S. Henares, “all field audit and other field operations of the BIR relative to examinations and verifications of taxpayers’ books of accounts, records and other transactions are hereby ordered suspended for the period December 16, 2014 to January 4, 2015.”
The circular said there will be no field audit, field operations, or any form of business visitation in execution of letters of authority or audit notices, letter notices, or mission orders that will be conducted.
“In general, examiners and investigators shall make use of this period to do office work on their cases and to complete the report on those with already completed,” it stated.
Lita Ma. I. Chin, chief of assessment division of BIR Revenue Region 19-Davao City, said the order will put on hold the reports and auditing of 22 establishments that were under surveillance this year.
She said the surveillance of the 22 and the reports on other business establishments will be continued the following year once the suspension is lifted.
However, there are exceptions to the circular: investigation of cases prescribing on or before April 15, 2015; processing and verification of estate tax returns, donor’s tax returns, capital gains tax returns, and withholding tax returns on the sale of the real properties or shares of stocks together with the documentary stamp tax returns related thereto; examination and/or verification of internal revenue tax liabilities of taxpayers retiring from business; audit of national government agencies, local government units, and government owned and controlled corporations and their subsidiaries and affiliates; monitoring of privilege stores or tiangge; stocktaking; and other matter or concerns where deadlines have been imposed or under the orders of BIR Commissioner Henares.
Service of assessment notices, warrants and seizure notices are also still in effect.
“All efforts should be directed to ensure maximum collection in the remaining days of the year,” the circular stated.
Published in the Sun.Star Davao newspaper on December 20, 2014.