Organization and Functions of the Regional Offices Including the Divisions and Revenue District Offices Under Them Down to Section Level

August 7, 2000 REVENUE ADMINISTRATIVE ORDER NO. 10-00 SUBJECT : Organization and Functions of the Regional Offices Including the Divisions and Revenue District Offices Under Them Down to Section Level TO : All Internal Revenue Officers and Others Concerned I. OBJECTIVE: This Order defines the organization and functions of the Regional Offices (ROs) including its divisions and the Revenue District Offices (RDOs) down to sections pursuant to Executive Order No. 175 dated November 3, 1999 on Organizational Restructuring of the Bureau of Internal Revenue to Improve Administrative Control Over Certain Categories of Taxpayers. II. ORGANIZATION: The Regional Office shall be under the direct supervision of the Deputy Commissioner for Operations Group. It shall be headed by a Regional Director and shall be composed of the following divisions and RDOs with their respective sections: TCIEcH A. Office of the Regional Director and Assistant Regional Director (including Taxpayer Assistance Unit and Human Resource Management Unit) B. Assessment Division 1. Assessment Programs and Performance Audit Section 2. Review and Evaluation Section 3. Tax Billing Section 4. Office Audit Section C. Collection Division 1. Collection Programs and Performance Audit Section 2. Receivable Accounts and Collection Enforcement Section 3. Withholding Agents Monitoring Section D. Legal Division 1. Litigation and Prosecution Section 2. Appellate and Personnel Inquiry Section 3. Law Section E. Finance Division 1. Revenue Accounting Section 2. Accounting Section 3. Budget Section F. Administrative Division 1. General Services Section 2. Property Section 3. Records Section G. Special Investigation Division 1. Intelligence Operations Section 2. Tax Fraud Investigation Section H. Revenue District Office 1. Assessment Section 2. Collection Section 3. Taxpayer Service Section 4. Administrative Section 5. Document Processing Section III. FUNCTIONS: A. REGIONAL OFFICE shall: 1. Administer and enforce internal revenue laws including the assessment and collection of all internal revenue taxes, charges and fees from taxpayers within the region's jurisdiction; 2. Establish regional standards and programs to ensure proper and effective implementation of National Office's policies and programs within the revenue region; 3. Implement a taxpayer assistance program that will cater to the needs of taxpayers within the region's jurisdiction; 4. Investigate tax fraud cases falling within the region's jurisdiction including the conduct of intelligence operations and institution of civil and criminal cases/actions to effect collection of taxes and punishment of tax violators; 5. Sign/issue Letter of Authority (LA) for the examination of taxpayers within the region; 6. Approve and issue Tax Verification Notices (TVNs) in order to facilitate the verification and processing of tax returns requiring the immediate issuance of tax clearance certificates; 7. Enforce collection of delinquent accounts under its jurisdiction including collections thru summary remedies; 8. Allocate/modify goals of RDOs under its jurisdiction; 9. Administer the fiscal and budgeting operations as well as general services and physical maintenance of the Regional Office (RO); 10. Exercise administrative supervision over the Excise Tax Areas (EXTAs) and Large Taxpayers Division in Regional Offices with identified Large Taxpayers; 11. Monitor the implementation and evaluation of the Region's human resource development and management policies and programs; 12. Monitor and oversee all phases of operations of divisions and RDOs under its jurisdiction; 13. Evaluate the effectiveness of National Office's policies and programs and recommend necessary revisions to bring about improved operation and service; 14. Coordinate with proper offices in the implementation of the abovementioned functions; 15. Monitor, evaluate and improve activities and programs under the Region's responsibility; 16. Review, revise and/or approve all reports and other actions of the divisions/district offices under the Regional Office; 17. Consolidate and/or prepare prescribed reports for submission to the offices concerned; and 18. Perform such other related functions as may be assigned. Taxpayer Assistance Unit shall: 1. Administer regional programs, methods and procedures necessary for the efficient and effective implementation and delivery of fast, efficient and courteous frontline service to the taxpayers; 2. Assist the Regional Director in organizing tax seminars, dialogues and fora within the region; 3. Establish and maintain linkages with local chapters of business, civic, professional and religious organizations as well as print and broadcast media in the taxpayer service and information activities; 4. Monitor and evaluate implementation of taxpayer assistance programs by the district offices and recommend improvements thereon; 5. Monitor and coordinate with proper offices relative to TRU/registration activities and programs; 6. Coordinate with other BIR offices and/or external offices relative to the implementation of the abovementioned functions; 7. Prepare prescribed reports for submission to the offices concerned; and 8. Perform such other related functions as may be assigned. Human Resource Management Unit shall: 1. Develop and recommend for approval regional programs, plans, standards, guidelines and other related activities pertinent to personnel administration/welfare and training; 2. Identify the human resource requirements of the Regional Office and undertake the selection, hiring and placement, promotion of qualified applicants for positions within the coverage of the delegated and decentralized authority of the Regional Director; 3. Prepare and submit recommendation to the Regional Director pertaining to personnel movement for the concurrence and subsequent indorsement to the Department of Finance (DOF) for approval thru channels; 4. Prepare and submit monthly payroll of contractual employees to the Budget Division thru the Finance Division for funding purposes; 5. Prepare disbursement vouchers for the payment of salaries and other monetary claims of contractual employees of the Information Systems Group (ISG) detailed at the regional and district levels; 6. Update personal data of the regional personnel and submit updated reports and other supporting documents to the Personnel Division of the Human Resource Development Service (HRDS) for input in the Human Resource Information System (HRIS); 7. Assist in the processing of application for membership in GSIS, PAG-IBIG and other government program for other benefits and related transactions in coordination with the Personnel Division of the HRDS; 8. Act on matters concerning attendance, personnel records as well as application for sick, vacation and maternity leaves of absence of personnel covered within the delegated and decentralized authority of the Regional Director and coordinate with the Personnel Division/HRDS all matters/transactions which are not covered by the authority of the Regional Director; 9. Ensure the effective implementation of policies, programs and guidelines in the Performance Evaluation System (PES) and submit appraisal reports of all offices within the region; 10. Evaluate the training needs of the regional personnel and recommend to the Training Management Division the resulting training requirements; 11. Provide training management support in the regional level conducts to ensure the implementation of the National Office Training Calendar; 12. Implement welfare activities and programs covering all regional personnel; 13. Act as custodian of personnel records of regional officials and employees; 14. Consolidate and transmit required reports on Statement of Assets and Liabilities (SAL), Current Personnel Strength (CPS) and Summary Report of Attendance (SRA); 15. Monitor and report compliance to Chief, Personnel Division through ACIR, HRDS on Revenue Travel Assignment Orders and Revenue Special Orders; and 16. Perform such other related functions as may be assigned. B. Assessment Division shall: 1. Administer regional plans, activities, standards and other measures necessary to implement assessment programs prescribed by the National Office; 2. Conduct office audit of tax returns and reinvestigation of protested office audit cases of taxpayers; 3. Review and evaluate all audit/verification reports including claims for tax credit/refund of internal revenue taxes, transfers of properties and capital gains tax cases except those involving erroneous or illegal collection of taxes whenever there are questions of law, and those involving tax fraud criminal prosecution; 4. Prepare, issue and monitor Pre-Assessment Notices (PAN) and Final Assessment Notices (FAN); 5. Review and act on all letters of protests, requests for reinvestigation and similar communications; 6. Provide liaison and coordination with other regions when investigation/audit involves assistance from district offices outside the region; 7. Prepare and issue Authority To Cancel Assessment (ATCA) when an assessment is cancelled or when a previously assessed deficiency tax is reduced as a result of reinvestigation/reconsideration of protested cases; 8. Prepare and recommend issuance of termination/confirmation letters on approved reports of investigation and reinvestigation; 9. Analyze reports on RDOs assessment activities and prepare reports thereon; 10. Coordinate with proper offices in the implementation of the abovementioned functions; 11. Prepare prescribed reports for submission to the offices concerned; and 12. Perform such other related functions as may be assigned. 1. Assessment Programs and Performance Audit Section shall: 1.1. Administer, monitor and evaluate the implementation of assessment programs and recommend improvements on existing policies and procedures relative thereto; 1.2. Develop, control and check quality of audits and reports; 1.3. Consolidate assessment reports and submit regional accomplishment report; 1.4. Analyze and evaluate the data from the reports (i.e. Assessment and Collection Reports and Accomplishment Reports) of the RDOs and prepare reports on violations disclosed; and 1.5. Perform such other related functions as may be assigned. 2. Review and Evaluation Section shall: 2.1. Review and evaluate all audit/verification reports including claims for tax credit/refund of internal revenue taxes, transfers of properties and capital gains tax cases except those involving erroneous or illegal collection of taxes whenever there are questions of law and those involving tax fraud criminal prosecution; 2.2. Determine whether a protested case is meritorious, if it merits further factual verification, return to RDO, Special Investigation Division (SID) or Office Audit Section, or if it needs legal action, refer to Legal Division; 2.3. Prepare and issue Pre-Assessment Notice; 2.4. Prepare and issue Confirmation Letters to the RDOs regarding transfer of properties for approval of the Regional Director; 2.5. Prepare for the approval of the Regional Director Termination Letters to be issued to taxpayers; 2.6. Monitor tax credit/refund issued by the RDOs to various taxpayers/claimants; and 2.7. Perform such other related functions as may be assigned. 3. Tax Billing Section shall: 3.1. Prepare, issue and monitor demand letters, Final Assessment Notices (FAN) and transcripts of assessments of tax cases; 3.2. Prepare and maintain a Monthly Summary of Taxes Assessed (BIR Form No. 40) in accordance with existing requirements; 3.3. Prepare Authority to Cancel Assessment (ATCA) whenever an assessment is cancelled or when a previously assessed deficiency tax is reduced as a result of reinvestigation or a reconsideration requested by the taxpayer; 3.4. Prepare and update records of every tax account assessed and demanded to indicate the status and/or whereabouts of the dockets; and 3.5. Perform such other related functions as may be assigned. 4. Office Audit Section shall: 4.1 Conduct original investigation of office audit returns under its jurisdiction; 4.2 Conduct factual verification of requests for reconsideration/reinvestigation of protested office audit cases; 4.3 Prepare corresponding report of investigation for approval of proper authorities; 4.4 Prepare and submit reports required by the National/Regional Office; and 4.5 Perform such other related functions as may be assigned. C. Collection Division shall: 1. Administer regional plans, activities, standards, and other measures necessary to implement the collection programs prescribed by the National Office; 2. Allocate/modify goals of RDOs under its jurisdiction; 3. Monitor collection of internal revenue taxes within the region; cHAaCE 4. Consolidate data on actual revenue collections and seized properties for the purpose of evaluating district collection performance; 5. Monitor the stop-filers list generated by the appropriate system; 6. Maintain liaison with authorized agent banks (AABs;) and ascertain compliance with collection and remittance procedures; 7. Maintain masterlist of all accounts receivable within the region and monitor their status; 8. Enforce collection based on the final judgment on appealed cases within its jurisdiction; 9. Undertake collection of taxes through summary remedies including issuance of collection letters, service and execution of Warrants of Distraint/Levy or Warrant of Garnishment, and Notice of Tax Lien to taxpayers within its jurisdiction; 10. Maintain updated inventory and records of distrained, levied and seized properties of taxpayers under its jurisdiction; 11. Monitor all matters pertaining to seized/forfeited properties within the region; 12. Monitor the sale/disposal of acquired assets within the region; 13. Evaluate offers of compromise settlement of delinquent accounts within its jurisdiction and prepare recommendation for approval of proper authorities; 14. Prepare and recommend issuance of ATCA on accounts receivable cases; 15. Coordinate with the proper offices in the implementation of the abovementioned functions; 16. Prepare prescribed reports for submission to the offices concerned; and 17. Perform such other related functions as may be assigned. 1. Collection Programs and Performance Audit Section shall: 1.1. Administer, monitor and evaluate the implementation of collection programs and recommend improvements on existing policies and procedures relative thereto; 1.2. Monitor the submission of collection reports generated by concerned offices and perform corresponding analysis of data/information contained in the reports for the purpose of evaluating the RDOs' collection performance and implementation of prescribed collection programs; 1.3. Allocate/modify goals of RDOs under its jurisdiction; 1.4. Monitor payments thru AABs, Revenue Collection Officers (RCOs) and Deputized Municipal Treasurers (DMTs) to ensure compliance with policies and procedures; 1.5. Keep records and supervise loading, reloading and sealing of all Documentary Stamp Tax metering machines with or without encryption and submit inventory reports to the Collection Programs Division; 1.6. Monitor the RDO's action on stop-filers/non-filers list; 1.7. Prepare and consolidate regional collection reports; and 1.8. Perform such other related functions as may be assigned. 2. Receivable Accounts and Collection Enforcement Section shall: 2.1. Monitor the transmittal of dockets and collection of all receivable accounts of the region; 2.2. Maintain a record of tax liabilities for tax clearance purposes and for verification before tax credits or refunds are granted; 2.3. Issue notice of delinquency to taxpayers with pending tax liabilities; 2.4. Issue Tax Clearance Certificates for domestic purposes (i.e. companies applying to participate in public biddings, appointment of military personnel for promotion); 2.5. Evaluate offers of compromise and request for abatement recommended by RDOs; 2.6. Prepare and recommend issuance of ATCA for the approval of the Regional Director in accordance with existing laws and regulations; 2.7. Prepare Notice of Tax Lien, Warrants of Distraint and/or Levy and Warrant of Garnishment in accordance with existing laws and regulations to enforce collection of delinquent accounts within the regional jurisdiction including lifting of Notice of Tax Lien and cancellation of the Warrant of Garnishment; 2.8. Maintain a record of the service and execution of Warrants of Distraint and/or Levy, Notice of Tax Lien and Warrant of Garnishment issued by all RDOs within the region; 2.9. Update the inventory and records of all acquired assets and submit required reports to offices concerned; 2.10. Monitor the sale/disposal of acquired assets within the region; 2.11. Monitor the redemption of dishonored checks within the region's jurisdiction; and 2.12. Perform such other related functions as may be assigned. 3. Withholding Agents Monitoring Section shall: 3.1. Monitor and evaluate the implementation of the withholding tax system in the district offices to determine adherence to withholding tax rules and regulations, standards, guidelines and procedures; 3.2. Monitor withholding tax reports and analyze data/information on withholding agents to improve voluntary compliance; and 3.3. Perform such other related functions as may be assigned. D. Legal Division shall: 1. Administer regional plans, activities, standards, and other measures necessary to implement the legal programs prescribed by the National Office; 2. Ensure the uniform application of tax laws, regulations and court decisions; 3. Prepare and issue legal opinions based on established precedents and elevate to Legal Service cases for rulings or opinions which involve national policies or where there are no established precedents; 4. Process claims for tax credit/refund within its jurisdiction involving erroneous or illegal collection of taxes and protests involving questions of law and recommend appropriate action for approval of the Commissioner or duly authorized representative; 5. Issue Subpoena Duces Tecum and subpoena witnesses when necessary; 6. Represent the Bureau or its personnel in the courts including quasi-judicial and administrative offices in the investigation, trial or hearing of civil and criminal cases as well as cases filed against officials and employees of the revenue regions; 7. Institute civil and criminal cases/actions to effect collection of delinquent internal revenue taxes and punishment of tax violators falling within its area of jurisdiction; 8. Act as government counsel in the investigation, hearing and trial of civil and criminal actions and file pleadings necessary for the prosecution of internal revenue tax cases within their area of jurisdiction; 9. Evaluate offers of compromise settlement of assessments involving legal issues within its jurisdiction and make recommendations for approval of the Regional Evaluation Board; 10. Recommend for the approval of the CIR or duly authorized representative, action on cases of protest involving questions of law under its jurisdiction; 11. Coordinate with the proper offices in the implementation of the abovementioned functions; 12. Prepare prescribed reports for submission to the offices concerned; and 13. Perform such other related functions as may be assigned. 1. Litigation and Prosecution Section shall: 1.1. Represent the Bureau or its personnel in the Court of Tax Appeals, Court of Appeals and the Supreme Court as well as the lower courts and in quasi-judicial and administrative offices in the investigation, trial or hearing of internal revenue civil and criminal cases as well as cases filed against officials and employees of the revenue regions; 1.2. Institute civil and criminal cases/actions to effect collection of delinquent internal revenue taxes and punishment of tax violators falling within its area of jurisdiction; 1.3. Issue Subpoena Duces Tecum and subpoena witnesses when necessary; 1.4. Act as government counsel in the investigation, hearing and trial of civil and criminal actions and file pleadings necessary for the prosecution of internal revenue tax cases within their area of jurisdiction; 1.5. Assist and coordinate with the Legal Service in the National Office with respect to litigation and prosecution work; and 1.6. Perform such other related functions as may be assigned. 2. Appellate and Personnel Inquiry Section shall: 2.1. Process claims for tax credit/refund within its jurisdiction involving erroneous or illegal collection of internal revenue taxes and protests whenever there are questions of law, for review and approval of the CIR or duly authorized representative; 2.2. Assist in the conduct of hearing of administrative charges involving illegal enrichment cases against regional personnel and violations of Anti-Graft and Corrupt Practices Act; 2.3. Receive and evaluate evidence in support of protested tax cases/disputed assessments within its jurisdiction where issues raised involve questions of law and recommend appropriate action for the final approval of the CIR or duly authorized representative; 2.4. Conduct preliminary researches on questions of law for presentation in formal investigation/hearing; 2.5. Maintain a systematic compilation of court and administrative decisions and doctrines for reference; and 2.6. Perform such other related functions as may be assigned. 3. Law Section shall: 3.1. Evaluate situations referred by district offices concerning application of a revenue ruling, technical advice or post review memorandum or an individual ruling and if appropriate, refer them to the National Office; 3.2. Prepare and issue legal opinions based on established precedents and elevate to the National Office cases for rulings or opinions which involve national policies or where there are no established precedents; 3.3. Review and evaluate for the approval of the Regional Director the reports and recommendations submitted by the RDOs regarding applications for tax exemptions such as: 3.3.1. Separation benefits under Sec. 32 (B) (6) (b) of the 1997 Tax Code; 3.3.2. Senior Citizens under R.A. No. 7432; 3.3.3. Cooperatives under R.A. No. 6938; 3.3.4. Requests of Private Sector participating in Socialized Housing Program and Community Mortgage Program for tax incentives under R.A. No. 7279 subject to guidelines to be issued by the Legal Service; 3.3.5. Request for exemption from the withholding tax on wages for the monetized ten (10) days vacation leave credits; 3.3.6. Request for change of accounting period (except change of accounting method) under Section 43 of the Tax Code; and 3.3.7. Other issues as may be delegated by the CIR in a separate revenue issuance; 3.4. Evaluate offers of compromise settlement of assessments involving legal issues within its jurisdiction and make recommendations for approval of the Regional Evaluation Board; and 3.5. Perform such other related functions as may be assigned. E. Finance Division shall: 1. Administer regional plans, activities, standards and other measures necessary to implement the financial programs prescribed by the National Office; 2. Administer the fiscal operations of the Regional Office; 3. Conduct internal audit of cash, property and accountable forms accountabilities of revenue personnel in the region; 4. Undertake the budgeting operations of the region; 5. Process, review and sign vouchers and payrolls of Regional and Revenue Data Center (RDC) personnel including contractual employees and certify availability of funds in compliance with existing accounting and auditing rules and regulations; 6. Process and review monthly collection and deposit slips of RCOs/DMTs stationed in municipalities where there are no AABs; 7. Account for the revenues and income generated as well as allotments and disbursements incurred by the region; 8. Prepare Journal Vouchers and Requests for Obligation of Allotment (ROA) and certify to the availability of funds; 9. Maintain prescribed accounting records and books of accounts relative to allotments and disbursements incurred by the region as well as on income and revenues collected under the Direct Payment System; 10. Maintain index cards and/or subsidiary ledgers pertaining to salaries, payroll/voucher deductions, salary refunds, uncomplied/unliquidated travels, cash advances, remittances to other government offices and private entities; 11. Remit taxes withheld, salary deductions of Regional and RDC personnel including contractual employees for GSIS, BIR, PAG-IBIG, Medicare and other private insurance to concerned entities; 12. Follow-up the liquidation of cash advances, payables and dormant accounts of Regional and RDC personnel including contractual employees; 13. Prepare and submit financial and budget reports or statements to the National Office for consolidation purposes and for submission to fiscal authorities; 14. Coordinate with the proper offices in the implementation of the abovementioned functions; 15. Prepare prescribed reports for submission to the offices concerned; and 16. Perform such other related functions as may be assigned. 1. Revenue Accounting Section shall: TAHIED 1.1. Maintain basic accounting records and books of accounts relative to income and revenues collected under the Direct Payment System; 1.2. Maintain accurate and updated subsidiary ledgers for all Revenue Collection Officers (RCOs) including Deputized Municipal Treasurers (DMTs), Administrative Division Chief, District Collection Supervisors, Accountable Forms Custodians and other accountable officers; 1.3. Reconcile, review, verify and analyze entries in the subsidiary ledgers of accountable officers; 1.4. Maintain records for dishonored checks paid thru the RCOs/DMTs and the redemption/settlement of the same; 1.5. Prepare monthly reconciliation statements for submission to the Bureau of Treasury (BTr); 1.6. Check the remittances made by the RCOs/DMTs as appearing in the Statement of Account Current of the Monthly Report of Collections against the validated remittance advices and abstract of deposits received from BTr, 1.7. Follow-up with RCOs/DMTs detected discrepancies in remittance and require remittance thereof; 1.8. Cross-check the entries in the Monthly Report of Accountability for Accountable Forms submitted by RCOs/DMTs against the data in the Monthly Report of Collections; 1.9. Make proper adjustments in the Monthly Report of Collection upon receipt of the Monthly Report of Dishonored Checks and upon verification of the entries against the copy of the Treasury Debit Voucher and Notice of Dishonor; 1.10. Prepare and submit to the National Office (NO) periodic trial balances and supporting financial statements; and 1.11. Perform such other related functions as may be assigned. 2. Accounting Section shall: 2.1. Maintain basic accounting records and books of accounts on allotments and disbursements; 2.2. Maintain records and/or subsidiary ledgers pertaining to salaries, payroll/voucher deductions, salary refunds, uncomplied/unliquidated travels, cash advances, remittances to other government offices and private entities; 2.3. Process, review and sign vouchers and payrolls of Regional and RDC personnel including contractual employees and certify availability of funds in compliance with existing accounting and auditing rules and regulations; 2.4. Remit taxes withheld, salary deductions of Regional and RDC personnel including contractual employees for GSIS, BIR, PAG-IBIG, Medicare and other private insurance to concerned entities; 2.5. Follow-up the liquidation of cash advances, payables and dormant accounts of Regional and RDC personnel including contractual employees; 2.6. Act as custodian of vouchers and supporting documents until such time that they are transferred to the Regional Auditor for post-audit and safekeeping; 2.7. Record and control funds transferred by the NO to the region; 2.8. Prepare and submit to the NO periodic trial balances and supporting financial statements; and 2.9. Perform such other related functions as may be assigned. 3. Budget Section shall: 3.1. Prepare and submit annual budget proposal of the revenue region; 3.2. Draw and review Request for Obligation of Allotment (ROA) for expenses incurred and/or anticipated by the Regional Office; 3.3. Prepare and submit budget reports to proper authorities; and 3.4. Perform such other related functions as may be assigned. F. Administrative Division shall: 1. Administer regional plans, activities, standards, and other measures necessary to implement the administrative programs prescribed by the National Office; 2. Supervise the general services program in the region such as security and janitorial services, mailing, and physical maintenance of the Regional Office and its facilities, office equipment and government vehicles; 3. Attend to the requisition, distribution, safekeeping as well as disposal and the effective monitoring and control of all utilization of equipment, supplies, accountable forms and other properties in the region; 4. Administer, coordinate and execute policies and programs of the Bureau relative to records management; 5. Prepare the necessary documents/requests and coordinate with the Commission on Audit (COA) regarding the use of acquired furniture and equipment that can no longer be sold despite inclusion in auctions; 6. Take charge of the monitoring and distribution of acquired assets in the custody of the RDOs and Collection Division of the region; 7. Maintain a detailed record of all reports, communications and various correspondence received and released by the region; 8. Act as custodian of all official records of the region; 9. Take charge of the fidelity and surety bonds in the Regional and District Offices; 10. Act as disbursing officer and special collecting officer of the Region and RDC; 11. Prepare and issue checks with the corresponding advices for all claims accruing within the Region and RDC; 12. Distribute all reports, issuances, rulings and communications to various offices of the region; 13. Coordinate with the proper offices in the implementation of the abovementioned functions; 14. Prepare prescribed reports for submission to the offices concerned; and 15. Perform such other related functions as may be assigned. 1. General Services Section shall: 1.1. Supervise the general services in the region, including RDCs such as security and janitorial services, mailing, printing, cleanliness and environmental sanitation of working areas and maintenance of office equipment and government vehicles; 1.2. Act as disbursing officer and special collecting officer of the Region and RDC; 1.3. Prepare and issue checks for all claims accruing within the Region and RDC; 1.4. Prepare "Advice of Checks Issued and Cancelled" and furnish the bank/s concerned daily or as often as necessary; 1.5. Prepare required reports such as Monthly Reports of Collection and Deposit, Disbursements and Accountabilities and Report of Checks Issued and Cancelled; and 1.6. Perform such other related functions as may be assigned. 2. Property Section shall: 2.1. Take charge of the requisition, distribution, safekeeping and control of all accountable forms of the region; 2.2. Supervise the procurement, requisition, allocation, accountability and utilization of supplies within the region; 2.3. Prepare and maintain records of memorandum receipts for equipment issued and requisitions for expendable supplies; 2.4. Prepare the necessary documents/requests and coordinate with the Commission on Audit (COA) regarding the use of acquired furniture and equipment that can no longer be sold despite inclusion in auctions; 2.5. Take charge of the monitoring and distribution of acquired assets in the custody of the RDOs; and 2.6. Perform such other related functions as may be assigned. 3. Records Section shall: 3.1. Supervise and control the movement of regional communications, tax returns, tax dockets and official records; 3.2. Distribute all reports, issuances, rulings and communications to various offices of the region; 3.3. Maintain a detailed record of all reports, communications and various correspondence received and released by the region; 3.4. Issue certified copies of regional tax records as requested by taxpayers; 3.5. Provide storage for current and non-current records and undertake the disposal of valueless records of the region; and 3.6. Perform such other related functions as may be assigned. G. Special Investigation Division shall: 1. Administer regional plans, activities, standards and other measures necessary to implement the tax fraud investigation and intelligence programs prescribed by the National Office; 2. Develop criminal tax cases and conduct intelligence operations to detect, prevent and neutralize individuals and organizations involved in syndicated crimes, smuggling and use of fake BIR accountable forms and other violations of the NIRC; 3. Gather, consolidate and interpret intelligence information relative to tax fraud matters from all available sources; 4. Conduct or undertake the investigation and/or recommend reinvestigation of tax fraud cases referred by the Enforcement Service/Assessment Division of the Regional Office, initiated and developed by the Division and cases referred by the RDO; 5. Conduct surveillance on taxpayers within the region and apprehend tax violators; 6. Conduct liaison activities with other intelligence, police and investigative agencies for the conduct of arrests, raids and seizures; 7. Coordinate and integrate all intelligence activities of the district offices within the region; 8. Prepare and submit regional accomplishment report on tax fraud investigation and intelligence operations to the National Office; 9. Conduct the investigation of administrative cases against personnel within the region involving light offenses; 10. Coordinate with the proper offices in the implementation of the abovementioned functions; 11. Prepare prescribed reports for submission to the offices concerned; and 12. Perform such other related functions as may be assigned. 1. Intelligence Operations Section shall: 1.1. Implement policies, work programs, standards, guidelines and procedures relative to intelligence operations of suspected criminal violators of internal revenue laws and regulations in the Regional Office; 1.2. Conduct surveillance on taxpayers within the region; 1.3. Coordinate all intelligence operations with the proper authorities; 1.4. Monitor, infiltrate criminal and syndicated groups, as well as identified suspected personalities engaged in activities directed against the BIR; 1.5. Conduct liaison activities with other intelligence, police and investigative agencies for the conduct of arrests, raids and seizures; 1.6. Conduct the investigation of administrative cases against personnel within the region on light offenses; and 1.7. Perform such other related functions as may be assigned. 2. Tax Fraud Investigation Section shall: 2.1. Implement policies, work programs, standards, guidelines and procedures relative to tax fraud investigations of suspected criminal violators of internal revenue laws and regulations in the regional office; 2.2. Conduct or undertake investigation of tax fraud cases after a thorough review of evidences against taxpayers in accordance with the established policies; 2.3. Conduct factual verification of requests for reconsideration/reinvestigation of protested cases within its jurisdiction; 2.4. Gather, consolidate and interpret intelligence information relating to tax fraud matters from all available sources; 2.5. Supervise the safekeeping of the confidential documents of the Division and control all data and communications received pertinent to cases handled; 2.6. Consolidate reports submitted by RDOs on the implementation of tax fraud investigation and intelligence programs for submission to the National Office; and 2.7. Perform such other related functions as may be assigned. REVENUE DISTRICT OFFICE shall: 1. Plan and develop programs, methods and procedures necessary for the efficient and effective assessment and collection of internal revenue taxes in the RDO, in accordance with the standards and guidelines set by top management; 2. Administer and implement within the district the assessment, collection, registration, administrative, document processing and taxpayer service programs of the Bureau; 3. Coordinate with local government units, district offices of the government bureaus or agencies and private sector groups regarding assessment, collection and other activities undertaken by the District; 4. Provide assistance to taxpayers and ensure delivery of fast, efficient and courteous service to taxpayers; 5. Sustain a year-round taxpayer awareness and tax information dissemination and education campaign; 6. Process all kinds of applications/requests for registration, such as registration/permit to engage in business or profession, books of accounts, use of loose-leaf sales invoices and receipts, use of computerized accounting systems and such other registration requirements prescribed by regulations; 7. Supervise/undertake audit of tax cases within the RDO's jurisdiction, in accordance with the audit program developed and prescribed by the National Office; 8. Conduct factual verification of requests for reconsideration/reinvestigation of protested cases within its jurisdiction; 9. Approve and issue TVNs as delegated in writing by the Regional Director in order to facilitate the verification and processing of tax returns requiring the immediate issuance of tax clearance certificates; 10. Process/audit all claims for tax credit/refund except those processed by the Legal Division and prepare Tax Credit Certificate/Voucher for approval of authorized official; 11. Monitor performance of Authorized Agent Bank Branches (AAB-Br) in terms of compliance with the prescribed procedures on acceptance of tax returns and payments and submission of tax returns/documents and reports; 12. Recommend issuance of Subpoena Duces Tecum; 13. Monitor stop-filer/non-filer cases; 14. Refer to Special Investigation Division cases which were discovered to have an indication of tax fraud and submit report thereon for consolidation and submission to the National Office; 15. Enforce collection of dishonored checks and delinquent accounts including collections thru summary remedies; 16. Recommend modification of due date on a holiday particular to the district for approval of NO; 17. Encode data from tax documents as per prescribed guidelines; 18. Maintain a masterlist of all taxpayers within the RDO's jurisdiction; 19. Identify potential taxpayers and establish a Taxpayers' Profile; 20. Coordinate with the proper offices in the implementation of the abovementioned functions; 21. Prepare prescribed reports for submission to the offices concerned; and 22. Perform such other related functions as may be assigned. 1. Assessment Section shall: 1.1. Prepare audit batch requests/taxpayer audit requests; 1.2. Conduct field audit investigation of tax cases; 1.3. Conduct factual verification of requests for reconsideration/reinvestigation of protested cases within its jurisdiction; 1.4. Prepare and submit reports of investigation together with the corresponding dockets of taxpayers to Assessment Division of the Regional Office; 1.5. Process dockets on capital gains, estate and donor's tax transactions for the preparation of the corresponding Tax Clearance Certificates/CARs by TSS and approval of authorized official; 1.6. Process applications for Contractors' Final Payment Release Certificate of contractors within its jurisdiction for the approval and signature of authorized official; 1.7. Process availment of tax subsidies under existing rules and regulations; 1.8. Refer to Special Investigation Division cases which were discovered to have an indication of tax fraud and submit report thereon for consolidation and submission to National Office; 1.9. Process applications/requests for tax exemption and forward report to Legal Division for appropriate action; 1.10. Process applications to use computerized accounting system and cash registers for approval of authorized official; 1.11. Process/audit all claims for tax credit/refund, except those processed by the Legal Division and prepare tax credit certificate/voucher for approval of authorized official; 1.12. Inspect taxpayer's premises to determine if it conforms with BIR requirements for purposes of registration; 1.13. Conduct investigation before effecting retirement of business of taxpayer who filed a Notice of Dissolution/Affidavit of Permanent Closure or those who ceased operations; 1.14. Evaluate Declaration of Loss sustained from casualty or from robbery, theft or embezzlement submitted by taxpayer and prepare corresponding reports; 1.15. Verify discrepancy cases arising from Tax Reconciliation System (TRS); 1.16. Recommend issuance of Subpoena Duces Tecum; 1.17. Witness destruction of obsolete or expired inventories and prepare corresponding reports; and 1.18. Perform such other related functions as may be assigned. 2. Collection Section shall: 2.1. Monitor the collection of all internal revenue taxes within the jurisdiction of the RDO; 2.2. Perform bank branch performance check on tax returns and prepare Bank Branch Performance Statistics (BIR Form No. 28.41); 2.3. Monitor the performance of AAB-Br and other authorized collection agents based on the submitted documents, Bank Branch Performance Statistics and the system generated reports; 2.4. Reconcile payment against remittance information submitted by AAB-Br/Bank Head Office and RCOs/DMTs; 2.5. Undertake quality verification of notices, various correspondence and ITS-generated reports to be issued to AABs and RCOs/DMTs; 2.6. Issue preliminary notices of violations related to timeliness and accuracy of collection information and documents submitted by AABs [including those under Electronic Data Transmission System (EDTS)] as well as preliminary demand letters for payment of penalties for said violations; 2.7. Evaluate/analyze AAB's response to issued preliminary notices of violations; Refer to Collection Programs Division (CPD), Collection Service AABs concerned failing to comply with preliminary notice of violation; 2.8. Prepare and submit monthly performance statistics of AABs to Collection Service; 2.9. Monitor tax credit/refund information within its jurisdiction; 2.10. Supervise all RCOs assigned in the different municipalities under the district's jurisdiction; 2.11. Monitor cash and forms accountabilities of RCOs/DMTs; 2.12. Encode all payments, deposit slips and dishonored checks received from RCOs/DMTs; 2.13. Issue discrepancy notice to RCOs/DMTs for compliance to collection and deposit requirements; 2.14. Evaluate response from RCOs/DMTs regarding discrepancies detected and implement administrative sanctions, if necessary; 2.15. Analyze and resolve suspended payment transactions based on reports generated/submitted by RDC; 2.16. Monitor compliance of taxpayers within its jurisdiction on filing and payment requirements of the Bureau; 2.17. Validate and monitor the stop-filers/non-filers list from RDC; 2.18. Send reminder letters to stop-filers/non-filers; 2.19. Search and ascertain the whereabouts of delinquent taxpayers/stop-filers falling under the district's jurisdiction, conduct ocular inspection of taxpayer's premises; 2.20. Process request for installment payment of tax liabilities and maintain installment plan; 2.21. Enforce collection of dishonored checks and accounts receivable/delinquent accounts; 2.22. Undertake collection of taxes through summary remedies including issuance of collection letters, service and execution of Warrants of Distraint and Levy (WDL) and/or Garnishment and Notice of Tax Lien to taxpayers within its jurisdiction; 2.23. Prepare and maintain an up-to-date record of district collection reports required by Regional and National Offices; 2.24. Maintain updated inventory and records of distrained, levied and seized properties of taxpayers under its jurisdiction; and 2.25. Perform such other related functions as may be assigned. 3. Taxpayer Service Section shall: 3.1. Deliver fast, efficient and courteous frontline service to the taxpayers; 3.2. Provide assistance to taxpayers in the district such as answering of queries, distributing forms and information materials such as primers, posters, streamers, circulars, instruction booklets, etc. and in preparing and filing of tax returns; 3.3. Receive all kinds of applications/requests for registration, permit, certificate, tax credit/refund, information updates and TIN together with all required attachments and all formal inquiries and documents from taxpayers; EDcIAC 3.4. Conduct tax mapping operations within the jurisdiction of the district to identify potential taxpayers and ascertain their compliance with the requirements of internal revenue laws and regulations; 3.5. Receive applications/requests for tax exemptions together with all required attachments and refer to Assessment Section for processing; 3.6. Process applications for registration/cancellation of registration/transfer of registration and generate corresponding certificates/notices; 3.7. Process application for taxpayer record update, modification of taxpayers' information, authority to print receipts and invoices, registration of books of accounts, application to use loose-leaf sales receipts and invoices and other registration requirements prescribed by regulations; 3.8. Process/generate Tax Clearance Certificates for transfer of properties; 3.9. Receive and process applications/requests for tax exemption required for availment of scholarship; prepare and issue corresponding Tax Exemption Certificates; 3.10. Distribute/issue to taxpayers all kinds of certificates/authorities and permits including stickers for cash register, Transfer Confirmation Notices, TIN Cards generated by ISOS, Tax Clearance Certificates with and without attachments; 3.11. Maintain a masterlist of all taxpayers within the RDO's jurisdiction; 3.12. Identify potential taxpayers and establish a Taxpayers' Profile; 3.13. Undertake tax information dissemination and education campaign in coordination with the Assessment Section and other appropriate offices; and 3.14. Perform such other related functions as may be assigned. CDTHSI 4. Administrative Section shall: 4.1. Receive, record and refer all communications to other units in the district office and disseminate all memorandum orders, circulars, regulations, etc.; 4.2. Maintain and preserve all useful records and files of the district; 4.3. Take charge of the requisition and distribution of accountable and non-accountable forms and other office supplies; 4.4. Take charge of the management and safekeeping of forfeited properties/acquired assets within the RDO's jurisdiction; 4.5. Maintain the district's facilities; 4.6. Attend to all personnel matters of the district; and 4.7. Perform such other related functions as may be assigned. 5. Document Processing Section shall: 5.1. Pre-process returns/payment forms received from AABs/RCOs/DMTs and other authorized collection agents by sorting, classifying, batching, assigning Document Locator Number (DLN) and other pre-processing requirements in preparation for data entry; 5.2. Ensure the accuracy of capturing key information from returns; 5.3. Analyze and resolve suspended returns transactions based on reports generated/submitted by RDC; 5.4. Prepare required reports out of processed documents/tax returns for submission to offices concerned; 5.5. Forward original copies of returns to Administrative Division of the Regional Office for safekeeping; and 5.6. Perform such other related functions as may be assigned. IV. REPEALING CLAUSE: All issuances or portions thereof not consistent with the provisions of this Order are hereby repealed or amended accordingly. V. EFFECTIVITY: This Order shall take effect immediately. (SGD.) DAKILA B. FONACIER Commissioner of Internal Revenue Approved: (SGD.) JOSE T. PARDO Secretary of Finance ATTACHMENT BIR Organizational Structure