Restrictions on the Issuance of Revenue Official Receipts (BIR Form 25.24) by Collection Agents for Internal Revenue Taxes Payable through Authorized Commercial Banks

December 5, 1974 REVENUE MEMORANDUM ORDER NO. 57-74 SUBJECT : Restrictions on the Issuance of Revenue Official Receipts (BIR Form 25.24) by Collection Agents for Internal Revenue Taxes Payable through Authorized Commercial Banks TO : All Internal Revenue Officers and Others Concerned It has been observed that many Collection Agents in areas where payment through bank is the established procedure for collection of certain internal revenue taxes, are indiscriminately issuing revenue official receipts (BIR Form 25.24) for these taxes, in violation of existing instructions on the matter. Such a practice defeats the purpose for which the procedure of payment through banks was instituted under Executive Order No. 206 as implemented by Department Order No. 21-70 and Revenue Memorandum Order No. 52-70. Henceforth, issuance of revenue official receipts for internal revenue taxes payable through authorized agent banks shall be subject to the restrictions provided in this revenue memorandum order. I. To preclude erroneous implementation of this revenue memorandum order, the taxes payable under and the areas covered by this procedure are enumerated hereunder: A. Taxes paid through banks The following are the internal revenue taxes payable through authorized commercial banks: 1. Income taxes including withholding taxes on wages; 2. Estate & Inheritance and Donor's and Donee's taxes; 3. Percentage taxes prescribed in Title V of the NIRC; 4. Taxes on banks, and finance companies, taxes on insurance companies, franchise taxes and taxes on amusement; 5. Specific taxes; 6. Mining taxes; 7. Charges on forest products; and 8. Sugar Adjustment Tax. B. Areas covered by the procedure The following cities and municipalities are covered by this procedure: REGION CITIES/MUNICIPALITIES 1 Baguio City San Fernando, La Union 2 Aparri, Cagayan 3 Dagupan City Tarlac, Tarlac, Paniqui, Tarlac 4 Olongapo City Limay, Bataan Angeles City San Fernando, Pampanga 5 Baliwag, Bulacan Meycauayan, Bulacan Valenzuela, Bulacan 6 Quezon City Makati, Rizal Caloocan City Navotas, Rizal Pasay City Malabon, Rizal Mandaluyong, Rizal Marikina, Rizal Paraaque, Rizal Pasig, Rizal San Juan, Rizal Taguig, Rizal Las Pias, Rizal 7 North Manila 8 South Manila 9 Batangas City Calamba, Laguna San Pablo City Tanauan, Batangas 10 Lucena City 11 Naga City Jose Panganiban, Camarines Norte 12 Ormoc City Tacloban City 13 Cebu City Mandawe City Toledo City Lapu-lapu City 14 Bacolod City Binalbagan, Negros Dumaguete City Occidental Cadiz City Victorias, Negros Occ. Silay City San Carlos City Neg. Occ. 15 Roxas City Iloilo City 16 Butuan City Bislig, Surigao del Sur 17 Cagayan de Oro City Iligan City 18 Davao City 19 Cotabato City Palomaloc, Cotabato Gen. Santos City 20 Zamboanga City Basilan City II. Days authorized agent banks accept internal revenue tax payments even after banking hours. At present, regular banking hours in the Greater Manila Area extend even up to six o'clock in the evening. On the following days of the month, which are the last days for the payment of the taxes indicated opposite each day, arrangements can be and has been made with the Central bank for authorized agent banks to accept internal revenue tax payments even after regular banking hours: 1. 10th of every month for payment of withholding taxes on wages by withholding employers where the taxes withheld for the preceding month exceed P200.00. 2. 20th day of January, April, July and October for payment of quarterly percentage taxes, under Title V of the Code, amusement taxes, franchise taxes, premium taxes, bank taxes, and taxes on finance companies. 3. 25th day of January, April, July and October for payment of withholding taxes on wages and withholding tax at source for the preceding quarter. 4. 15th day of March for payment of income taxes due from taxpayers with fixed and determinable income. 5. 15th day of April for payment of income tax due from taxpayers whose returns are due on this day. 6. 15th day of July for payment of the second installment on income tax due from individual taxpayers who exercised the option to pay in installments. If any of the above days fall on Saturdays, Sundays or holidays, the last day for payment is the next business day. III. Conditions under which revenue official receipts (BIR Form 25 . 24) may be issued for internal revenue taxes payable through banks . A. In places where internal revenue taxes, except the privilege tax and documentary taxes, are payable through authorized agent banks, collection agents may accept tax payments and issue therefore the revenue official receipt (BIR Form 25.24) on the last day: 1. For the payment of any internal revenue tax after banking hours and no authorized agent bank is open to receive such payment. 2. For the payment of the internal revenue tax for which an assessment notice or letter of demand was issued. In both of the above situations, the Collection Agent should receive these tax payments only upon presentation of an Authority to Accept Payment duly signed by the Revenue District Officer in places where the Revenue District Office is not housed in the same building as the Regional Office; if the Regional Office and the Revenue District Office are housed in the same building, as in Cebu City, the Authority to Accept Payment should be signed by the Assistant Regional Director, or in his absence, by the Chief, Assessment Branch. In Revenue District Office No. 26 of Revenue Region No. 6, Revenue District Offices Nos. 33, 34 and 35 of Revenue Region No. 7, and Revenue District Office No. 36 of Revenue Region No. 8, the Authority to Accept Payment shall be signed by the Assistant Regional Director, or in his absence by the Chief, Assessment Branch. B. Where a taxpayer comes to the office after banking hours on any ordinary working day to pay a tax which would not render him delinquent after that particular day, then only a tax payment acceptance order (TPAO) may be issued to the taxpayer in favor of any bank of his choice on or before the due date for the payment of the tax. cdt C. On days when payment of the internal revenue taxes due is unusually heavy and the authorized agent banks cannot cope with the acceptance of such payments, as in the first two weeks of March and April when the last day for the filing of income tax returns and payment of the taxes thereon fall due, the Regional Director may authorize qualified personnel to accept tax payments for which revenue official receipts may be issued. However, within the Greater Manila Area, in Revenue Regions Nos. 6, 7 and 8, such acceptance of payments for which revenue official receipts are issued by qualified revenue personnel shall be authorized by the Commissioner of Internal Revenue. IV. Effectivity: The provisions of this Revenue Memorandum Order are effective immediately and all those concerned are hereby enjoined to follow strictly the provisions thereof. MISAEL P. VERA Commissioner of Internal Revenue TAN-1601-593-5