VAT Training/Seminar and Examination for Revenue Enforcement Officers

March 20, 1989 REVENUE MEMORANDUM ORDER NO. 18-89 SUBJECT : VAT Training/Seminar and Examination for Revenue Enforcement Officers TO : All Internal Revenue Officers and Others Concerned It has been observed that value-added tax returns/cases have been assigned indiscriminately to revenue enforcement officers who are not proficient in auditing value-added tax. A sample review and evaluation of the reports of value-added tax audit and investigation indicates lack of knowledge or familiarity with the law and regulations and of accounting and inadequacy in the application of audit procedures that could have resulted in higher deficiency tax collections. Moreover, many revenue enforcement officers are apparently not aware of the reporting requirements designed to monitor the over-all performance of the revenue district office and the regional office with respect to the implementation of the value-added tax law and regulations. In order that this office may be able to comply with the monthly monitoring requirements of the President and the Secretary of Finance, revenue enforcement officers and their immediate superiors should be able to provide inputs consisting of periodic reports of audit activities. In view thereof, all revenue enforcement officers shall be required to participate in training/seminar designed exclusively to upgrade their skills and proficiency in audit and verification of VAT liabilities and to familiarize them with reporting and monitoring requirements and rationale thereof. The training/seminar shall be completed with an examination to be given by a VAT Audit Proficiency Examination Committee to be created in a separate Revenue Special Order. Only the revenue enforcement officers who will pass the examination shall be allowed to audit and/or verify VAT liabilities. The training/seminar sessions and the examination will be scheduled by the Career Development Division. In the meantime, all internal revenue officers and others concerned shall familiarize themselves with the provisions of the VAT law, regulations and administrative issuances relative thereto. JOSE U. ONG Commissioner of Internal Revenue