Delegation of Authority to Approve and Sign Authority to Cancel Assessment

September 27, 2001 REVENUE DELEGATION AUTHORITY ORDER NO. 06-01 SUBJECT : Delegation of Authority to Approve and Sign Authority to Cancel Assessment (ATCA) by the Regional Offices, Large Taxpayers Service (LTS), Enforcement Service (ES), Collection Service (CS) and Legal Service (LS) TO : All Internal Revenue Officers and Employees and Others Concerned I. Instances When an Authority to Cancel Assessment (ATCA) Should Be Issued Any change in the amount of tax assessments and/or delinquent accounts arising from the following cases shall require the issuance of ATCA: 1. Cases under reinvestigation or reconsideration where the final assessment as originally issued was either modified, amended, or otherwise canceled in its entirety; 2. Cases subjected to compromise settlement pursuant to Section 204 (a) of the Tax Code and its implementing regulations; 3. Cases subjected to abatement or cancellation pursuant to Section 204 (b) of the Tax Code and its implementing regulations; 4. Cases in which the right of the government to assess/collect the corresponding deficiency/delinquent taxes has prescribed in accordance with Section 203 and/or 222 of the Tax Code; 5. Appealed or collection cases that have been decided by the courts in favor of the taxpayer when there is an entry of judgment; 6. Cases arising from write-offs of void assessments; and 7. Such other cases which the Commissioner may require to be covered by ATCA. II. Delegated Authority The authority of the Commissioner of Internal Revenue to sign the ATCA, after the appropriate report or action docket has been approved by the appropriate approving officer authorized under existing laws, regulations and other issuances, is hereby delegated to designated officials as follows: CEIHcT 1. Assistant Commissioner (ACIR), For LT cases under reinvestigation/ Large Taxpayers Service (LTS) reconsideration For LT cases subject to compromise settlement/abatement For written-off LT cases, other than prescribed cases Other LT cases which do not fall under the jurisdiction of any other office 2. ACIR, Enforcement Service (ES) For tax fraud and policy cases, subject to reinvestigation/reconsideration 3. ACIR, Collection Service (CS) For Accounts Receivable/Disputed Assessments involving National Office cases, other than LT cases, subject to compromise settlement/abatement For written-off cases under its jurisdiction, other than prescribed cases 4. ACIR, Legal Service (LS) For all prescribed assessment and collection cases For appealed assessment/collection cases decided by the courts with finality, within its (LS) jurisdiction or referred thereto 5. Regional Directors For Regional cases under reinvestigation/reconsideration For Regional cases subject to compromise settlement/abatement For appealed assessment/collection cases decided by the courts, within the jurisdiction of the Region For written-off regional cases, other than prescribed cases Other regional cases which do not fall under the jurisdiction of any other office III. Form Preparation The ATCA shall be accomplished by the appropriate processing office for the approval by the officials designated under this Order. IV. Reporting Requirement A monthly report on the List of Issued Authority to Cancel Assessment (Annex "A") shall be prepared by each approving office for submission to the following offices on or before the 20th day of the following month when such ATCAs are issued: EHCDSI Assessment Service Cases under reinvestigation/ reconsideration, excluding cases covered by compromise/abatement Other cases that are not yet considered delinquent except those covered by compromise/abatement Collection Service All other cases In the event that no ATCA has been issued in any given month, the said report shall nevertheless be accomplished and submitted to the above offices with a notation "NO ATCA ISSUED FOR THE MONTH" indicated thereon. V. Transitory Provisions For case dockets which have already been endorsed to the National Office prior to the effectivity of this Order, the following guidelines shall be observed with respect to the approval and issuance of the ATCA: aASEcH 1. For LT (including LT excise taxpayers) and LTDO cases, the same shall be signed and approved by the ACIR-Large Taxpayers Service; 2. For National Office cases (Enforcement and Legal) other than the LT cases, the same shall be signed by the ACIR-Collection Service; and 3. For cases emanating from the Revenue District Offices and other Regional Offices, the same shall be signed and approved by the ACIR-Collection Service. VI. Repealing Clause All existing revenue memorandum circulars, orders and other issuances inconsistent herewith are hereby repealed, modified or amended accordingly. VII. Effectivity Clause This revenue delegation authority order shall take effect immediately upon approval. (SGD.) RENE G. BAEZ Commissioner of Internal Revenue List of Issued Authority to Cancel Assessment