1992 Tax Campaign Thrust

February 19, 1992 REVENUE MEMORANDUM ORDER NO. 09-92 SUBJECT : 1992 Tax Campaign Thrust TO : All Revenue Directors, Revenue District Officers, Collection Agents and Others Concerned To ensure the collection of the 1992 Target of P139.1 B and make the tax payment and filing of returns for income earned in 1991 by all taxpayers more convenient, the following considerations shall be given greater emphasis in the conduct of the tax campaign within your respective jurisdiction: A. TAX DEADLINES A.1 March 15 - for all government employees A.2 April 15 - for all other taxpayers B. THE NEW PAYMENT CONTROL SYSTEM (NPCS) The procedure on how to file a tax return under the New Payment Control System (NPCS) is spelled out in a poster already distributed to all Revenue Directors, Revenue District Officers, Collection Agents and all accredited banks. Please refer to said poster for proper guidance. Measures should be adopted by the Accredited Banks to accept payments and the Filing and Assistance Centers to accept no-payment returns from taxpayers even if: B.1 TAXPAYER HAS TIN BUT NO STICK-ON LABEL B.1.1 Request taxpayer to xerox or photo copy the TIN Card and attach to the original of the return, or B.1.2 If physically impossible to have a photo copy, ask the taxpayer to present the TIN card. Verify if the TIN has been correctly indicated in the return. Require the receiving Revenue Officer to certify its presentation and verification as to its correctness. acd B.1.3 If no TIN has been issued, ask the taxpayer to prepare a TIN application in triplicate and attach the 2nd copy to the original return, certified to by the RDO that "TIN application in Process." C. FORMS TO BE USED To implement the new Payment Control System (NPCS), the following forms shall be used in the filing of tax returns and payment of internal revenue taxes. These forms have been revised and carbonized and are now available. C.1 INCOME TAX C.1.1 BIR Form 1701 C.1.2 BIR Form 1701 A C.1.3 BIR Form 1701 C C.1.4 BIR Form 1702 C.1.5 BIR Form 1702 Q C.1.6 BIR Form 1702 A-1 C.1.7 BIR Form 1704 C.2 VALUE-ADDED-TAX C.2.1 BIR Form 2550 C.3 WITHHOLDING TAX C.3.1 BIR Form 1743 W C.3.2 BIR Form 1745 C.3.3 BIR Form 170 A C.4 OTHER PERCENTAGE TAXES C.4.1 BIR Form 2529 A-Q C.4.2 BIR Form 2551 C.5 OTHERS C.5. BIR Form 2319 A (ATAP) D. PERSONAL AND ADDITIONAL EXEMPTIONS ALLOWED The personal exemption of Married, P12,000; Head of Family, P7,500; Single or Spouses computing separately, P6,000 and the additional exemption per dependent child not to exceed four, P3,000 shall be allowed for purposes of deduction for income earned in 1991. The new rate of exemptions provided for under RA 7167 shall be applicable only for income earned starting Jan. 1, 1992. Revenue Regulations No. 1-92 implementing said Act has already been issued with the new Withholding Tax Table which will be used for the January, 1992 payroll. E. 2ND INSTALLMENT RETURNS Special attention must be given to 2nd Installment Returns. Immediately after processing these returns, prepare and send reminders to respective taxpayers to settle their tax liability before July 15, 1992. aisa dc A no-payment 2nd Installment return is one where the withholding tax (-2/1743.1) is at least 50% of the total tax due exceeding P2,000.00. Remember, our list of delinquent accounts has grown to an alarming proportion and a great deal of this, comes from the ranks of delinquent taxpayers who failed to pay their tax liability from 2nd Installment. F. TAX ASSISTANCE AND FILING CENTERS Tax Assistance and Filing Centers shall be established in strategic areas outside of the District or Collection Agents office during the filing season to make the Bureau accessible to all taxpayers. It will also be more convenient to the taxpayers for the filing Centers to accept the following no-payment returns, such as. F.1 Exempt F.2 Even F.3 Refundable F.4 2nd installment G. EMPLOYERS' RESPONSIBILITIES It is desired that an "Operation Suyod" type of campaign be conducted on all employers (government and private sectors) within your jurisdiction to ensure immediate compliance with the following: G.1 Submission of the list of all their employees (refer to format prescribed by RMC 63-91) to RISSI or RDO for issuance of the Taxpayers Identification Number (TIN). G.2 Remind all employers to issue the corresponding W-2 to all their employees immediately for early filing of returns. Employees have been complaining that they cannot file their Income Tax Return early because their employers do not issue the W-2 within the prescribed period. aisa dc H. ENLISTING THE SUPPORT OF NGOs Many civic and business organizations are looking for laudable projects for their clubs as part of their community service. Tax information and awareness campaigns can be one of such projects. We encourage therefore all concerned, specially the Revenue District Officers to enlist the support of such civic organizations by way of providing streamers, posters, or leaflets in connection with the 1992 tax filing season. I. TAX FORUM AND DIALOGUE The objectives of the 1992 Tax Campaign can best be attained through direct contact with organized groups of taxpayers. A tax forum or tax dialogue could clear issues that taxpayers may raise in said gathering. Reach out to these organized groups and encourage their support. Organize the dialogue and unite as may be deemed necessary national and/or regional officials to add color to the occasion. J. ACCESS TO MASS MEDIA Media, whether Radio, Television or Print has always been supportive to the tax campaign efforts of the BIR. During the filing season they are always around to help us ventilate or clarify issues of concern to the taxpayer. aisa dc If there is a chance that you may be interviewed by media or even host a radio or television show or even write a column in your local newspaper we encourage you to play this role provided that discussion of issues and information dissemination are within established rules. K. AVAILABILITY OF TAX CAMPAIGN FUNDS Funds for the tax campaign, though limited, have been allocated for the purpose. Coordinate with your respective Fiscal Operations Branch (FOB) and your Revenue Regional Director for details. Strict compliance of this Order is hereby enjoined. (SGD.) JOSE U. ONG Commissioner of Internal Revenue