Monitoring Reports on VAT Compliance

May 22, 1991 REVENUE MEMORANDUM ORDER NO. 18-91 SUBJECT : Monitoring Reports on VAT Compliance TO : All Revenue Regional Directors, Revenue District Officers and Others Concerned This Order complements Revenue Memorandum Order Nos. 11-90 and 7-91 by prescribing the forms to be used in reporting activities to improve the monitoring system and enhance VAT compliance. These forms are: 1) STATUS REPORT ON VAT COMPLIANCE (SRVC) a) WHAT: This form replaces Revised Report on VAT Registrants and Filers (Annex "B" of RMO 7-91). The initial report shall cover the whole month of May. It shall be used to report monthly the status of VAT taxpayers as of the 20th of every month (Categories A, B and C) according to given classifications: (1) Registrant net of cancellations (2) Paying filers (3) Even returns (including excess input tax credits) (4) Zero-rated filers (5) Stop-filers (including non-filers) (6) Irregular filers (7) New registrants (8) Filers of no-transaction returns (9) Cancellations. b) HOW: For the month of May, the beginning period for this new form, the status of VAT taxpayers, under a given classification for Groups A, B and C for the previous and the current month shall be indicated: Thus, for classification (1) the number of registrants for April and May shall be reported, and so on (SRVC with the information on VAT taxpayers' April status is attached to be returned filled up with May status). c) WHEN: In the initial report for May (this is critical to the preparation of the report for the Secretary of Finance) the SRVC shall be submitted to reach the VAT Division not later than June 14, 1991. The replaced form need not be submitted. Henceforth, SRVC shall be submitted monthly to reach the VAT Division on or before the last day of each month. cd 2) VAT ACTIVITIES REPORT (VAR) a) WHAT: This report form will show the VAT compliance activities undertaken and the results achieved for each month: (1) Verification visits (2) Compliance notices (3) Campaign against non-issuance of VAT invoices (4) Surveillance conducted (5) Recommendations for closure (6) Search for potential VAT taxpayers (7) Achieved results b) HOW: Each activity undertaken shall be quantified by either indicating the number of cases or checking the appropriate box. Thus, if the report calls for the number of stopfilers visited, the number shall be indicated. If the report calls for yes or no, such fact should be given. c) WHEN: This report shall be submitted monthly with the SRVC as indicated in 1c hereof. Blank forms are attached for reproduction of copies of monthly reports (SRVC and VAR). Also enclosed is the VAT Compliance Report by Revenue Region for the Regional Director as of April 1991 for his information on the status of VAT taxpayers. cd Strict compliance herewith is hereby enjoined. (SGD) JOSE U. ONG Commissioner of Internal Revenue