Procedures in the Receipt, Processing, Handling and Safekeeping of Tax Amnesty Returns and Statements of Assets, Liabilities and Net Worth Filed under Presidential Decree No. 1840 Dated September 19, 1981

October 27, 1981 REVENUE MEMORANDUM ORDER NO. 29-81 SUBJECT : Procedures in the Receipt, Processing, Handling and Safekeeping of Tax Amnesty Returns and Statements of Assets, Liabilities and Net Worth Filed under Presidential Decree No. 1840 Dated September 19, 1981 TO : All Internal Revenue Officers and Others Concerned To insure proper, uniform and expedient implementation of Presidential Decree No. 1840 dated September 19, 1981 granting tax amnesty for the years 1974 and 1980, there are hereby prescribed the procedures to be followed in the receipt, processing and disposition of amnesty returns and statements of assets, liabilities and net worth filed pursuant to said decree. I. Forms to be Used A. BIR Form 1745H shall be used in reporting previously untaxed income and/or wealth of resident citizens/aliens and non-resident aliens engaged in trade or business or practice of profession in the Philippines and estates and trusts. B. BIR Form 1745H-1 shall be used in reporting previously untaxed income earned abroad of non-resident citizens. C. BIR Form 184B shall be used in filing statements of assets, liabilities and net worth. II. Receiving and Transmittal of Returns and Statements A. Receipt of Returns and Statements 1. Offices authorized to receive The tax amnesty return of resident citizens and aliens, estates and trusts, as well as those of non-resident aliens engaged in trade or business or practice of profession in the Philippines shall be received in the Offices of the Regional Director, Revenue District Officer, Collection Agent or duly authorized Municipal Treasurer where the taxpayer has his legal residence or place of business in the Philippines. acd Whenever warranted, the Commissioner may designate other offices or set up filing centers in other places to receive returns and statements. In the case of non-resident citizens, the tax amnesty returns shall be received at the nearest Philippine Embassy or Consulate abroad or at the Office of the Commissioner of Internal Revenue in the Philippines, Attn.: International Operations Division. 2. Stamping of returns and statements The returns and statements (both original and duplicate) shall bear the stamp of receipt or notation of the date the returns and statements were received in said offices. 3. Requirements in accepting returns Before accepting any amnesty return, the personnel authorized to receive the same shall see to it that the following documents are attached: a. a statement of assets, liabilities and net worth as of December 31, 1980, if required; b. a copy of the amnesty return filed under P.D. 1740 and a photocopy of the RTR and CR or ROR evidencing payment of the tax due thereon, if any; c. a copy of the statement of assets, liabilities and net worth as of December 31, 1979, if one was filed. B. Acceptance of Payments In all cases, payment of the tax due if not more than P50,000 or the first installment due in appropriate cases shall be required upon receipt of the return. 1. Payments by resident citizens/aliens and non-resident aliens engaged in trade or business or practice of profession in the Philippines a. Payment thru Banks In places where tax payments are made thru banks, only those authorized to accept amnesty returns shall issue Revenue Tax Receipts (RTR). RTRs shall be accomplished and processed in accordance with existing procedures. b. Payment thru Collection Agents In municipalities where payment thru banks is not authorized, the receiving officer shall issue the official receipt (BIR form 2524) upon receipt of the amnesty tax payment. Revenue Official Receipts shall be accomplished and processed in accordance with existing procedures. cd 2. Payments by Non-Resident Citizens In the case of non-resident citizens, payments shall be made with the Revenue Attache/Representative or Finance Officer of the Embassy or Consulate where the return is filed. If the return is mailed or filed with the Office of the Commissioner of Internal Revenue in the Philippines, payment shall be received by the Chief, International Operations Division who shall issue the Revenue Tax Receipt for such payments in accordance with existing procedures. 3. Installment Payment A taxpayer who elects to pay his tax by installment pursuant to the provisions of Section 8 of Revenue Regulations No. 18-81 dated October 1, 1981 shall be issued an RTR/ROR for the first installment and an Amnesty Tax Payment Acceptance Order (ATPAO Annex "A" ) for each succeeding installment at the time of filing of the return. The issuing officer shall indicate the due date of the installment in every ATPAO issued and shall inform the taxpayer to present it to the same office where the return was filed , when payment of any installment becomes due, without notice from the BIR. A taxpayer whose liability exceeds P300,000 and who has applied for installment payments under Sec. 8(d) of Revenue Regulations No. 18-81 shall be issued the ATPAOs only upon presentation of the approval of his application. C. Transmittal of Returns and Statements by Receiving Offices 1. All amnesty returns and statements received during the week in the offices of the Regional Director, Collection Agent, Municipal Treasurer or other duly authorized official shall be transmitted every Tuesday of the following week to the Revenue District Office which has jurisdiction over the city or municipality where the said offices are located. 2. The returns transmitted to the Revenue District Office shall be in batches of not more than 100 returns per batch and shall be covered by a transmittal list (Annex "B"). All columns except the column for file number shall be properly filled up. Every page of the transmittal list shall be numbered and columns for tax due and amount paid totalled and carried forward to the succeeding page to arrive at the grand total on the final page. The transmittal list shall be prepared in five copies, four copies of which shall accompany the batch of returns. The fifth copy shall be the file copy of the transmitting office. 3. Returns and statements received in the revenue district offices shall likewise be batched and listed in the same manner as those received in other offices. 4. The same list shall also be prepared for amnesty returns received abroad for transmittal to the International Operations Division. 5. All statements of assets, liabilities and net worth filed by taxpayers not availing of amnesty under P.D. Nos. 1740 and 1840 shall be batched and listed separately and shall be covered by a transmittal list (Annex "C"), which shall be prepared and distributed in the same manner as Annex "B". 6. The Revenue District Officer shall detach the triplicate copy of all Transmittal Lists received and shall immediately transmit the same to the Regional Director. 7. The Regional Director/Chief, International Operations Division shall prepare a weekly summary report of the number of returns received and collections made within his area of jurisdiction. The Summary Report shall be transmitted to the National Assessment Office not later than Friday of the same week by radio, telegram, telephone or any of the fastest means of communication available in the locality. D. Numbering of Returns and Statements 1. Returns with or without statements The Revenue District Officer/Chief, International Operations Division shall assign a file number to each amnesty return in accordance with the procedure prescribed below. The file number shall have the following components: a. Revenue District Code (use 00 for returns filed abroad) b. Payment Code F if fully paid I if paid in installment c. Revenue Region Code (use 000 for returns filed abroad) d. Serial Number (assign consecutively starting from 000001 for every Revenue District Office. All foreign returns shall be numbered consecutively starting from 000001.) e. Presidential Decree Number Example An amnesty return filed in Revenue District Office No. 28, Malabon-Navotas by a taxpayer who fully paid the tax due shall be given the following number: 28-F-04B-000001-1840 An amnesty return filed in New York, U.S.A. by a non-resident citizen who paid his tax in full upon filing his return shall be given the following number: 00-F-000-000001-1840 The same file number shall be assigned and indicated in all attachments to the return. The corresponding file number assigned to each taxpayer shall also be indicated in the column provided in the remaining copies of the transmittal list. 2. Statements without returns The file number of statements of assets, liabilities and networth shall have the following components: a. Revenue District Code (use 00 for returns filed abroad) b. Statements Code (use code "S" in all cases) c. Revenue Region Code (use 000 for returns filed abroad) d. Serial Number (assign consecutively starting from 000001 for every Revenue District Office. Statements filed abroad shall be numbered consecutively starting from 000001). e. Presidential Decree Number Example A statement filed in Revenue District Office No. 21, Valenzuela, shall be given the following file number: 21-S-03B-000001-1840 E. Preparation of Record of Payment A Record of Payment (Annex "D") shall be accomplished in duplicate for every return. The duplicate shall be attached to the return and the original kept on file in the Revenue District Office for collection follow-up and/or reference. All pertinent information called for in the record of payment (including CR No.) shall be filled up before the duplicate copy is attached to the return. Separate files shall be maintained in alphabetical order for the closed accounts and for those payable by installments. Accounts payable by installments when fully paid shall be transferred to the closed accounts file. For those which appear on the records as still unpaid, call-up letters (Annex "E") shall be sent to taxpayers with unpaid accounts. The letter shall be prepared in duplicate, the original sent to the taxpayer and duplicate to be kept on file in the revenue district office. Subsequent payments after the first installment shall be reported to the Tax Amnesty Implementation Officer on the prescribed form (Annex "F"). This report shall be accomplished in quadruplicate, distributed as follows: Original Tax Amnesty Implementation Office Duplicate National Assessment Office Triplicate Regional Director Quadruplicate Revenue District Office F. Transmittal of Returns and Statements Returns and statements which have been duly numbered and with file numbers properly indicated in the transmittal lists, shall be transmitted weekly by the Revenue District Officer to the Tax Amnesty Implementation Office. The original and duplicate copies of the transmittal lists shall remain with the batch of documents, while the quadruplicate shall remain with the revenue district office as file copy. G. Processing and Safekeeping of Returns and Statements at Tax Amnesty Implementation Office . The original of the returns and statements received at the Tax Amnesty Implementation Office (TAIO) shall be segregated from the duplicates. The original copies of the documents shall be forwarded to the Data Processing Center in batches covered by the original copy of the transmittal list. The Data Processing Center shall acknowledge receipt of the documents through appropriate entires in the log book. The duplicate copies of both the documents and transmittal list shall be kept on file at the Tax Amnesty Implementation Office. cdt H. Processing at the Data Processing Center The Data Processing Center shall take responsibility over the computerized processing of amnesty tax returns as well as the statements of assets, liabilities and networth received from the Tax Amnesty Implementation Office. Master files for the returns and statements shall be created on magnetic tapes and the following outputs generated: 1. Alpha list of amnesty returns filed showing the file number, taxpayer account number, name, address, years covered by the amnesty, the amount due and payment mode elected by the taxpayer. 2. Numeric list of amnesty returns filed showing the file number, taxpayer account number, name, address, years covered by the amnesty, the amount due and payment mode elected by the taxpayer. 3. Alpha list of statement of assets, liabilities and net worth showing the file number, taxpayer account number, name and address of filer. 4. Numeric list of statements showing the file number, taxpayer account number, name and address of filer. 5. Statistics derived from the returns and statements as may be required by top management and other user agencies. 6. Monthly alpha transaction register showing the name, taxpayer account number, file number, ROR/CR number, date paid, amount due, amount paid and balance due, if any. 7. Monthly numeric transaction register showing the name, taxpayer account number, file number, ROR/CR number, date paid, amount due, amount paid and balance due, if any. 8. Final overall alpha transaction register showing the name, taxpayer account number, file number, ROR/CR number, date paid, amount due, amount paid and balance due, if any. 9. Final overall numeric transaction register showing the name, taxpayer account number, file number, ROR/CR number, date paid, amount due, amount paid and balance due, if any. cdt The master files for the amnesty returns and statements of assets, liabilities and net worth as well as the transaction tapes shall be kept at the Office of the Tax Amnesty Implementation Office. A back-up file for each of the master tapes and transaction tapes shall be maintained at the Data Processing Center. The returns and statements shall be transmitted back to the Tax Amnesty Implementation Office as soon as processing has been completed by the DPC. I. Issuance of Certificate of Availment Certificate of Availment shall be issued by the Tax Amnesty Implementation Officer for the Commissioner upon the request of the taxpayer. A certificate shall be issued only upon confirmation that full payment of the amnesty tax has been made and that all requirements provided for under Presidential Decree No. 1840 and its implementing regulations have been complied with. aisa dc J. Confidentiality of Information Returns and statements transmitted to the Tax Amnesty Implementation Office and Data Processing Center shall be processed and/or filed separately from all other records of the office. No information whatsoever about the returns and statements shall be released without a written authority from the Commissioner of Internal Revenue. III. Effectivity This Order takes effect immediately. (SGD.) RUBEN B. ANCHETA Acting Commissioner