Statement of Functions of the Planning and Research Service, Including the Divisions Under It Down to Section Level

February 16, 1988 REVENUE ADMINISTRATIVE ORDER NO. 06-88 SUBJECT : Statement of Functions of the Planning and Research Service, Including the Divisions Under It Down to Section Level TO : All Internal Revenue Officers and Others Concerned I. Objective : This Order states the organization and functions of the Planning and Research Service in accordance with the Bureau reorganization under Executive Order 127. It further and specifically aims to formally merge the Planning Division and the Policy Division into Planning and Research Division, except that the International Tax Policy Section of the Policy Division shall be under the International Tax Affairs Division of the newly constituted Special Operations Service. This Order also formally transfers the Statistical Analysis Division from the Management and Policy Service to the Financial Service as well as changes the name of "Management and Policy Service" to "Planning and Research Service." II. Organization : The following Divisions with their respective Sections compose the Planning and Research Service: A. Management Information and Data Control Systems Division 1. Organization and Manpower Section 2. Reports Monitoring and Forms Design Section 3. Methods and Procedures Section 4. Computer Systems Development Section B. Planning and Research Division 1. Tax Planning and Policy Section 2. Data Research and Special Projects Section 3. Monitoring and Evaluation Section C. Tax Information and Assistance Division 1. Tax Information Section 2. Publication Section III. Functions : The Planning and Research Service shall have the following functions: 1. Perform staff, advisory, consultative functions relative to planning, policy and project development, management improvement and tax information/education; casia 2. Undertake the formulation of plans including project development for the Bureau in coordination with its various units and serve as its representative in the preparation of the national development plan to ensure consistency with overall development objectives; 3. Prepare and recommend the adoption of such rules and regulations required to implement approved internal revenue and other tax laws administered by the Bureau; 4. Conduct research, studies and recommend special projects that can improve tax law enforcement and administration; 5. Provide technical assistance to top management relative to the computerized BIR Management Information System (MIS); 6. Undertake the codification of the National Internal Revenue Code and the preparation and printing of the same whenever necessary; 7. Develop and prepare criteria for the Bureau's policy on investigation through selective audit; 8. Develop an industry profile (based on NEDA classification for use as basis in the preparation of the audit selection criteria; 9. Consult and coordinate with the various units of the Bureau and other agencies (government or private) relative to feasibilities of exploring other areas of the industry geared towards increased tax collection; aisa dc 10. Take charge of the preparation and revision of the Alpha Tax Numeric Code; 11. Study and prepare comments and recommendations on proposed tax legislations; 12. Provide assistance to the Commissioner in the formulation of tax policies, guidelines and proposed internal revenue tax legislations for submission to the President and/or to the legislative body; and 13. Perform such other related functions as may be assigned to it. A. The Management Information and Data Control Systems Division shall perform the following functions: 1) Develop projects, work programs and set up standards, guidelines and procedures relative to management improvement and management information and data control systems in the Bureau; 2) Examine the administrative organization and make recommendations for improvement; 3) Supervise the computerization of the BIR Management Information System (MIS); 4) Maintain and update the Bureau's manual on organization and functions, procedures and other related manuals; 5) Undertake regular management audit of organizational structure, manpower and operations of all units of the Bureau; casia 6) Review existing methods, procedures, administration and internal control systems and make recommendations for improvements; 7) Develop new and improved management systems and exercise staff supervision over the implementation of such improvement; 8) Develop staffing standards and manpower requirements; 9) Analyze and evaluate accomplishment reports of national and regional offices for control purposes and adherence to rules and regulations and for measuring efficiency and effectiveness of these offices; 10) Take charge of the design and control of BIR forms including unnumbered forms; 11) Provide assistance to staff and line units on the development of their organization, functions, staffing and methods and procedures; 12) Consolidate the annual work plan and prepare the annual report of the Bureau and such other management reports as may be required; and 13) Perform such other related functions as may be assigned to it. A-1 Organization and Manpower Section a) Plan, develop and improve guidelines on BIR organization and manpower requirements and utilization for central and field offices; casia b) Examine the administrative organization and make recommendations for improvements; c) Maintain and update the Bureau's manual on organization and functions and other related manuals; d) Undertake management audit of the Bureau's organizational structure and manpower requirements and utilization; e) Review proposed issuances for conformity to Bureau policies and assist in the establishment of standards for style and format of management documents; f) Provide technical assistance to staff and line units in the development of their organization, functions and staffing needs; g) Provide top management with data or information on organization and manpower upon request; and h) Perform such other related functions as may be assigned to it. A-2 Reports Monitoring and Forms Design Section a) Develop work programs, guidelines and procedures relative to the Bureau's operations and annual and/or periodic work plans and accomplishments; b) Design and/or revise forms for the improvement of controls and efficiency in the Bureau's entire operations and review proposed forms designed by other units of the Bureau; c) Provide assistance to staff and line units on the constraints encountered on work plans submitted; d) Conduct studies to determine effectiveness of newly-installed system of reporting programs, plans and accomplishments, as well as applicability of already existing systems; cd i e) Maintain a system of control over all forms issued/revised, distributed and replenished; f) Conduct regular evaluation of existing forms to determine their applicability and relevance and to recommend their revision, whenever necessary; g) Evaluate national and regional accomplishment reports giving significance to performance vis-a-vis goals and objectives, efficiency and effectiveness; h) Prepare and submit to top management consolidated national and regional reports on work programs and accomplishments as well as the annual report of the Bureau to the Department of Finance; and i) Perform such other related functions as may be assigned to it. A-3 Methods and Procedures Section a) Plan, develop and improve standards, methods and procedures relative to BIR operations; b) Conduct management audit of BIR operations and activities to improve techniques, methods and procedures and recommend solutions to procedural problems; c) Prepare guides and standards relating to the preparation of manual of operations of the different units of the Bureau and initiate updating thereof; d) Conduct a continuing study on the reporting system of the Bureau with a view to simplifying reports and designing and revising forms for the improvement of the Bureau's systems and procedures; cdt e) Examine operations involving voluminous paperwork for possibility of integrating the same into the computerized Management Information System of the Bureau; f) Provide technical assistance to staff and line units in the development of methods and procedures regarding their particular operations; and g) Perform such other related functions as may be assigned to it. A-4 Computer Systems Development Section a) Develop, design and maintain a computerized Management Information System (MIS) for the Bureau; b) Implement computer applications for the improvement of the Bureau's systems and procedures in coordination with the Revenue Computer Center (RCC); c) Prepare, maintain and update computer programs including documentation; d) Identify and analyze information needs for the development and/or modification of data processing systems of National and Regional Offices in coordination with RCC; e) Identify and analyze problems encountered in data processing and recommend solutions thereto; f) Conduct management audit of BIR computer operations/activities and make recommendations to further streamline operations; g) Analyze changes and enhancements to existing software and determine impact on existing production systems, systems design, programming standards and operating procedures; acd h) Install sample systems test before putting new or modified software into production; i) Prepare guides and standards relating to the preparation of computerized procedural manuals and initiate updating thereof; j) Perform support service in the development and maintenance of micro-computer applications of the divisions in the Central Office; and k) Perform such other related functions as may be assigned to it. B. Planning and Research Division 1) Develop long-range plans including the formulation and reformulation of goals, strategies and programs for the improvement of the Bureau's performance; 2) Assist the Commissioner in the formulation and development of the internal and the external policies in accordance with the Bureau's long-range tax plans; 3) Assist, guide, coordinate, oversee and monitor the preparation of operational and tactical plans and projections of the various operating units of the Bureau in relation to the above long-range plans; 4) Undertake the formulation of plans on internal revenue tax administration including project development for the Bureau in coordination with the various units; 5) Provide assistance to the Commissioner in the formulation of internal revenue tax legislations or amendments to the National Internal Revenue Code for submission to the President and/or to the legislative body; 6) Prepare comments and recommendations on any proposed legislative measure that will affect internal revenue collection and administration or which may have tax implications; aisa dc 7) Represent the Bureau in the inter-agency committees of the Department of Finance, NEDA, and other related agencies in the preparation of fiscal plans, national development plans and other related planning sessions; 8) Provide technical support to the interagency projects, public tax hearings, domestic tax conventions and other related undertakings; 9) Act as liaison with other government agencies involving long-term planning and research on tax matters; 10) Monitor socio-economic variables domestically and internationally that can affect the Bureau's overall performance; 11) Undertake the codification of the NIRC and the preparation and printing of the same whenever necessary; 12) Prepare, compile and/or revise the Alpha Tax Numeric Code; evaluate and assign codes for new tax measures; 13) Develop and prepare criteria for the Bureau's policy on investigation through selective audit; 14) Develop an industry profile (based on NEDA classification) for use as a basis in the preparation of the audit selection criteria; 15) Consult and coordinate with the various units of the Bureau and other agencies (public or private) relative to feasibilities of exploring other areas of the industry geared towards increased tax collections; and 16) Perform such other related functions as may be assigned to it. B-1 Tax Planning and Policy Section a) Formulate, develop and review tax plans, goals, strategies and programs for the improvement of the Bureau's performance; b) Assist, guide, coordinate, oversee and monitor the preparation of tactical plans and projects of the various operating units of the Bureau in relation with the above; c) Develop and recommend domestic tax policies; d) Review, assess and monitor domestic tax policies and their effects on revenue collections and administration; cd e) Formulate forecasting methodologies and prepare projections; f) Conduct studies on the developments in different sectors and/or industries and evaluate their implications on the Bureau's operations; g) Conduct continuing research and studies on developments in the domestic economy as well as those in other countries and assess their effects on the Philippine tax system; h) Undertake in-depth and continuing studies on the effect of tax reforms upon major sectors of the economy; i) Formulate policy guidelines as practical aids in the preparation of final policy recommendations; j) Prepare drafts of revenue tax legislations for submission to the President and/or the legislative body; k) Study and prepare comments and recommendations on proposed tax legislations, amendments to the National Internal Revenue Code and all other tax laws; and l) Perform such other related functions as may be assigned to it. B-2 Data Research and Special Projects Section a) Design and conduct surveys in coordination with the Tax Planning and Policy Section to obtain data and information for use in planning and policy formulation; b) Present relevant statistical data in coordination with the Statistical Analysis Division and analyze them for use in planning and policy decisions; c) Undertake the codification of the NIRC and the preparation and printing of the same, whenever necessary; d) Prepare, compile and/or revise the Tax Numeric Code; evaluate and assign codes for new tax measures; e) Develop and prepare criteria for the Bureau's policy on investigation through selective audit; f) Provide technical support to inter-agency projects, public tax hearings, domestic tax conventions and other related undertakings; g) Prepare and monitor revenue regulations and other administrative issuances including Revenue Memorandum Circulars, Revenue Memorandum Orders, Alpha Tax Numeric Codes, required to implement tax laws, and oversee their publication; h) Consult and coordinate with the various units of the Bureau and other agencies (public or private) relative to feasibilities of exploring other areas of the industry geared towards increased tax collection; and i) Perform such other related functions as may be assigned to it. B-3 Monitoring and Evaluation Section a) Evaluate and report on the socio-economic effects of new tax laws and rules and regulations in the light of the intended objectives; b) Monitor, assess and report the implementation and effects of new tax measures as well as tax plans of the Bureau; c) Estimate the revenue effect of proposed tax measures; d) Liaise with other government agencies in the conduct of their research, census and/or surveys related to taxation; e) Monitor and analyze international, national and regional socio-economic developments in relation to the Bureau's operation; and f) Perform such other related functions as may be assigned to it. C. Tax Information and Assistance Division 1) Develop, formulate and recommend policies and work programs and set up standards, guidelines and procedures for the implementation of the tax information and education program of the Bureau to attain the highest degree of voluntary tax compliance and intensity tax consciousness; 2) Determine, monitor and analyze public reactions and attitudes towards the Bureau's policies, implementing revenue laws, regulations and other issuances; 3) Conduct an aggressive and continuing tax information and education campaign covering laws and regulations in tax administration and collection in coordination with regional and district offices to maximize potentials on all sources of revenue; 4) Coordinate with mass media channels, i.e. press, radio and television, for the effective launching of periodic tax campaigns; 5) Render assistance to taxpayers in filing returns, answering queries, etc.; 6) Evaluate tax information and assistance activities to determine adherence to standards, guidelines and procedures; and 7) Perform such other related functions as may be assigned to it. C-1 Tax Information Section a) Plan, develop and improve standards, guidelines and procedures on tax information; b) Plan, develop and conduct seminars, conferences and forums on tax information; c) Launch aggressive regional tax information drives in coordination with the regional offices of the Bureau and other government offices to maximize potentials on all sources of revenue; d) Plan, develop and accomplish audio-visual presentations on tax information and education for showing to the general public; e) Operate and maintain audio-visual equipment for use in seminars, conferences, briefings, forums, meetings and other similar affairs; f) Evaluate tax information activities to determine adherence to standards, guidelines and procedures; and g) Perform such other related functions as may be assigned to it. cd i C-2 Publication Section a) Plan, develop and improve standards, guidelines and procedures on publications; b) Conduct researches and studies to determine tax publication needs, as well as the most economical and effective techniques and methods for publication; c) Prepare and publish the Bureau's official publication; d) Prepare and publish tax primers, pamphlets, newsletters, posters, tax calendars, and other printed matters relating to internal revenue taxes; e) Compile newspaper and magazine clippings of news items and articles relating to the revenue service for reference purposes; f) Evaluate and analyze public attitudes and reactions towards the bureau to determine the information needs of the reading public; and g) Perform such other related functions as may be assigned to it. IV. Repealing Clause : This Order supersedes the provisions of Revenue Administrative Order No. 9-86 dated July 2, 1986 insofar as they pertain to the above mentioned functions and all other revenue issuances or portions thereof inconsistent with the provisions of this Order. V. Effectivity : This Order shall take effect immediately. BIENVENIDO A. TAN, JR. Commissioner