Ready Access to Records

May 16, 1968 REVENUE MEMORANDUM ORDER NO. 32-68 SUBJECT : Ready Access to Records TO : All Revenue Operations Heads, Regional Directors, Chiefs of Divisions and Branches, Revenue District Officers, and others Concerned It has been brought to the attention of the National Office that special agents of the National Tax Fraud Unit, Special Investigation Division, have encountered difficulties and delays in the procurement of, or access to records of taxpayers who are being investigated for purposes of possible criminal prosecution as tax evaders, despite a previous memorandum dated October 6, 1966. aisadc It is emphasized that the very sensitive nature of fraud investigation requires priority of action in order to protect the government's interest and also the reputation of the taxpayer. It is therefore necessary that ready access to the records and files of the different units of the Bureau be made available to the special agents without disclosing to the personnel of the unit or office who has custody of the said records, the reason and necessity for the access. In order to expeditiously supply the special agents of the National Tax Fraud Unit, Special Investigation Division, who are provided with special identification cards, with the necessary leads or information which might be available in the files of the various units or office of the Bureau, the following procedures shall be followed: 1. Any written or verbal request of the Field Supervisor, Group Supervisors, and Special Agents of the National Tax Fraud Unit, upon presentation of their special identification cards for necessary records or information relative to any fraud case shall be honored and attended to with the least possible delay and without the necessity of requiring them to show any letter or requisition slip from higher authorities for such purpose. Only in cases where they will take custody of the records would a duly approved requisition be required. 2. A record book shall be set up by the custodian of the records for the sole purpose of listing down the names of any of the above members of the National Tax Fraud Unit making the request for the records, the date of visitation, the specific records thus requested and shown or supplied to them, and the unit concerned shall render a monthly report showing the visitations made and the purpose thereof, specifying the name of the taxpayer involved, which shall be submitted in triplicate to be distributed as follows: one (1) copy for the Deputy Commissioner of Internal Revenue Operations, one (1) copy for the Chief, Special Investigation Division, and one (1) copy for the Revenue Operations Head or the Regional Director having jurisdiction over the unit concerned. 3. It is sufficient for this purpose that any member of the National Tax Fraud Unit shall sign the record book, indicating receipt of the records as specified or that the records requested have been shown to them. 4. Strict compliance with the provisions of this memorandum order is enjoined and any refusal or failure to comply therewith by those concerned without reasonable or justifiable cause shall be dealt with accordingly. The special agents shall submit a report on the facts surrounding the delay in the procurement of the desired records and/or information which shall be the basis of an Personnel Audit Division. cdtech This memorandum order shall take effect immediately. MISAEL P. VERA Commissioner of Internal Revenue May 3, 1968 MEMORANDUM to The Chief, Special Investigation Division Thru channels The proposed general circular on "Ready Access to Records" is hereby returned with the following comments: 1. This issuance should be a revenue memorandum order as prescribed under Revenue Administrative Order No. 8-66 dated June 29, 1966. The same Revenue Administrative Order had done away with "General Circular" issuances. 2. The portion of Section 2 on the distribution of the proposed monthly report of the visitations made and the purpose thereof mentions one copy to be given to the Deputy Commissioner of Internal Revenue. As there are two Deputy Commissioners of Internal Revenue, it is suggested that each of them be given a copy inasmuch as the custody of records and management thereof is administrative in nature and the purpose for which the records and information thereof needed are operational; it is therefore important that both Deputy Commissioners get a copy of the report. With these two amendments, this Office believes that these instructions can be issued. RUDOLFO ARGONZA Acting Revenue Operations Head (Management Planning) February 26, 1968 MEMORANDUM FOR: The Commissioner of Internal Revenue Thru Channels, Manila The purpose of the proposed General Circular is to provide Special Agents of the National Tax Fraud Unit of the Special Investigation Division, ready access to the records and files of the different units of the Bureau. Special Agents have encountered difficulties and delays in the procurement of, or access to records of taxpayers who are being investigated for purposes of possible criminal prosecution, despite a previous memorandum from that Office dated October 6, 1966. The proposed Circular shall impose disciplinary measures for violations of its provisions. ANTONIO T. MERCADO Chief, Special Investigation Division RECOMMENDING APPROVAL: CONRADO P. DIAZ Revenue Operations Head (Special Operations) February 21, 1968 MEMORANDUM FOR: The Chief, Special Investigation Division Attention: Atty . Reynaldo A . Suarez Assistant Chief (Operations) Attention is invited to the delays being encountered by the undersigned and the members of his group in securing pertinent records from the IBM and the Administrative Branch, Records Section of the Regional Office of Quezon City. On February 8, 1968, our requisition for the income tax returns as well as reports of previous investigations of the creditors of Lino Bocalan was presented to the Chief of the Administrative Branch of Quezon City. Consistent follow-up was made for securing the returns and records needed and it is only this morning (February 21, 1968) or a period of almost two weeks, that the undersigned was able to get the certified true copies of the records needed. On July 20, 1967, a memorandum was also written to the Chief of the IBM requesting for the assessment number of the return of Mr. Eugenio Gregorio, Valenzuela, Bulacan. This taxpayer was complained for not having declared his gain from the sale of a property in the year 1966 and before the undersigned had to requisition his return for the year, he had to secure the assessment number of the return. It was only yesterday that he was able to get a certification from the Chief of the IBM that the taxpayer, Mr. Eugenio Gregorio, did not file any return, or a delay of more than seven months. I wonder if the officials concerned are still aware of the directive long ago issued to them that priority be extended on all requests for records by special agents of the National Tax Fraud Unit. For the success of the Unit, it is strongly recommended that immediate action be taken to remedy these delays. cdi LUIS B. BLAZA Group Supervisor N . T . F . U . March 12, 1968 MEMORANDUM for: The Revenue Operations Head (Management Planning) The following are our comments on the attached proposed Revenue Memorandum Order regarding Attendance and Punctuality of Officials and Employees referred to this Office: It has been observed that there is again laxity in the compliance to the rules and regulations relative to punctuality in office attendance and leave of absence. Time and again issuances on this matter have been released the latest of which is Revenue Memorandum Order No. 80-67 of the Commissioner dated November 28, 1967, on punctuality in office attendance and performance of official duties. Notwithstanding said Order, tardiness and frequent absences is still prevalent. It is therefore right and proper to reiterate and inculcate in the minds of all personnel that any violation of the rules on office attendance will be dealt with accordingly. The proposed Order presents a definite procedure on keeping track of attendance of employees, the manner of reporting unexplained absences and the action to be taken to suspend their salaries. However, it is suggested that the report on frequent and unexplained absences should be submitted quarterly rather than monthly as stated in the proposed Order to give sufficient time for the preparation and submission of the required report and to avoid too much paper work. It is further suggested that frequent tardiness should also be a cause for suspension or reduction of salary of the employee. This Office therefore strongly recommends the issuance of this proposed Order with the suggested modifications stated herein. MELCHOR S. RAMOS Acting Chief, O & M Division