Amendment to the Procedures in the Receipt of Tax Returns, Documents and Issuance of Revenue Tax Receipt for Payment of National Internal Revenue Tax through Authorized Agent Banks

May 25, 1979 REVENUE MEMORANDUM ORDER NO. 13-79 SUBJECT : Amendment to the Procedures in the Receipt of Tax Returns, Documents and Issuance of Revenue Tax Receipt for Payment of National Internal Revenue Tax through Authorized Agent Banks TO : All Internal Revenue Officers and Others Concerned The Confirmation Receipt issued by authorized agent banks for payments of national internal revenue taxes based on the Revenue Tax Receipt issued by the Bureau of Internal Revenue now comes in sets of five (5) copies instead of the previous four (4) copies. The fourth copy is the copy for the Reconciliation Officer. In view thereof, the following portions of Revenue Memorandum Order No. 30-78 are hereby amended to read as follows: I. General Procedures C. The Confirmation Receipt is issued by authorized agent banks in sets of five (5) copies which shall be attached to the corresponding document as follows: Original (Taxpayer's copy) to be attached to the quadruplicate copy of the RTR Duplicate (Central Bank copy) to be attached to the Original copy of the RTR Triplicate (BIR-DPC copy) to be attached to the Duplicate copy of the RTR Quadruplicate (BIR Reconciliation Officer's copy) to be attached to the corresponding Reconciliation Officer's copy of the Summary Report of Collection of National Internal Revenue Taxes (CB-RCO No. 003). Quintuplicate (Agent Bank's copy) to be attached to the Triplicate copy of the RTR. III. Processing and Control of RTRs Issued and Documents Received from the Collection Agents and Other Authorized Receipt Issuing Officers. cdt D. Regional Director/Revenue District Officer/Collection Service The Regional Directors in Revenue Regions Nos. 4-A and 4-B or the Revenue District Officers of Revenue Districts Nos. 22 up to 25 and 28 up to 36, or the Revenue Service Chief (Collection) of the Central Office shall: 1) Designate the Internal Revenue Officer who shall gather daily the Reconciliation Officer's copies (Duplicate) of the Summary Report of Collection of National Internal Revenue Taxes (CB-RCO Form No. 003) with the corresponding quadruplicate copies of the Confirmation Receipt listed in the Summary Report, directly from all authorized agent banks within his jurisdiction. The officer so designated should also see to it that the corresponding quadruplicate copies of the confirmation receipts listed in the summary report of collection are attached to it. The Reconciliation Officer or any official or employee assigned to the reconciliation process shall not be designated for this purpose. 2) Use the quadruplicate of the daily list of RTR issued (BIR Form No. 809) received from the RTR Issuing Officers to check whether or not all Summary Report of Collection of National Internal Revenue Taxes (CB-RCO Form No. 003) have been gathered. 3) Require the Reconciliation Officers to acknowledge receipt of the Summary Report of Collection of National Internal Revenue Taxes (CB-RCO Form No. 003) with the quadruplicate copy of the Confirmation Receipts listed therein on the corresponding quadruplicate copy of the daily list of RTRs issued. The Central Bank has allowed authorized Agent banks to submit their Summary Report of Collection of Internal Revenue Taxes (CB-RCO Form No. 003) one week after the date of remittance of the amounts collected. The authorized agent banks are, however, still required to prepare the form daily. It is only in the submission to Central Bank that has been extended to one week. Representatives of the Bureau gathering these reports from banks shall continue to collect these reports daily although the report would be on RTRs issued one week before. E. Collection Branch/Revenue District Office/Collection Enforcement Division 2) The designated Reconciliation Officers shall: a) Check whether or not all the quadruplicate copies of the confirmation receipt listed in CB-RCO Form No. 003 are attached. If any quadruplicate copy of the confirmation receipt is missing, secure the same from the corresponding authorized agent bank; b) Compare the name, address, taxpayer account number and amount of tax paid with that appearing on the corresponding RTR and if the information tallies the confirmation receipt shall be attached to the RTR. Reconcile or resolve any discrepancy found between the RTR and the Confirmation Receipts. Report to your immediate supervisor any anomalous practices or activities discovered during the process of reconciliation or resolution of discrepancies. The immediate supervisor, upon verification of the correctness of the report, shall render a written report to the Regional Director in the Revenue Regions or to the Revenue Service Chief (Collection) if the same is discovered in the National Office, who shall in turn indorse the report immediately to the Inspection Service; c) Post the confirmation receipt number opposite the appropriate RTR Number under the column provided therefor in the Daily List of RTRs Issued (BIR Form No. 809) and on item 20 of the BIR Card copy of the RTRs previously received from the Issuing Officers; d) Check the Recapitulation in the lower portion of the Daily List of RTRs Issued (BIR Form No. 809); e) Determine the RTRs listed in the Daily List of RTRs Issued which remain open, that is, no Confirmation Receipt Number has been posted in the column provided for that purpose; This is an indication that the RTR was not presented to the bank for payment; f) Verify from the agent bank if actual payment was made on any RTR, opposite which no confirmation receipt number is posted on the Daily List of RTRs Issued one week after the date of issue, except when the deadline for payment of the tax has not passed within that week. If same was not presented for payment, it becomes a delinquent account in which case steps should be instituted for its immediate collection; g) Prepare a collection letter, on the form prescribed for the purpose, BIR Form No. 1234 (Annex "J") for the signature of the Revenue District Officer or the Regional Director or the Official designated by the Commissioner in the Central Office, as the case may be, for the collection of delinquent accounts arising from non-presentation of RTRs issued to authorized agent banks for payment of the tax except those whose addresses are beyond his jurisdiction. Furnish the Assessment Branch of the Revenue Regional Office or the Assessment Service in the Central Office with copies of the letters. The increments incident to late payment demanded in the collection letter which have not been previously set up in the Data Processing Center through the processing of tax returns or Form 40.00 shall be set up in another Form 40.00 by the Assessment Branch or the Assessment Service, as the case may be. h) Segregate the BIR Card copy of the RTRs issued to taxpayers whose addresses are not within the jurisdiction of the Regional Office or the Revenue District Office which issued the RTR; i) Forward the BIR Card copy of the RTRs issued to taxpayers falling under the jurisdiction of other Revenue District Offices within the same Revenue Regional Office, directly to the appropriate Revenue District Office after the reconciliation process. Transmit to the respective Revenue Regions the BIR Card copies of RTRs issued to taxpayers falling within their respective jurisdictions after the reconciliation process. j) Retain the BIR Card copy of the RTRs issued for payment involving amounts within his jurisdiction (Revenue District Office payments in the amounts of P5,000.00 and below; Collection Branch payments above P5,000.00 but not more than P20,000.00; Receivable Accounts Division payments on all assessment notices and demand letters issued in the Central Office, the aggregate amount of which involves P20,000.00 or more). Forward the Card copies of the RTRs to the proper office having jurisdiction over the amount after the reconciliation process. k) Send immediately a collection letter (BIR Form No. 1234) if there is no confirmation receipt number indicated in the space provided for the purpose in the BIR Card copy of the RTR received by the Region or the Revenue District Office from other offices as this is an indication that payment to the agent bank was not made; furnish the Assessment Branch with copies of these collection letters for processing in the manner described in paragraph 2f; l) Prepare and submit a monthly report on all RTRs issued in the Revenue District Offices not presented for payment to the authorized agent banks as of the end of the month on BIR Forms 12.35 and 12.35-A attached as Annexes G & G-1. This report shall be prepared in four (4) copies and distributed as follows: Original Central Bank Duplicate Receivable Accounts Division Triplicate Regional Office Quadruplicate file copy The first three (3) copies shall be transmitted to the Regional Director. m) Prepare the Weekly Summary of Internal Revenue Collections, BIR Form No. 12.33 (Annex "E"). This weekly summary report shall be the basis for preparing the monthly report on BIR Form No. 12.33A, Monthly Summary of Collections. The monthly report shall be prepared in five (5) copies, to be distributed as follows: Original Collection Service Chief Duplicate Central Bank Triplicate Bureau of Treasury Quadruplicate Regional Director Quintuplicate File copy n) Arrange the BIR Card copies of the RTRs alphabetically for reference and statistical purposes. Effectivity . This Order takes effect upon the issuance of the Central Bank of the Philippines of the Confirmation Receipt booklets wherein confirmation receipts come in sets of five (5) copies. cdta EFREN I. PLANA Acting Commissioner