Submission of Letter of Confirmation

September 25, 1963 REVENUE MEMORANDUM ORDER NO. 39-63 SUBJECT : Submission of Letter of Confirmation TO : All Internal Revenue Officers and Others Concerned In order to avoid undue harassments and multiple investigation of any taxpayer, all internal revenue officers and others concerned are hereby required to comply with the provisions of Revenue Regulations No. V-77, pertinent portions of which are quoted hereunder, viz: cdll "After making the inspection or examination of the said books, registers, records and other papers, the Internal Revenue Officer shall inform the taxpayer that he will receive a confirmation of the investigation within thirty (30) days upon termination of the investigation from the revenue officer who authorized the investigation . . ." showing the discrepancies found, if any, and the amount of the deficiency tax or taxes that may be assessed. The letter of confirmation should invariably be signed by the revenue officer who authorized the investigation in accordance with the authority previously delegated by this Office. Invariably, a copy of such letter of confirmation should be attached to the docket of the case in the same manner as the original thereof shall be attached by the taxpayer on the inside cover of the ledger for the year or years investigated. However, if no discrepancy has been found and, therefore, no deficiency tax is finally assessed against the taxpayer, a similar letter of confirmation should likewise be addressed to the taxpayer the original of which should be passed on the inside cover of the ledger for the year or years investigated while a copy thereof is attached to the report of the investigation to be submitted by the investigating internal revenue officers. Investigation reports without discrepancies found and deficiency assessments made should be filed and used as one of the basis for determining the efficiency of the investigating internal revenue officer, and his eligibility for assignment to investigate other tax cases. In order, however, that internal revenue officers may be properly rated on the basis of their production, or their respective accomplishments, the distribution of tax cases for investigation should be made as fairly and as equitably as possible, and should be calculated to encourage greater productivity and develop individual initiative and resourcefulness rather than stifle the same. LLjur (SGD.) RAMON T. OBEN Acting Commissioner of Internal Revenue