BIR Operational Key Performance Indicators for the Revenue Regions, Large Taxpayers Service and Revenue District Offices

March 11, 2022 REVENUE MEMORANDUM ORDER NO. 25-2022 SUBJECT : BIR Operational Key Performance Indicators for the Revenue Regions, Large Taxpayers Service and Revenue District Offices TO : All Internal Revenue Officials and Employees I. OBJECTIVES This Order is issued to: 1. Prescribe the Operational Key Performance Indicators (KPIs) for the Revenue Regions (RRs), Large Taxpayers Service (LTS) and, Revenue District Offices (RDOs); and 2. Prescribe the policies, guidelines and procedures in the preparation and submission of Accomplishment Report and Evaluation Report of implementing offices. II. POLICIES The following policies and guidelines shall be observed: 1. The details of the Operational KPIs such as the KPI weights, formulas, definitions of KPIs, KPI targets, and implementing and monitoring offices are prescribed in Annex A of this Order. 2. The Operational KPIs shall be monitored, reviewed and evaluated against goal/target to assess the performance of offices by concerned Assistant Commissioners (ACIRs) who have been identified as Measures Owners (MOs), as indicated in the column "Monitoring Office" in Annex A . 3. There shall be eighteen (18) Operational KPIs as indicated in Annex A of this Order. 4. The LTS shall include the following offices as "Implementing Office" for a particular KPI: Applicable KPI Weight Implementing Office Collection Performance 50 RDO 116-RLTAD 1 RDO 125-RLTAD 2 RDO 126-RLTAD 3 RDO 121-ELTAD 1 RDO 125-ELTAD 2 RDO 123-LTD Cebu RDO 127-LTD Davao Percentage Increase in Collection 5 RDO 116-RLTAD 1 RDO 125-RLTAD 2 RDO 126-RLTAD 3 RDO 121-ELTAD 1 RDO 125-ELTAD 2 RDO 123-LTD Cebu RDO 127-LTD Davao Audit Effort 3 LTVATAU RDO 116-RLTAD 1 RDO 125-RLTAD 2 RDO 126-RLTAD 3 RDO 121-ELTAD 1 RDO 125-ELTAD 2 RDO 123-LTD Cebu RDO 127-LTD Davao Increase in collection by 10% of previous year's audit collection goal 3 LTVATAU Audit Efficiency (75% of eLAs handled were transmitted by the investigating office and acknowledged by the reviewing office) 1.5 LTVATAU RDO 123-LTD Cebu RDO 127-LTD Davao Reduction of Tax Arrears 2 LTCED RDO 123-LTD Cebu RDO 127-LTD Davao Collection 3 LTS Reduction of TAMP Stop-filer cases 2 LTCED RDO 123-LTD Cebu RDO 127-LTD Davao Expedite promotion of qualified employees 3 LTS 5. The score for each KPI shall be computed as follows: Score = Applicable KPI Formula x KPI Weight Applicable KPI Target 6. The overall rating shall be computed as follows: Overall Rating = Total Score x 100% Total Applicable KPI Weights NOTE: Total score applies to the summary of applicable KPI scores of an office. Total applicable KPI weight applies to the summary of all applicable KPI weights of an office. 7. In the event that the actual accomplishment exceeds the KPI target, the score to be given shall be the maximum assigned KPI weight. 8. Figures to be used in all computations required in this Order shall be rounded off to the nearest two (2) decimal places. 9. The Operational KPIs shall be included as measures in the Office Performance Commitment and Review (OPCR) Form, as well as in the Office Index of Success Indicators of the RRs, RDs, RDOs, LTS, LTDs Cebu and Davao, LTCED and LT VATAU, in relation to the Strategic Performance Management System (SPMS). 10. The Accomplishment Report and Evaluation Report shall be prepared in the following manner: i) 1st Semester Cumulative Report for the period January to December of the previous year; ii) 2nd Semester Semestral Report for the period January to June of the current year. 11. Issues arising for a particular Operational KPI, including the implementation, monitoring, evaluation and reporting of accomplishments, among others, shall be referred and answered by the concerned MOs. 12. The Operational KPIs prescribed under this Order shall be adopted in succeeding years until there shall be amendments/revisions to be recommended by the MOs. III. GUIDELINES AND PROCEDURES A. The following are the guidelines and procedures in the preparation and submission of accomplishment and evaluation reports. 1. Revenue District Offices, Regional Divisions, LT District Offices, LTVATAU and LTCED shall : 1.1 Prepare the first semester and annual Accomplishment Report for each applicable Operational KPI using the prescribed format in Annex B . 1.2 Ensure accuracy of data prior to submission of the Accomplishment Report to the Regional Director and ACIR-LTS. 2. Regional Director and ACIR-LTS shall: 2.1 Consolidate the Accomplishment Reports per KPI using the prescribed format in Annex C . 2.2 Validate the accuracy and completeness of data prior to submission of the Accomplishment Report to concerned MO. 3. Assistant Commissioner/Measure Owner shall: 3.1 Monitor the timely submission of Accomplishment Report by all Regional Directors and ACIR-LTS. 3.2 Prepare the semestral (January to June) and annual (January to December) Evaluation Report for each KPI using Annex D , details of which are as follows: i) Score per KPI of RRs, Regional RDOs, LTS, LT District Offices, LTVATAU and LTCED; and ii) Ranking of offices. 3.3 Ensure the completeness and accuracy of the Accomplishment Report received from RRs and LTS; and 3.4 Submit the Evaluation Report per KPI to the ACIR-Planning and Management Service, Attention: Planning and Programming Division (PPD). 4. Planning and Management Service/PPD shall: 4.1 Monitor the compliance of concerned ACIR/MO relative to the submission of KPI Evaluation Report. 4.2 Prepare the consolidated Evaluation Report which contains the overall ratings of RRs, LTS, and RDOs using the prescribed format in Annex E for submission to the Commissioner and all Deputy Commissioners. B. The Accomplishment and Evaluation Reports shall be prepared and submitted in accordance with the following schedules: Report Submitted By Submitted To Due Date of Submission Accomplishment Report per Operational KPI (Annex B) Chief, Regional Divisions and RDOs Regional Director concerned Semestral Report : On or before July 25 LT District Offices, LTVATAU and LTCED Assistant Commissioner, LTS Annual Report : On or before January 25 of the following year Consolidated Accomplishment Report on KPI (Annex C) Regional Directors and ACIR-LTS MO concerned (ACIRs) Semestral Report : On or before July 30 Annual Report : On or before January 31 of the following year Evaluation Report on KPI (Annex D) Measure Owners (ACIRs) ACIR-PMS Attention: Chief, PPD Semestral Report : On or before August 25 Annual Report : On or before February 25 of the following year Consolidated Evaluation Report on KPIs (Annex E) ACIR-PMS Thru: PPD CIR All DCIRs Semestral Report : On or before Sept. 25 Annual Report : On or before March 25 of the following year IV. REPEALING CLAUSE This Order supersedes Revenue Memorandum Order No. 18-2021, and all other issuances or portions thereof inconsistent herewith. V. EFFECTIVITY This Order takes effect immediately until there shall be amendments/revisions recommended. CAESAR R. DULAY Commissioner of Internal Revenue By: (SGD.) MARISSA O. CABREROS Deputy Commissioner Legal Group Officer-in-Charge ANNEX A Operational Key Performance Indicators (KPIs) ANNEX B Accomplishment Report on Operational Key Performance Indicators (KPIs) ANNEX C Consolidated Accomplishment Report on Operational Key Performance Indicators (KPIs) ANNEX D Evaluation Report on Operational Key Performance Indicator (KPI) ANNEX E Consolidated Evaluation Report for the CY __ Operational Key Performance Indicators