Collection of Internal Revenue Taxes Abroad

March 24, 1971 REVENUE MEMORANDUM ORDER NO. 06-71 SUBJECT : Collection of Internal Revenue Taxes Abroad TO : Revenue Attaches and others concerned For the purpose of effectively implementing the provisions of Department of Foreign Affairs Order No. 3-71 dated December 29, 1970, and published in Revenue Memorandum Circular No. 3-71 dated January 25, 1971, attached herewith are the guidelines for all concerned. In addition to the general guidelines mentioned above, the following instructions shall be followed: 1. Preparation of the Revenue Official Receipt (a) One official receipt for the tax due, and (b) Another receipt for the 2% on such amount collected that shall be spent in purchasing foreign exchange to cover remittance of the collection to Manila. 2. Recording and accounting of collections (a) Post all collections, sequentially as they are made, to the Abstract of Collections; and record all daily collections in the official cash book. 3. Remittance of Collections (a) Prepare Remittance Advice (General Form No. 14(B) in accordance with the instructions contained on the said form, and indicating on each an identifying number as 71-9 for March, 1971; 71-10 for April, 1971 or 72-1 for July, 1971. (b) Credit in the official cash book the amount remitted and/or expended for the purchase of foreign exchange. 4. Accounting of 2% collection for bank charges (a) Retain as "petty cash fund" the additional 2% bank charges collected from the taxpayers. (b) Draw from such "petty cash fund" the amount required to purchase foreign exchange to cover remittance of collections to Manila. (c) Submits a statement of balances of the "petty cash fund" at the end of each month. (d) Remits to the Commissioner of Internal Revenue as miscellaneous income when unexpended balance of 2% collection for bank charges accumulates up to P500 or its equivalent. 5. Reports of collection (a) The original, duplicate and triplicate of the Abstract of Collections shall be transmitted to the Commissioner of Internal Revenue, Attention: Revenue Operations Head (Collection), together with the following: i. The original, duplicate, triplicate and quadruplicate of the Remittance Advice duly accomplished; ii. The original and triplicates of the Revenue Official Receipts issued; iii. The draft/checks covering the collections being remitted, properly drawn in accordance with the provisions of Revenue Memorandum Circular No. 3-71 dated January 25, 1971; iv. The cash collections in Philippine Currency, if any; v. The revenue returns and/or documents submitted and made as the basis for the revenue collections; and vi. The statement of balances of the "Petty Cash Fund". Please be guided accordingly. MISAEL P. VERA Commissioner of Internal Revenue