Creation of the Assets, Liabilities and Networth Unit

May 21, 1975 REVENUE ADMINISTRATIVE ORDER NO. 02-75 SUBJECT : Creation of the Assets, Liabilities and Networth Unit TO : All Concerned Objective A preliminary survey shows that quite a number of people failed to comply with the requirements of P.D. No. 379, (Assets & Liabilities) in relation to P.D. No. 631 and allied regulations, due to varied reasons which range from honest mistakes and inadvertence to sheer indifference and outright defiance. cdta To emphasize the Government's legitimate intentions, and for the comfort of the law-abiding who complied without any reservations whatsoever and, finally, to serve as a stern warning to the skeptics and the unscrupulous that revenue measures should not be taken lightly, an immediate investigation is imperatively needed. Functions and Duties To meet effectively the foregoing demand of the revenue service and to discourage immediately any further scheme to subvert revenue laws, the Assets, Liabilities & Networth Unit, under the direct authority of the Commissioner of Internal Revenue, and shall be a unit of the Assessment Department, is hereby created with the following duties and responsibilities: 1. To gather, collate, evaluate and investigate information from all sources relating to possible discovery of those who, for any reason whatsoever, failed to file their Statement of Assets, Liabilities & Networth, pursuant to P.D. No. 379, in relation to P.D. 631, and other pertinent regulations therefor. 2. To institute necessary measures or action to compel compliance with PD 379, by those who previously failed to do so, and to impose and/or collect the corresponding fees or penalties incident to such violation and, if necessary, to prosecute violators in Court should they persist in their infractions. 3. To prepare a master list of persons whose net worth has substantially increased since the last declaration, for possible assessment of whatever taxes may be due them. 4. To perform such other functions as the Commissioner may assign to this Unit from time to time as the exigencies of the revenue service may require. Organizational Structure The Assets, Liabilities and Networth Unit shall be headed by a Unit Chief who shall carry out the duties and functions enumerated above, to make a periodic report to the Commissioner of Internal Revenue regarding the work progress and other vital information which might serve in the formulation of national policies. He shall be assisted by an Assistant Chief who shall act in his absence or incapacity, preferably a member of the Bar who has extensive experience, both in office and field work where law is involved. The following are hereby appointed to constitute the nucleus of the personnel of the Unit, to be augmented from time to time as the need arises: Irineo L. Santos, Jr. Chief of Unit Nerio A.. Dapul Assistant Chief FIELD FORCE Examiner Andres Bermio Examiner Ramon Cubacub Juanito de Castro Ramon Jabrica Buenaventura Mariano Feliciano Katibay Manuel Aguilar Jose Sta. Maria Honesto C. Nunez Santos Bernabe Jose Fadri Arturo C. Boniol Procedure All implementing rules, regulations, assignments and others shall be issued from time to time upon the recommendation of the Unit Chief, through the Revenue Operations Head, Assessment Department. Repealing Clause All previous orders, circulars, memoranda and instructions or portion thereof which are inconsistent herewith are hereby revoked and superseded. Effectivity This Order shall take effect immediately upon approval. cd MISAEL P . VERA Commissioner of Internal Revenue