BIR Star Award System

June 10, 1992 REVENUE MEMORANDUM ORDER NO. 24-92 SUBJECT : BIR Star Award System TO : All Internal Revenue Officers and Others Concerned I. OBJECTIVES: This Revenue Memorandum Order is hereby issued to establish the BIR Tax Achievement Recognition System which specifically aims to: 1. Increase efficiency and productivity of Revenue Officers involved in the assessment and collection of internal revenue taxes; 2. Recognize and reward their good performances; 3. Foster healthy competition among Revenue Officers in the collection of taxes; cdt 4. Enhance voluntary compliance, in general, as a result of quality audit and assessment of deficiency taxes; and 5. Heed the call of the Secretary of Finance for the pursuit of excellence in revenue generation. II. COVERAGE: The competition for the BIR STAR Award is open to all Revenue Officers (RO) I and II in the National Office (Sector Operations Service, Excise Service, and Special Teams) and Revenue District Offices who are directly involved in the assessment of internal revenue taxes. III. FEATURES OF THE AWARD SYSTEM: 1. Star Award Committee A committee composed of all Assistant Commissioners shall be created which shall supervise the implementation of the project. 2. Award Category There shall be three (3) categories of the award, namely: CATEGORY 1 - SPECIAL 2 - SUPERIOR 3 - SUPREME Tax Tax Tax Achievement Achievement Achievement Recognition Recognition Recognition Award Award Award 3. Award Criterion The award to be won by each qualified Revenue Officer shall be based on the aggregate amount of collections from deficiency taxes (or tax due when no return was filed) for one semester paid by audited taxpayer(s) : a) Immediately after audit/investigation and duly approved by concerned authorities and without any formal assessment notice or letter of demand; and b) Within thirty (30) days from date of assessment notice. However, for exceptional cases (e.g. settlement of huge tax deficiency thru installment payment extending beyond the period covered for the award), the Committee shall evaluate the audit case to determine whether collections beyond the period set herein shall be considered/credited to the RO concerned for the purpose of this competition. To avoid inequality in potential assessment and collection, different amounts of collections under each award category is prescribed for qualified Revenue Officers stationed in the National and Revenue District Offices with the latter further subgrouped into Class A-1, A, B, C and D depending on the class of the Revenue District, as follows: Category 1 Category 2 Category 3 a) National Office P35M-P60M Over P60M-P100M Over P100M b) Revenue District Office Class A-1 P10M - P20M Over P20M - P35M Over P35M Class A P 5M - P15M Over P15M - P25M Over P25M Class B P2.5M - P 5M Over P 5M - P10M Over P10M Class C P.75M - P1.5M Over P1.5M - P 3M Over P 3M Class D P.50M - P 1M Over P 1M - P 2M Over P 2M 4. Reward/Prizes 4.1. The following rewards shall be given to winner(s) in each category: a. For the Special Tax Achievement Recognition Award - a bronze medal with ribbon b. For the Superior Tax Achievement Recognition Award - a silver medal with ribbon c. For the Supreme Tax Achievement Recognition Award - a gold medal with ribbon 4.2. Awardees shall be given first priority in promotion. 4.3. Cash prizes shall be given to the awardees subject to the availability of funds. 4.4. The respective group supervisor or RDO of the winning Revenue Officers shall be awarded citations in recognition of the assistance and guidance they extended to the winners in the exemplary performance of their work. 5. Awarding of Honors There shall be as many awardees as there are qualified in each category. These STAR Awardees shall be announced during the annual BIR Anniversary celebration. IV. MECHANICS OF THE COMPETITION 1. All ROs I and II in the National and Revenue District Offices directly performing assessment function shall be automatically qualified to vie for the STAR award. The Chiefs of Investigating Divisions in the National Office shall submit the list of the aforesaid ROs for proper identification to Collection Service while the Revenue District Officers shall submit the same to the Collection Branch copy furnished the Collection Service. cdt 2. Only collections made by the aforesaid ROs from deficiency taxes (or taxes due when no return was filed) paid immediately after audit/investigation which was duly approved by the concerned authorities and those paid within thirty (30) days from date of assessment notice or demand letter shall be considered for purposes of this competition. Collections from deficiency tax assessments paid after 30 days from date of assessment notice and those from delinquent accounts shall not be included. For the initial implementation of the project, the tax collection period covered shall be from January to June, 1992. 3. For proper crediting of collection, the name of the concerned RO(s) shall be indicated on the face of the ATAP/PO/ROR by the ATAP/PO/ROR issuing officer. 4. In case more than one RO is assigned to audit a taxpayer as in the case of a team or group audit or joint and coordinated examination, the amount collected shall be equally apportioned to each RO. 5. To properly monitor and credit collections made by qualified ROs, the following procedures shall be followed by the concerned offices: 5.1. Investigating Divisions (National Office) / Revenue District Offices (RDOs): a. Submit the list of qualified ROs I and ROs II who are performing assessment function to the following: a.1. Collection Service for the Investigating Divisions in the National Office a.2. Collection Branch concerned for RDOs; b. Establish/maintain for each qualified RO, a ledger card for collections from deficiency assessments paid immediately by the audited/investigated taxpayer without any formal assessment or letter of demand, indicating therein the name of the taxpayer, the LA Number, ATAP/CR/ROR Number, amount paid and date of payment; c. Post in respective ledger card aforesaid collections made by concerned RO based on his submitted xerox copy of validated ATAP/CR or ROR of payment; d. Add the collections made by each RO as posted in their respective ledger card at the end of each quarter; e. Submit a quarterly report of total collections of each RO within five (5) days after the end of each quarter to the following: e.1. Collection Service for the Investigating Divisions in the National Office e.2. Collection Branch concerned for RDO 5.2. Collection Branch (Regional Office) a. Receive the list of ROs qualified to vie for the award from the RDOs and furnish a copy to the Collection Service; b. Establish/maintain for each qualified RO, a ledger card for collections of deficiency taxes (Regional/District Accounts) paid within 30 days from date of assessment notice indicating therein the information prescribed in 5.1.b. above; c. Post in respective RO's ledger card aforesaid collections based on validated copy of ATAP/CR or ROR of payments attached to corresponding dockets; d. Add the collections from deficiency assessments as posted in the respective RO's ledger card at the end of each quarter; e. Receive from the RDOs the quarterly report of total collections of each RO from deficiency taxes paid immediately after audit/investigation by the taxpayers without any formal assessment notice or letter of demand; f. Determine/consolidate the total collections of each RO based on 5.2.d and 5.2.e above; g. Submit a quarterly report of total collections of each qualified RO to the Collection Service not later than fifteen (15) days after the end of each quarter (Certified correct by the Chief, Collection Branch). aisa dc 5.3. Collection Service a. Receive the list of ROs qualified to vie for the STAR award from the Chiefs of Investigating Divisions in the National Office and Chief, Collection Branch for the RDOs; b. Establish/maintain for each qualified RO in the National Office a ledger card for collections of deficiency taxes (national accounts) paid within 30 days from date of assessment notice indicating therein the information prescribed in 5.1.b. above; c. Post in respective RO's ledger card aforesaid collections based on validated copy of ATAP/CR or ROR of payment attached to corresponding docket; Note: In cases of accounts assessed by the Regional Office but falling under National Office Accounts, the Collection Service shall also establish ledger card for the concerned RO who audited/investigated the account for proper crediting/posting of collections. d. Add collections from deficiency assessments as posted in respective RO's ledger card at the end of each quarter; e. Receive from the Chiefs of Investigating Offices in the National Office the quarterly report of total collections of each qualified RO from deficiency taxes paid immediately after audit/investigation without any formal assessment notice or letter of demand; f. Consolidate the total collections of each qualified RO in the National Office based on 5.3.d and 5.3.e above; g. Receive from Collection Branch concerned the quarterly report of total collections of each qualified RO of the RDOs; h. Consolidate the overall total collections of each qualified RO for the duration of the competition and determine candidates for each award category, ranked from highest to lowest; i. Submit the list of candidates per award category including proofs or evidences of collections to the Committee not later than July 20. 6. The Committee shall determine the winners for each award category from the list of candidates submitted by Collection Service considering other factors (e.g. no pending administrative case against the candidate) and shall submit the list of winners to the Commissioner not later than July 25. V. TRANSITORY PROVISIONS: 1. For the initial implementation of this project, the list of qualified ROs I and II shall be submitted by the Chiefs of Investigating Divisions in the National Office to Collection Service and by the Revenue District Officers to Collection Branch concerned, copy furnished the Collection Service, not later than June 19, 1992 . 2. The report of collection from deficiency taxes paid by the taxpayers immediately after audit/investigation for each qualified RO shall cover the period January to June, 1992 (i.e. one semestral report instead of 2 quarterly reports). The said report shall be submitted by the Investigating Divisions and RDOs to Collection Service and Collection Branch, respectively not later than July 6, 1992 . 3. The Collection Branch shall submit the report of total collections (paid immediately after audit plus paid within 30 days from date of assessment notice) by each qualified RO covering the period January to June, 1992 to the Collection Service not later than July 15, 1992 . Report not received by Collection Service as of July 15, 199 2 shall no longer be considered for the initial competition and ROs of RDOs concerned shall be considered in default. cd VI. EFFECTIVITY: This Revenue Memorandum Order shall take effect immediately. Subsequent issuances for the coverage of the succeeding competitions shall be circularized hereafter. (SGD.) JOSE U. ONG Commissioner of Internal Revenue