Offices Authorized to Accept and Process Tax Clearance Applications and Issue Tax Clearance Certificates in the Regional and District Level

February 3, 1970 REVENUE MEMORANDUM ORDER NO. 17-70 SUBJECT : Offices Authorized to Accept and Process Tax Clearance Applications and Issue Tax Clearance Certificates in the Regional and District Level Pending approval and publication of the latest amendment to the tax clearance regulations, revenue regional and district offices shall observe the following rules on the issuance and control of tax clearance certificates, to wit: Tax Clearance Applications Tax clearance applications shall be submitted to, and examined for accuracy and completeness, verified, registered and serially numbered by, the Collection Branch only in the Regional Office and by the Revenue Collection Coordinator in the Revenue District Office. Verification of Tax or Other Liability A tax clearance certificate may be issued only after the applicant shall have been verified to have no tax liability or unredeemed dishonored check he had previously issued in payment of internal revenue taxes. In the verification of the applicant's tax liability, reference should be made to the delinquent account list and revenue memorandum circulars on lost or missing revenue officials receipts (BIR Form No. 25.24). As regards the liability for dishonored checks, reference shall be made to reports on dishonored checks regularly submitted by revenue collection agents. The other Branches in the regional office may only communicate from time to time with the Collection Branch, giving the names and addresses of persons who should not be granted tax clearance certificates. These communications shall be compiled by the Collection Branch and shall be referred to in processing tax clearance applications. Tax Clearance Certificates Tax clearance certificates issued in the revenue district shall be signed by the Revenue District Officer or his Assistant, and those issued in the regional office shall be signed by the Regional Director or his Assistant. However, such certificates are not conclusive proof that the persons to whom the same were issued have no tax liability in an amount which is beyond the jurisdiction of the issuing authority as defined in Republic Act No. 5203, unless it is indicated on the face of the certificate that the issuing authority has a complete list of delinquent accounts within the region or district, regardless of the amounts involved. Report on Tax Clearance Certificates Telegraphic (night letter collect) reports on tax clearance certificates issued shall be made daily to the Chief, Tax Accounts Division, stating the following: (1) Tax clearance certificate number; (2) Name of the person to whom it was issued; and (3) Means of transportation chosen by the applicant for going abroad, whether by air or by sea. If the applicant has unredeemed dishonored checks which he had previously issued in payment of internal revenue taxes, his application should be referred to the Prosecution Division for appropriate action and no tax clearance certificate shall be issued without clearance from said division. Strict compliance herewith is enjoined. MISAEL P. VERA Commissioner of Internal Revenue