Implementing Rules and Regulations on the Accessibility of Information on Taxpayers Between BIR and LGUs

April 3, 2008 BLGF MEMORANDUM CIRCULAR NO. 005-08 TO : Regional Directors for Local Government Finance; District Treasurers Assessors of Metropolitan Manila; Provincial, City and Municipal Treasurers and Assessors; and Others Concerned SUBJECT : Implementing Rules and Regulations on the Accessibility of Information on Taxpayers Between the Bureau of Internal Revenue and the Local Government Units for Tax Collection Purposes Pursuant to Executive Order No. 646 For the information and guidance of all concerned, attached is a copy of Department Order No. 9-08, dated 26 March 2008 prescribing the rules and regulations to implement the provisions of Executive Order 646. Paragraph B thereof provides as follows: B. The Local Government Units (LGUs) shall: 1. Furnish the BIR thru the RDO, a soft copy of the following data/documents in Excel format using diskette/Compact Disk (CD) or e-mail or on-line via BIR Portal, upon availability of the system (for non-computerized LGUs, hard copies may be allowed), for the purpose of evaluating tax compliance and collection of correct internal revenue taxes: 1uplalg2008 1.1 Updated Masterlist of Taxpayers as to Type of Ownership ( e.g. Individuals/Corporations/Partnership/Estate/Trust, etc.) classified by industry for newly registered taxpayers of the preceding year and taxpayers whose business permits were renewed for the current year (refer to Annex "A" ) on or before April 15 which shall be prepared by the Local Treasurer; cEITCA 1.2 Masterlist of Retired Businesses of the preceding year (refer to Annex "B" ) on or before April 15 which shall be prepared by the Local Treasurer; 1.3 Copy of Assessment Roll as of December 31, 2007 (List of Existing Tax Declarations of Real Properties) on or before April 15 of the current year, with subsequent quarterly updates (refer to Annex "C" ) on the 15th working day following the end of the quarter as prepared by the Local Assessor; 2. Upon written request of the Commissioner of Internal Revenue or his duly authorized representative, make available through the Local Treasurer, other LGU records such as but not limited to the following lists: Contractors/Suppliers engaged in Projects in their respective LGUs, Market Vendors, Cockpit Operators, Quarry Operators/Owners; as well as cost and volume of production, receipts or sales and gross incomes pertaining to any person, partnership, corporation or association subject to internal revenue taxes. Provided, however, that the information that will be gathered shall be exclusively utilized to ascertain, assess, and collect the correct amount of internal revenue taxes and that it shall not be disclosed to any unauthorized person, with due regard to the security of taxpayer's information as provided in Section 4 of Executive Order No. 646. Accordingly, the Provincial, City and Municipal Treasurers and Assessors are hereby directed to observe and comply with the foregoing instructions pursuant to paragraph C of the Department Order, otherwise it shall make them liable for administrative sanction pursuant to existing laws, rules and regulations. The District Treasurers and Assessors of Metropolitan Manila and all Provincial Treasurers and Assessors are hereby instructed to disseminate the contents of this Circular, including the attachments, to all City and Municipal Treasurers and Assessors within their respective jurisdictions. cHCIDE (SGD.) MA. PRESENTACION R. MONTESA Executive Director ATTACHMENT Click here to view the full text of DOF Order No. 009-08 dated March 26, 2008