BIR Operational Key Performance Indicators for CY 2021

May 17, 2021 REVENUE MEMORANDUM ORDER NO. 018-21 SUBJECT : BIR Operational Key Performance Indicators for CY 2021 TO : All Internal Revenue Officials and Employees I. OBJECTIVES This Order is issued to: 1. Prescribe the CY 2021 Operational Key Performance Indicators (KPIs) for the Revenue Regions (RRs), Revenue District Offices (RDOs), and Large Taxpayers Service (LTS); and 2. Prescribe the policies and procedures in the preparation and submission of Accomplishment Reports on the applicable Operational KPIs and Rating of the implementing offices. II. POLICIES The following policies and guidelines shall be observed: 1. The details of the Operational KPIs such as the KPI weights, formula, definition of KPI, KPI targets, implementing and monitoring offices are prescribed in Annex A of this Order. 2. The Operational KPI shall be monitored, reviewed and evaluated against goal/target to assess the performance of offices by the concerned Assistant Commissioners (ACIRs) who have been identified as Measures Owners (MOs), as indicated in the column "Monitoring Office" in Annex A . 3. There shall be seventeen (17) Operational KPIs. 4. The LTS shall include the following offices as "Implementing Office" for a particular KPI: CAIHTE KPI No. KPI Weight KPI Implementing Office(s) 1 50 Collection Performance LT National Office Audit Div. (LTNOADs), LTDs Cebu and Davao, Excise LT Field Operations Division (ELTFOD) 2 5 Percentage increase in collection LTNOADs, LTDs Cebu and Davao, ELTFOD 10 3 Audit Effort LTNOADs, LTDs Cebu and Davao, LT VAT Audit Unit (LTVATAU) 11 3 Increase in collection by 10% of previous year's audit previous audit collection goal LTVATAU 12 1.5 Audit Efficiency LTNOADs, LTDs Cebu and Davao, LTVATAU 13 2 Reduction of Tax Arrears LTDs Cebu and Davao, LT Collection Enforcement Div. (LTCED) 3 Collection 14 2 Reduction of TAMP Stop-Filer cases LTDs Cebu and Davao, LTCED 16 1.5 Expedite promotion of qualified employees Large Taxpayers Service 5. The score for each KPI shall be computed as: Score = Applicable KPI Formula Applicable KPI Target x KPI Weight 6. The overall rating shall be computed as: Overall Rating = Total Score Total Applicable KPI Weights x 100% NOTE: Total score applies to the summary of applicable KPI scores of an office. Total applicable KPI weight applies to the summary of all applicable KPI weights of an office. 7. In the event that the actual accomplishment exceeds the KPI target, the score to be given shall be the maximum assigned KPI weight. 8. Figures to be used in all computations required in this Order shall be rounded off to the nearest two (2) decimal places. 9. The Operational KPIs shall be included as measures in the Office Performance Commitment and Review (OPCR) Form, as well as in the Office Index of Success Indicators of the RRs, RDs, RDOs, LTS, LTNOADs, LTDs Cebu and Davao, ELTFOD, LTVATAU, LTCED, LTDPQAD, ELTRD and LTAD in relation to the Strategic Performance Management System (SPMS). 10. The accomplishment report and evaluation report shall be prepared every 1st semester (January to June) and annual based on the cumulative accomplishment covering January to December of the year. 11. Issues arising for a particular Operational KPI, including the implementation, monitoring, evaluation and reporting of accomplishments, among others, shall be the responsibility of the concerned MOs. 12. The Operational KPIs prescribed under this Order shall be adopted in the succeeding years until there shall be amendments/revisions to be recommended by the MOs. DETACa III. GUIDELINES AND PROCEDURES A. The following are the guidelines and procedures in the preparation and submission of accomplishment and evaluation reports. 1. RDOs/Regional Divisions, LTNOADs/LTDs Cebu and Davao/ELTFOD/LTVATAU/LTCED/LTDPQAD/ELTRD/LTAD shall: 1.1 Prepare the first semester and annual Accomplishment Report for each applicable Operational KPI using the prescribed format in Annex B . 1.2 Ensure accuracy of data prior to submission of the Accomplishment Report to the Regional Director and ACIR-LTS. 2. Regional Director and ACIR-LTS shall: 2.1 Consolidate the Accomplishment Reports per KPI using the prescribed format in Annex C . 2.2 Validate the accuracy and completeness of data prior to submission of the Accomplishment Report to concerned Measure Owner. 3. The Measure Owner shall: 3.1 Monitor the timely submission of Accomplishment Report by all Regional Directors and ACIR-LTS. 3.2 Prepare the semestral (January to June) and annual (January to December) Evaluation Report for each KPI using Annex D , details of which are as follows: i) Score per KPI of RRs, RDOs, RDs LTS and its implementing offices; and ii) Ranking of offices 3.3 Ensure the completeness and accuracy of the Accomplishment Report received from RRs and LTS; and 3.4 Submit the Evaluation Report per KPI to the ACIR-Planning and Management Service, Attention: Planning and Programming Division (PPD). 4. Planning and Management Service/PPD shall: 4.1 Monitor the compliance of concerned ACIR/MO relative to the submission of KPI Evaluation Report. 4.2 Consolidate the Office KPI Evaluation Report per RR and LTS. 4.3 Prepare the Consolidated Evaluation Report on the result of the rating of KPIs using the prescribed format in Annex E for submission to the Commissioner and all Deputy Commissioners. B. The Accomplishment and Evaluation Reports shall be prepared and submitted in accordance with the following schedules: Reports Submitted By Submitted To Due Date of Submission Accomplishment Report per Operational KPI Chiefs, Regional Division and RDOs Chiefs, LT National Office Divisions and LTDs Cebu and Davao Regional Director concerned Assistant Commissioner, LTS Semestral Report: On or before July 25 Annual Report: On or before January 25 of the following year Consolidated Accomplishment Report on KPI Regional Directors and ACIR-LTS MO concerned (ACIRs) Semestral Report: On or before July 30 Annual Report: On or before January 31 of the following year Evaluation Report on KPI Measure Owners (ACIRs) ACIR-PMS Attention: Chief, PPD Semestral Report: On or before August 25 Annual Report: On or before February 25 of the following year Consolidated Evaluation Report on KPIs ACIR-PMS Thru: PPD CIR All DCIRs Semestral Report: On or before Sept. 25 Annual Report: On or before March 25 of the following year IV. REPEALING CLAUSE This Order supersedes Revenue Memorandum Order Nos. 5-2020 and 17-2020 and all other issuances or portions thereof inconsistent herewith. V. EFFECTIVITY This Order takes effect immediately until there shall be amendments/revisions recommended. aDSIHc (SGD.) CAESAR R. DULAY Commissioner of Internal Revenue ANNEX A CY 2021 Operational Key Performance Indicators (KPIs) ANNEX B Accomplishment Report on Operational Key Performance Indicators (KPIs) For the Period of ( SEMESTER/CY ) ANNEX C Consolidated Accomplishment Report on Operational Key Performance Indicators (KPIs) For the Period of ( SEMESTER/CY ) ANNEX D Evaluation Report on Operational Key Performance Indicator (KPI) ANNEX E Consolidated Evaluation Report for the CY__ Operational Key Performance Indicators (Large Taxpayers Service, Revenue Region Nos. 1 to 19 and Revenue District Office Nos. 1 to 115)