Guidelines and Procedures in the Conversion of Accounts Receivable Cases for the ITS

October 3, 1997 REVENUE MEMORANDUM ORDER NO. 56-97 SUBJECT : Guidelines and Procedures in the Conversion of Accounts Receivable Cases for the Integrated Tax System (ITS) TO : The Regional Directors, Revenue District Officers and All Other Revenue Officers and Officials Concerned I. OBJECTIVES This Order is issued to: 1. Prescribe the guidelines and procedures in the Conversion of Accounts Receivable. 2. Identify the cases covered by the conversion process. II. GUIDELINES A. Conversion Scope Accounts receivable covered in this conversion effort are as follows: 1. Assessment Notices issued dated 1994 and prior years involving an amount above P5,000.00 considered as collectible and potentially collectible; and 2. Assessment Notices issued after 1994 to date regardless of the amount considered as collectible and potentially collectible. B. Conversion Approach A Conversion Team shall be created which will be composed of the following Revenue Officials and Officers with their designated responsibilities: 1. NO-Based Conversion Team The NO-based Conversion Team with the PSC as Chairman shall: Provide over-all direction to all the Conversion Activities Oversee the administrative aspects of the over-all Conversion Team Resolve or raise issues and concerns raised by the Chairman or any of his members which may be encountered during the implementation of the conversion plan. 2. Assistant Regional Director - Regional Conversion Coordinator The Asst. Regional Director of every Regional Office shall act as Conversion Coordinator within his/her region to: Coordinate with the National Conversion Team and the District Conversion Team on Conversion Activities, time scheduling, procedures to be performed and other issues of concern. LexLib Elevate to the National Office Conversion Team all issues and concerns. Provide weekly status report. 3. Assistant Revenue District Officer The Asst. Revenue District Officer of every Revenue District Office shall act as the Chairman of Conversion Team within an RDO to: Coordinate and supervise with the Conversion Support Group in identifying and resolving conversion issue. Coordinate with the Conversion Unit Heads on the scheduling and execution of Conversion Activities. Provide weekly status report to the National Conversion Team and the Regional Conversion Coordinator. III. PROCEDURES 1. Pre-Conversion Procedures 1.1 Assistant Revenue District Offices a. The Asst. Revenue District Officers Conversion Team shall: a.1 Ensure an accurate and complete implementation of the conversion of Accounts Receivable from 1994 and prior years. a.2 Prepare the summary of the unresolved Accounts Receivable cases to pursue necessary action. a.3 Ensure an accurate inventory of corrected Accounts Receivable. a.4 Disseminate this RMO to the different Collection Supervisors and Revenue Officers of the Collection Unit upon its effectivity. a.5 Direct the Revenue Officers in the Collection Unit through their Collection Supervisor to identify and segregate cases identified in the conversion scope for immediate submission to the Registration Unit. llcd a.6 Direct the Registration Unit to verify if the taxpayers contained in the submitted list are registered in ITS. If not, effect registration of these taxpayers. b. The Collection Supervisor as Conversion Unit Head upon receipt of the dockets shall: b.1 For New Accounts Receivable b.1.1 Check the names of the taxpayers and their TIN if they are registered in ITS. b.1.2 For taxpayers who are not registered in ITS, request the Revenue Officers to locate these taxpayers for record update. b.2 For Existing Accounts Receivable b.2.1 Instruct the Revenue Officers to identify and segregate cases within the conversion scope for immediate submission to the Registration Unit. b.2.2 Follow-up the Revenue Officers for issues and concerns. 2. Conversion Procedures a. Transcribe into the conversion Input Forms relevant A/R information from the Registration list for those taxpayers already registered in ITS. b. Verify correctness of transcribed information. c. Update if necessary. d. Encode form using the Account Adjustment of the Taxpayer Accounting System. e. Print Listing (Transaction Listing of TAS). f. Check correctness of encoded information. g. Update accordingly if necessary. IV. REPORTING A bi-monthly status report to the Coordinating Committee shall be rendered by the Overall Conversion Coordinator. The report shall include: 1. Key Accomplishments 2. Conversion Issues/Concerns 3. Plans for the Succeeding Period V. EFFECTIVITY This Order takes effect immediately. prcd (SGD.) LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue