Prescribes Additional Cases to be Covered by Tax Verification Notice

October 24, 2018 REVENUE MEMORANDUM ORDER NO. 048-18 SUBJECT : Prescribes Additional Cases to be Covered by Tax Verification Notice TO : All Internal Revenue Officials and Employees Concerned I. Background Currently, a Tax Verification Notice (TVN) is issued only in the verification of estate tax cases where the decedent has no other tax liabilities as prescribed in Item No. III.5 of Revenue Memorandum Order (RMO) No. 69-2010 and for processing of VAT refund claims filed in accordance with Section 112 of the National Internal Revenue Code (Tax Code), as amended, as implemented by Revenue Memorandum Circular (RMC) No. 17-2018. HTcADC II. Objective This Order is issued to authorize the use of a TVN, instead of a Letter of Authority, in the verification of claims for tax refund of Job Order personnel and claims arising from erroneous/double payment of taxes, which can be considered as simple cases that will not require an in-depth audit/investigation. III. Policies and Guidelines 1. Verification of the following cases shall be covered by a TVN, regardless of amount: 1.1 Estate tax cases provided the taxpayer/decedent has no other tax liabilities 1.2 Claims for tax refund a. VAT refund pursuant to Section 112 of the Tax Code, as amended b. Claims of Job Order personnel c. Claims arising from erroneous/double payment of taxes, including double payment of taxes due to system error/glitch 2. The report of verification on the said cases shall be submitted by the Revenue Officer within the following time frame: CAIHTE Case Type No. of Days Estate tax 60 days from submission of complete documents VAT refund pursuant to Section 112 of the Tax Code, as amended, filed with the following offices: VAT Credit Audit Division (VCAD) 55 to 65 days from receipt of the application, in accordance with item no. III.3 of RMC No. 17-2018 Audit Divisions under the Large Taxpayers Service (LTS) 60 days from receipt of the application Revenue District Offices under the Revenue Regions 60 days from receipt of the application Claims for tax refund of Job Order personnel 30 days from submission of complete documents to support the claim Claims for tax refund arising from erroneous/double payment of taxes 30 days from submission of complete documents to support the claim 3. The TVN shall be manually issued until such time that the Tax Verification Notice System is in place and shall be signed by the Head of Office authorized to process the estate tax return/claim for tax refund. aScITE IV. Repealing Clause All other issuances and/or portions thereof inconsistent herewith are hereby repealed, modified or amended accordingly. V. Effectivity This Order shall take effect immediately. DETACa (SGD.) CAESAR R. DULAY Commissioner of Internal Revenue