Exemption from Revenue Memorandum Order (RMO) No. 53-98 on Mandatory Reporting Requirements and on RMO No. 38-88 on Revalidation of Letters of Authority for Cases under Investigation by Special Teams under the Enforcement Service

July 12, 1999 REVENUE MEMORANDUM ORDER NO. 56-99 SUBJECT : Exemption from Revenue Memorandum Order (RMO) No. 53-98 on Mandatory Reporting Requirements and on RMO No. 38-88 on Revalidation of Letters of Authority for Cases under Investigation by Special Teams under the Enforcement Service TO : Assistant Commissioners for Enforcement Service and Assessment Service, Revenue Officers and All Others Concerned I. POLICY CONSIDERATIONS In view of the Bureau's desire to improve the quality of investigation of tax cases, Special Teams under the Enforcement Service were created primarily to study certain industries and/or tax loopholes in order to come-up with audit procedures and techniques that would properly take into account the industry's peculiarities, distinct accounting practices and the nature of the transactions involved. Toward this end and in order to attain the above objectives , it is but necessary to require a different set of reporting requirements and procedures that would give more emphasis and consideration on the distinct practices and business transactions of the industries covered. Hence, the mandatory reporting requirements under RMO 53-98 and the 120-day rule on the revalidation of Letters of Authority under RMO 38-88 shall no longer be applicable to the cases covered by these Special Teams. This year, policy cases include. (a) the banking industry; (b) the insurance industry, and the (c) interrelated group of companies. II. POLICY STATEMENT In view thereof, it is the policy of this Bureau to exempt the reports of Special Teams from RMO 53-98 and RMO 38-88 given the reasons mentioned hereunder: 1. some mandatory requirements required under RMO 53-98 are not applicable to the industries under audit; 2. in order to give more time to Revenue Officers to concentrate on studying deeper the practices of the industry rather than on trying to comply with the required reporting requirements that may not have any bearing at all in increasing collection or improving the quality of the audit or review; 3. given the limited time within which to complete the audit and considering further the complex nature of the industries and/or tax issues and the voluminous transactions involved, it is highly improbable to comply with such stringent reporting requirements without hampering the quality of the investigation and the completion of the operation. However, all reports must comply with the reporting requirements prescribed for each specific industry required under this RMO as follows: a. Reporting Requirements listed under Annex A hereof for Banks and Financial Intermediaries; b. Reporting Requirements listed under Annex B hereof for Insurance Companies, including pre-need companies; c. Reporting Requirements listed under Annex C hereof for Interrelated Group of Companies; d. Reporting Requirements listed under Annex D hereof for those not covered from a to c. III. APPLICABILITY AND EFFECTIVITY This Order shall apply to all audit reports of cases handled by the Special Teams under Revenue Special Order (RSO) Nos. 381-98 and 693-98 on Banks and Insurance and on RSO No. 670-98 for Interrelated Group of Companies. (SGD.) BEETHOVEN L. RUALO Commissioner of Internal Revenue CHECKLIST OF REQUIREMENTS BANKS & FINANCIAL INTERMEDIARIES ANNEX A INCOME TAX/WITHHOLDING TAXES A) Requirements from Taxpayer 1. Income Tax Return (RBU & FCDU) 2. Certified Financial Statements, including comparative Profit and Loss Statement with Statement of Cost of Goods Manufactured and Sold, if applicable 3. Proof of claimed tax credits/s, if applicable 4. BSP approval of Bad Debts 5. Xerox copy of used Tax Credit Certificate with annotation of issued TDM at the back , if applicable 6. Reconciliation of "Book Income" and "Taxable Income" 7. Proof of payment of deficiency tax, if any/applicable a. current year b. previous year 8. Reports submitted to applicable regulatory agency that reflects the financial condition and result of operation of the taxpayer if applicable: E.G. a. Statement of Condition and Statement of Income and Expenses Bangko Sentral ng Pilipinas B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority 2. Duly filed Income Tax Return with all the required attachments 3. Proof of payment of the tax, including Tax Debit Memo/TCC 4. Quarterly Income Tax Returns 5. Proof of payment of second installment INCOME TAX, if applicable 6. Duly validated Monthly Withholding Tax Returns 7. Duly validated Quarterly Withholding Tax Returns, if applicable 8. Duly validated Annual Withholding Tax Returns together with the required attachments (Alpha List) 9. Duly received Information Returns 10. Form 1717 Series/Form 0500 Series (Audit Reports) 11. Narrative Memorandum Report 12. Table of Contents 13. Working papers showing computation of income and/or withholding taxes due duly signed by the Tax Auditor's/Revenue Officers 14. Working papers on selected accounts related to the findings on investigation duly signed by the Tax Auditor's/Revenue Officers 15. Schedule of Miscellaneous Income, if material/applicable 16. Detailed reconciliation of "Book Income" and "Taxable Income", if necessary 17. Reconciliation of the Financial Statements' figures with the Withholding Tax Returns' and Information Returns' figures 18. Agreement Form (for agreed assessment) 19. Notice for an Informal Conference/Post Reporting Notice with the summary of findings (for non-agreed assessment) 20. Comparative Report of Deficiency Tax Paid/Assessed, if applicable a. current year b. previous year 21. Docket Locator Form OTHER PERCENTAGE TAXES A) Requirements from Taxpayer 1. Proof of claimed tax credits 2. Proof of payment of the tax 3. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued Tax Debit Memo (TDM) at the back 4. Proof of payment of deficiency tax a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority/Audit Notice 2. Duly validated Percentage Tax Returns, including all the attachments thereto 3. Tax Debit Memo applied, if applicable 4. Form 1717 Series/0500 Series (Audit Reports) 5. Narrative Memorandum Report 6. Table of Contents 7. Working papers showing the computation of the taxable receipts/sales (tax base) and percentage tax due duly signed by the Tax Auditors/Revenue Officers 8. Reconciliation of Financial Statements' figures and Percentage Tax Returns figures DOCUMENTARY STAMP TAX A) Requirement from Taxpayer 1. Proof of payment of the tax 2. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 3. Proof of payment of deficiency tax, if any a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Duly filed Documentary Stamp Tax Declaration 2. Duly filed Documentary Stamp Tax Return 3. Tax Debit Memo, if applicable 4. Duly received Information Returns for Documentary Stamp Tax 5. Letter of Authority/Audit Notice 6. Form 1717 Series/Form 0500 Series (Audit Reports) 7. Narrative Memo Report 8. Table of Contents 9. Working papers showing details and computation of tax base duly signed by Tax Auditors/Revenue Officers 10. Working Papers showing computation of documentary stamp tax due duly signed by Tax Auditors/Revenue Officers LLjur OTHER PERCENTAGE TAXES A) Requirements from Taxpayer 1. Proof of claimed tax credits 2. Proof of payment of the tax 3. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued Tax Debit Memo (TDM) at the back 4. Proof of payment of deficiency tax a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority/Audit Notice 2. Duly validated Percentage Tax Returns, including all the attachments thereto 3. Tax Debit Memo applied, if applicable 4. Form 1717 Series/0500 Series (Audit Reports) 5. Narrative Memorandum Report 6. Table of Contents 7. Working papers showing the computation of the taxable receipts/sales (tax base) and percentage tax due duly signed by the Tax Auditors/Revenue Officers 8. Reconciliation of Financial Statements' figures and Percentage Tax Returns' figures CHECKLIST OF REQUIREMENTS INSURANCE ANNEX B INCOME TAX A) Requirements from Taxpayer 1. Income Tax Return 2. Certified Financial Statements, including comparative Profit and Loss Statement with Statement of Cost of Goods Manufactured and Sold, if applicable 3. Proof of claimed tax credits/s, if applicable 4. Xerox copy of used Tax Credit Certificate with annotation of issued TDM at the back, if applicable 5. Reconciliation of "Book Income" and "Taxable Income" 6. Proof of payment of deficiency tax, if any/applicable a. current year b. previous year 7. Reports submitted to applicable regulatory agency that reflects the financial condition and result of operation of the taxpayer if applicable: E.G. a. Annual Statement from Insurance Commission/Xerox copies of pertinent information necessary in the computation of premium tax, value-added tax and documentary stamp tax. B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority 2. Duly filed Income Tax Return with all the required attachments 3. Proof of payment of the tax, including Tax Debit Memo/TCC 4. Quarterly Income Tax Returns 5. Proof of payment of second installment INCOME TAX, if applicable 6. Duly validated Monthly Withholding Tax Returns 7. Duly validated Quarterly Withholding Tax Returns, if applicable 8. Duly validated Annual Withholding Tax Returns together with the required attachments (Alpha List) 9. Duly received Information Returns 10. Form 1717 Series/Form 0500 Series (Audit Reports) 11. Narrative Memorandum Report 12. Table of Contents 13. Working papers showing computation of income and/or withholding taxes due duly signed by the Tax Auditor's/Revenue Officers 14. Working papers on selected accounts related to the findings on investigation duly signed by the Tax Auditor's/Revenue Officers 15. Schedule of Miscellaneous Income, if material/applicable 16. Detailed reconciliation of "Book Income" and "Taxable Income", if necessary 17. Reconciliation of the Financial Statements' figures with the Withholding Tax Returns' and Information Returns' figures 18. Agreement Form (for agreed assessment) 19. Notice for an Informal Conference Post Reporting Notice with the summary of findings (for non-agreed assessment) 20. Comparative Report of Deficiency Tax Paid/Assessed, if applicable a. current year b. previous year 21. Docket Locator Form VALUE ADDED TAX A) Requirements from Taxpayers 1. Proof of claimed tax credits 2. Proof of Tax Compliance Certificates applied 3. Xerox copy of used tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 4. Proof of payment of deficiency tax, if any a. current year b. previous year 5. Certification of the appropriate government agency as to taxpayer's entitlement to tax incentives, if applicable B) Reporting Requirements to be prepared and/or submitted by Revenue Officers 1. Letter of Authority 2. Duly validated Monthly VAT Declarations 3. Duly validated Quarterly VAT Returns 4. Proof of claimed tax credit, if applicable 5. Proof of payment of the tax 6. Proof of Tax Debit Memo (TDM) applied, if applicable 7. Form 1717 Series/Form 0500 Series (Audit Report) 8. Narrative Memorandum Report 9. Working papers showing computation of VAT duly signed by the Tax Auditor's/Revenue Officers DOCUMENTARY STAMP TAX A) Requirement from Taxpayer 1. Proof of payment of the tax 2. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 3. Proof of payment of deficiency tax, if any a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Duly filed Documentary Stamp Tax Declaration 2. Duly filed Documentary Stamp Tax Return 3. Tax Debit Memo, if applicable 4. Duly received Information Returns for Documentary Stamp Tax 5. Letter of Authority/Audit Notice 6. Form 1717 Series/Form 0500 Series (Audit Reports) 7. Narrative Memo Report 8. Table of Contents 9. Working papers showing details and computation of tax base duly signed by Tax Auditors/Revenue Officers 10. Working Papers showing computation of documentary stamp tax due duly signed by Tax Auditors/Revenue Officers OTHER PERCENTAGE TAXES A) Requirements from Taxpayer 1. Proof of claimed tax credits 2. Proof of payment of the tax 3. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued Tax Debit Memo (TDM) at the back 4. Proof of payment of deficiency tax a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority/Audit Notice 2. Duly validated Percentage Tax Returns, including all the attachments thereto 3. Tax Debit Memo applied, if applicable 4. Form 1717 Series/0500 Series (Audit Reports) 5. Narrative Memorandum Report 6. Table of Contents 7. Working papers showing the computation of the taxable receipts/sales (tax base) and percentage tax due duly signed by the Tax Auditors/Revenue Officers 8. Reconciliation of Financial Statements' figures and Percentage Tax Returns' figures LibLex CHECKLIST OF REQUIREMENTS INTERRELATED GROUP OF COMPANIES ANNEX C INCOME TAX A) Requirements from Taxpayer 1. Income Tax Return 2. Certified Financial Statements, including comparative Profit and Loss Statement with Statement of Cost of Goods Manufactured and Sold, if applicable 3. Proof of claimed tax credits/s, if applicable 4. Xerox copy of used Tax Credit Certificate with annotation of issued TDM at the back, if applicable 5. Reconciliation of "Book Income" and "Taxable Income" 6. Proof of payment of deficiency tax, if any/applicable a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority 2. Duly filed Income Tax Return with all the required attachments 3. Proof of payment of the tax, including Tax Debit Memo/TCC 4. Quarterly Income Tax Returns 5. Proof of payment of second installment INCOME TAX, if applicable 6. Duly validated Monthly Withholding Tax Returns 7. Duly validated Quarterly Withholding Tax Returns, if applicable 8. Duly validated Annual Withholding Tax Returns together with the required attachments (Alpha List) 9. Duly received Information Returns 10. Form 1717 Series/Form 0500 Series (Audit Reports) 11. Narrative Memorandum Report 12. Table of Contents 13. Working papers showing computation of income and/or withholding taxes due duly signed by the Tax Auditor's/Revenue Officers 14. Schedule of Miscellaneous Income, if material/applicable 15. Detailed reconciliation of "Book Income" and "Taxable Income", if necessary 16. Reconciliation of the Financial Statements' figures with the Withholding Tax Returns' and Information Returns figures 17. Agreement Form (for agreed assessment) 18. Notice for an Informal Conference/Post Reporting Notice with the summary of findings (for non-agreed assessment) 19. Comparative Report of Deficiency Tax Paid/Assessed, if applicable a. current year b. previous year 20. Docket Locator Form VALUE ADDED TAX A) Requirements from Taxpayers 1. Proof of claimed tax credits 2. Proof of Tax Compliance Certificates applied 3. Xerox copy of used tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 4. Proof of payment of deficiency tax, if any a. current year b. previous year 5. Certification of the appropriate government agency as to taxpayer's entitlement to tax incentives, if applicable 6. Sample invoice/s for "Export/Exempt Sales"; if applicable B) Reporting Requirements to be prepared and/or submitted by Revenue Officers 1. Letter of Authority 2. Duly validated Monthly VAT Declarations 3. Duly validated Quarterly VAT Returns 4. Proof of claimed tax credit, if applicable 5. Proof of payment of the tax 6. Proof of Tax Debit Memo (TDM) applied, if applicable 7. Form 1717 Series/Form 0500 Series (Audit Report) 8. Narrative Memorandum Report 9. Working papers showing computation of VAT duly signed by the Tax Auditor's/Revenue Officers VALUE ADDED TAX (For audit involving Claim for Refund/TCC) A) Requirements from Taxpayer I. Requirements mentioned in Annex B II. Additional General Requirements 1. 3 copies of "Application for VAT Credit/Refund" 2. Summary List of Local Purchases specifying the following: Registered VAT # of Invoice Date of OR Date Amount Input Total Name of Supplier Number Invoice No. of of Tax Invoice Supplier OR Purchases Amount 3. Photocopies of VAT purchase invoices for purchase of goods and official receipts for purchase of services. (The invoices/official receipts must be arranged according to the summary list) 4. Summary of importations made during the period with the following details: Date of Supplier Item AWB/ Date of Total Date of O.R. VAT Invoice BL No. Arrival Value Payment No. 5. Photocopies of invoices, import entry documents, official receipts or confirmation receipts evidencing payment of VAT. (Segregate documents paid by cash from those paid by tax debit memo) 6. VAT Returns filed for the quarter showing that the amount applied for refund/TCC has been reflected as a deduction from the total available input tax, as well as VAT Return for the succeeding quarter 7. Certification of taxpayer showing the amount of Zero-rated Sales, Taxable Sales and Exempt Sales 8. A Statement showing the amount and description of the sale of goods and services, name of persons or entities (except in case of exports) to whom the goods or services were sold and date of the transaction, where the applicant's zero-rated transactions are regulated by certain government agency cdll 9. Articles of Incorporation for first time filers 10. BOI Certificate of Registration 11. BIR Certificate of Registration 12. Certification from BOI, DOF, BOC, EPZA, etc., that subject taxpayer has not filed similar claim for refund covering the same period 13. Sworn statement that ending inventory as of the close of the period covered by the Claim has been used directly or indirectly in the products subsequently exported as supported by export documents, if the applicant is 100% exporter 14. Documents of liquidation evidencing the actual utilization of the raw materials in the Manufacture of goods at least 70% of which has been actually exported, if the applicant is an indirect exporter 15. Copy of the ITR and Certified Financial Statements, if applicable III. Additional Specific Requirements 1. For Export Sales (Semi-conductor companies, garments, food etc.) a. sales invoice number, name of buyer, airway bill/bill of lading number, lading date, amount of sales in foreign currency, peso value of sales, conversion rate, date of remittance, bank credit memo number and amount remitted in pesos b. Photocopies of export documents: 1. Invoices/receipts evidencing sale of goods, as well as the name of the person to whom the goods were delivered with respect to foreign currency denominated sales 2. Export declaration/permit c. accredited agent bank showing that the proceeds of the sale in acceptable foreign currency had been inwardly remitted and accounted for in accordance with BSP rules and regulations. The statement should also show the amount in foreign currency of the export proceeds or consideration, date of export, date of inward remittance, conversion rate into Philippine currency and the total peso value thereof. 2. For Zero-Rated Sale of Services (contractors, mining, etc.) a. Authenticated copy/files of the contract/s showing the person/s for whom services were rendered, amount of consideration, description of the services and documents evidencing actual payments b. Photocopies of official receipts and billings together with a summary of the date of billing, name of principal, official receipt number, date of receipt, amount in foreign currency and the corresponding value thereof, date of remittance, name of bank, bank credit memo number and amount remitted in pesos c. Bank credit memoranda and certificate from the BSP with information similar to 1-c (export sales) cdlex Additional Requirements for Manning Services: a. Monthly BSP report on income of agency received b. Breakdown of gross foreign receipts specifying the nature of foreign currency received (e.g. Commission, allotment, manning fee, agency fee, advances, etc.,) showing the total foreign currency value with its peso equivalent bank credit memo number, name of bank and date of remittance 3. Effectively zero-rated sale of goods (mining, etc.)/services (contractors, etc.) a. Summary of Sales invoices/receipts showing the name of the person entity to whom the sale of goods or services were delivered, order of delivery, amount of consideration and description of goods or services delivered (RR 6-89 and RMC 2-90) b. Reconciliation of billings against payment c. Evidence of actual receipt of goods and services Additional Requirements for Mining Companies: a. Reconciliation of billings against actual collection b. Operating agreement with owner of mining claims, if applicable 4. Purchase of Capital Goods a. Original copies of invoices/receipts showing the date of purchase, purchase price, amount of value-added tax paid and description of the capital equipment locally purchased b. On Imported Capital Goods Photocopy of import entry documents and official receipts/confirmation receipts of payment issued by the Bureau of Customs for value-added tax paid. B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers I. Requirements mentioned in Annex B II. Additional Requirements (Annex B-1) DOCUMENTARY STAMP TAX A) Requirement from Taxpayer 1. Proof of payment of the tax 2. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 3. Proof of payment of deficiency tax, if any a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Duly filed Documentary Stamp Tax Declaration 2. Duly filed Documentary Stamp Tax Return 3. Tax Debit Memo, if applicable 4. Duly received Information Returns for Documentary Stamp Tax 5. Letter of Authority/Audit Notice 6. Form 1717 Series/Form 0500 Series (Audit Reports) 7. Narrative Memo Report 8. Table of Contents 9. Working papers showing details and computation of tax base duly signed by Tax Auditors/Revenue Officers 10. Working Papers showing computation of documentary stamp tax due duly signed by Tax Auditors/Revenue Officers LibLex OTHER PERCENTAGE TAX A) Requirements from Taxpayer 1. Proof of claimed tax credits 2. Proof of payment of the tax 3. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued Tax Debit Memo (TDM) at the back 4. Proof of payment of deficiency tax a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority/Audit Notice 2. Duly validated Percentage Tax Returns, including all the attachments thereto 3. Tax Debit Memo applied, if applicable 4. Form 1717 Series/0500 Series (Audit Reports) 5. Narrative Memorandum Report 6. Table of Contents 7. Working papers showing the computation of the taxable receipts/sales (tax base) and percentage tax due duly signed by the Tax Auditors/Revenue Officers 8. Reconciliation of Financial Statements' figures and Percentage Tax Returns' figures CHECKLIST OF REQUIREMENTS ALL OTHERS ANNEX D INCOME TAX A) Requirements from Taxpayer 1. Income Tax Return 2. Certified Financial Statements, including comparative Profit and Loss Statement with Statement of Cost of Goods Manufactured and Sold, if applicable 3. Proof of claimed tax credits/s, if applicable 4. Xerox copy of used Tax Credit Certificate with annotation of issued TDM at the back, if applicable 5. Reconciliation of "Book Income" and "Taxable Income" 6. Proof of payment of deficiency tax, if any/applicable a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority 2. Duly filed Income Tax Return with all the required attachments 3. Proof of payment of the tax including Tax Debit Memo/TCC 4. Quarterly Income Tax Returns 5. Proof of payment of second installment INCOME TAX, if applicable 6. Duly validated Monthly Withholding Tax Returns 7. Duly validated Quarterly Withholding Tax Returns, if applicable 8. Duly validated Annual Withholding Tax Returns together with the required attachments (Alpha List) 9. Duly received Information Returns 10. Form 1717 Series/Form 0500 Series (Audit Reports) 11. Narrative Memorandum Report 12. Table of Contents 13. Working papers showing computation of income and/or withholding taxes due duly signed by the Tax Auditor's/Revenue Officers 14. Schedule of Miscellaneous Income, if material/applicable 15. Detailed reconciliation of "Book Income" and "Taxable Income", if necessary 16. Reconciliation of the Financial Statements' figures with the Withholding Tax Returns' and Information Returns', figures 17. Agreement Form (for agreed assessment) 18. Notice for an Informal Conference/Post Reporting Notice with the summary of findings (for non-agreed assessment) 19. Comparative Report of Deficiency Tax Paid/Assessed, if applicable a. current year b. previous year 20. Docket Locator Form VALUE ADDED TAX A) Requirements from Taxpayers 1. Proof of claimed tax credits 2. Proof of Tax Compliance Certificates applied 3. Xerox copy of used tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 4. Proof of payment of deficiency tax, if any a. current year b. previous year 5. Certification of the appropriate government agency as to taxpayer's entitlement to tax incentives, if applicable 6. Sample invoice/s for "Export/Exempt Sales"; if applicable B) Reporting Requirements to be prepared and/or submitted by Revenue Officers 1. Letter of Authority 2. Duly validated Monthly VAT Declarations 3. Duly validated Quarterly VAT Returns 4. Proof of claimed tax credit, if applicable 5. Proof of payment of the tax 6. Proof of Tax Debit Memo (TDM) applied, if applicable 7. Form 1717 Series/Form 0500 Series (Audit Report) 8. Narrative Memorandum Report 9. Workings papers showing computation of VAT duly signed by the Tax Auditor's/Revenue Officers VALUE ADDED TAX (For audit involving Claim for Refund/TCC) A) Requirements from Taxpayer I. Requirements mentioned in Annex B II. Additional General Requirements 1. 3 copies of "Application for VAT Credit/Refund" 2. Summary List of Local Purchases specifying the following: Registered VAT # of Invoice Date of OR Date Amount Input Total Name of Supplier Number Invoice No. of of Tax Invoice Supplier OR Purchases Amount 3. Photocopies of VAT purchase invoices for purchase of goods and official receipts for purchase of services. (The invoices/official receipts must be arranged according to the summary list) 4. Summary of importations made during the period with the following details: Date of Supplier Item AWB/ Date of Total Date of O.R. VAT Invoice BL No. Arrival Value Payment No. 5. Photocopies of invoices, import entry documents, official receipts or confirmation receipts evidencing payment of VAT. (Segregate documents paid by cash from those paid by tax debit memo) 6. VAT Returns filed for the quarter showing that the amount applied for refund/TCC has been reflected as a deduction from the total available input tax, as well as VAT Return for the succeeding quarter 7. Certification of taxpayer showing the amount of Zero-rated Sales, Taxable Sales and Exempt Sales 8. A Statement showing the amount and description of the sale of goods and services, name of persons or entities (except in case of exports) to whom the goods or services were sold and date of the transaction, where the applicant's zero-rated transactions are regulated by certain government agency 9. Articles of Incorporation for first time filers 10. BOI Certificate of Registration 11. BIR Certificate of Registration 12. Certification from BOI, DOF, BOC, EPZA, etc., that subject taxpayer has not filed similar claim for refund covering the same period 13. Sworn statement that ending inventory as of the close of the period covered by the Claim has been used directly or indirectly in the products subsequently exported as supported by export documents, if the applicant is 100% exporter 14. Documents of liquidation evidencing the actual utilization of the raw materials in the Manufacture of goods at least 70% of which has been actually exported, if the applicant is an indirect exporter 15. Copy of the ITR and Certified Financial Statements, if applicable III. Additional Specific Requirements 1. For Export Sales (Semi-conductor companies, garments, food etc.) a. sales invoice number, name of buyer, airway bill/bill of lading number, lading date, amount of sales in foreign currency, peso value of sales, conversion rate, date of remittance, bank credit memo number and amount remitted in pesos b. Photocopies of export documents: 1. Invoices/receipts evidencing sale of goods, as well as the name of the person to whom the goods were delivered with respect to foreign currency denominated sales 2. Export declaration/permit c. accredited agent bank showing that the proceeds of the sale in acceptable foreign currency had been inwardly remitted and accounted for in accordance with BSP rules and regulations. The statement should also show the amount in foreign currency of the export proceeds or consideration, date of export, date of inward remittance, conversion rate into Philippine currency and the total peso value thereof. 2. For Zero-Rated Sale of Services (contractors, mining, etc.) a. Authenticated copy/files of the contract/s showing the person/s for whom services were rendered, amount of consideration, description of the services and documents evidencing actual payments b. Photocopies of official receipts and billings together with a summary of the date of billing, name of principal, official receipt number, date of receipt, amount in foreign currency and the corresponding value thereof, date of remittance, name of bank, bank credit memo number and amount remitted in pesos c. Bank credit memoranda and certificate from the BSP with information similar to 1-c (export sales) Additional Requirements for Manning Services: a. Monthly BSP report on income of agency received b. Breakdown of gross foreign receipts specifying the nature of foreign currency received (e.g. Commission, allotment, manning fee, agency fee, advances, etc.,) showing the total foreign currency value with its peso equivalent bank credit memo number, name of bank and date of remittance 3. Effectively zero-rated sale of goods (mining, etc.)/services (contractors, etc.) a. Summary of Sales invoices/receipts showing the name of the person entity to whom the sale of goods or services were delivered, order of delivery, amount of consideration and description of goods or services delivered (RR 6-89 and RMC 2-90) b. Reconciliation of billings against payment c. Evidence of actual receipt of goods and services Additional Requirements for Mining Companies: a. Reconciliation of billings against actual collection b. Operating agreement with owner of mining claims, if applicable 4. Purchase of Capital Goods a. Original copies of invoices/receipts showing the date of purchase, purchase price, amount of value-added tax paid and description of the capital equipment locally purchased b. On Imported Capital Goods Photocopy of import entry documents and official receipts/confirmation receipts of payment issued by the Bureau of Customs for value-added tax paid. B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers I. Requirements mentioned in Annex B II. Additional Requirements (Annex B-1) DOCUMENTARY STAMP TAX A) Requirement from Taxpayer 1. Proof of payment of the tax 2. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued TDM at the back, if applicable 3. Proof of payment of deficiency tax, if any a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Duly filed Documentary Stamp Tax Declaration 2. Duly filed Documentary Stamp Tax Return 3. Tax Debit Memo, if applicable 4. Duly received Information Returns for Documentary Stamp Tax 5. Letter of Authority/Audit Notice 6. Form 1717 Series/Form 0500 Series (Audit Reports) 7. Narrative Memo Report 8. Table of Contents 9. Working papers showing details and computation of tax base duly signed by Tax Auditors/Revenue Officers 10. Working Papers showing computation of documentary stamp tax due duly signed by Tax Auditors/Revenue Officers dctai OTHER PERCENTAGE TAX A) Requirements from Taxpayer 1. Proof of claimed tax credits 2. Proof of payment of the tax 3. Xerox copy of used Tax Credit Certificate (TCC) with annotation of issued Tax Debit Memo (TDM) at the back 4. Proof of payment of deficiency tax a. current year b. previous year B) Reporting Requirements to be prepared and/or submitted by the Revenue Officers 1. Letter of Authority/Audit Notice 2. Duly validated Percentage Tax Returns, including all the attachments thereto 3. Tax Debit Memo applied, if applicable 4. Form 1717 Series/0500 Series (Audit Reports) 5. Narrative Memorandum Report 6. Table of Contents 7. Working papers showing the computation of the taxable receipts/sales (tax base) and percentage tax due duly signed by the Tax Auditors/Revenue Officers 8. Reconciliation of Financial Statements' figures and Percentage Tax Returns' figures