Revenue Goal Setting and Allocation

November 24, 1981 REVENUE MEMORANDUM ORDER NO. 32-81 SUBJECT : Revenue Goal Setting and Allocation TO : All Revenue Service Chiefs, Revenue Regional Directors, Division Chiefs, Revenue District Officers and Others Concerned I. OBJECTIVE: This Order aims to implement policy pronouncements of this Office on greater and more active participation by Revenue Regions and tax collection-generating offices in the National Office in goal setting and allocation, and to maximize prospective revenue collections of all offices concerned. II. POLICIES: A. The attainment of the revenue goal is the joint responsibility of all BIR offices and personnel whether directly or indirectly involved in its operational activities. B. Collection goals set and allocated shall be identified by revenue source. C. Goal setting and allocation shall consider the following: 1) The historical behavior of growth in tax collection in relation to the historical growth of the tax base; cdt 2) The forecasted growth of the tax base, 3) Regional and sectoral potentials, 4) Internal and external collection capabilities, and 5) Taxpayer migration and legal requirements on place of filing. III. PROCEDURES AND GUIDELINES: A. Revenue goals shall specify sources as follows: 1) By taxpayer compliance a. Voluntary - the projected collections from the taxpayer's own declarations; b. Enforced - that which is the result of the Bureau's enforcement efforts. This would further be subdivided into: B. Offices to submit Revenue Goals 1) National Offices - Except for the Specific Tax Office, National Office divisions shall present collection targets by kind of tax from enforcement activities only. a) Sector Operations Office b) National Assessment Office (for Refund Audit and National Audit Review Divisions) cd i c) National Collection Office (for Receivable Accounts and Collection Enforcement Divisions) d) Specific Tax Office - Revenue targets from specific taxes shall be presented by kind of tax segregating those from voluntary compliance and from enforcement activities. 2. Revenue Regional Offices - Revenue targets shall be presented as required in Paragraph IIIA, by units of the region. C. Submission of Revenue Target Proposals - All Offices concerned are required to submit their revenue target proposals in the attached formats not later than December 28, 1981. The Offices concerned and the Revenue Regions shall also submit a consolidated proposal in the same format. Strict compliance with this Order is hereby enjoined. (SGD.) RUBEN B. ANCHETA Acting Commissioner