Installation of Metering Machines for Documentary and Science Stamps in the Offices of the Register of Deeds of Provinces and Cities

January 28, 1972 REVENUE REGULATIONS NO. 01-72 SUBJECT : Installation of Metering Machines for Documentary and Science Stamps in the Offices of the Register of Deeds of Provinces and Cities TO : All Internal Revenue Officers and Others Concerned SECTION 1. Scope . Metering machines for documentary and science stamps shall be installed in the offices of the register of deeds of provinces and cities as may be designated by the Commissioner of Internal Revenue. These stamps metering machines shall be operated by authorized employees of the Bureau of Internal Revenue who are duly bonded and trained in the operation of such machines. SECTION 2. Goals . The goals desired to be attained with the installation of the metering machines for documentary and science stamps are: (1) to cut down the cost of printing conventional documentary and science stamps; (2) to minimize, if not totally eradicate, the use of fake stamps; and (3) to discourage the use of "washed" stamps. SECTION 3. Procedures . To control the operation of the metering machines, the method of accounting and remitting collections from documentary and science stamps shall be as follows: a. Designation of Operators of the Machines . The Revenue Regional Director concerned shall recommend to the Commissioner of Internal Revenue the revenue employee or employees who shall be designated and trained as regular and alternate tellers for each office where the metering machines shall be installed. The alternate teller shall act as teller or operator of the machines only when the regular teller is absent or incapacitated to perform the duties of a teller. b. Loading of the metering machines . A Committee shall be formed to be known as the "Loading Committee" in every area where the metering machines are established. The Committee members shall be as follows: The Chief, Administrative Branch shall be the chairman, with the Revenue District Officer or his Collection Coordinator as his representative, and the teller or his alternate teller. At the time of the loading of a metering machine, the city/provincial auditor or his authorized representative, shall be present, who shall be duly informed in advance and in writing of the time and place of loading. Such auditor, or his representative, shall keep a record of such load which shall be the basis of the audit of the accounts of the teller. The Loading Committee shall, from time to time, load the amount of documentary and science stamps to be printed by the machines, seal the machines with a "car sealer" after it has been loaded, record the amount loaded, and meter reading before and after loading the machines. The record of loading shall be made in four (4) copies. Each member of the Committee shall have his copy and the original shall be given to the city/provincial auditor or his authorized representatives. A sample form to record the load of the metering machines is attached as Annex "A". After the machine is loaded, a seal, consisting of wire and lead, shall be attached to the machines properly sealed with a "car sealer". The Chief, Administrative Branch shall be custodian of the "car sealer". c. The keys of the Metering Machines . Each metering machine has duplicate keys. One of the keys shall be kept in sealed envelope to be turned over, under receipt, to the Chief, Administrative Branch concerned, the other key shall be kept by the teller. In case the regular teller is sick or is absent, he shall cause the delivery of his key to this alternate so that the latter can take over the operation of the machines. The key kept by the Chief, Administrative Branch shall be used only after a written request filed with and approved by the Regional Director. d. Operation of the Metering Machines by the Teller (1) Each teller has two (2) machines, one for documentary stamps, and the other for science stamps. (2) The required stamps shall be printed on the documents presented to or filed with the Office where the metering machines are installed. (3) The payment for the documentary or science stamps shall be collected immediately prior to the printing of the documentary or science stamps to insure collection of the amount due. (4) In case of underprinting of the amount due for documentary or science stamps occasioned by error, the corresponding amount underprinted shall be printed again on the document in another space and in no case to overlap with the stamp already printed on said documents. In case of overprinting of the amount of documentary or science stamps, the amount over printed shall be certified, under oath, jointly by the teller, the bearer of the document, and by the personnel authorized by the office where the machines are installed as witnesses to the overprinting. This certificate shall state among other things, the amount overprinted on the document. The document where the overprinting was made must be described in the certificate. A sample of this form is also attached as Annex "B" for reference. The corresponding amount thereof shall be entered in the credit column of the cash book. (5) The seal of the metering machines shall not be broken by the teller except in the presence of the other members of the Loading Committee. e. Tender of Payments . Payments for documentary and science stamps printed on the document shall be made in cash. However, certified checks or cashiers' checks drawn in favor of the Commissioner of Internal Revenue may be accepted as payment for documentary and science stamps printed on the documents. The teller shall exercise care and prudence in ascertaining the authenticity of the check and the identity of the maker of the check. If necessary, the teller may require the drawer of the check to affix his thumb mark, his name and address, and his customary signature at the back of the check so that if the check is dishonored, the drawer of said check may be made to pay for the amount of the check. In no case, may a personal check be accepted for payment of documentary and science stamps nor shall the teller accept for encashment personal checks or treasury warrants. All sales during the day shall be entered in the particulars column of the official cash book (General Form No. 106). There shall be a separate cash book for sales of documentary and of science stamps. Entries in the cash books shall be made when loading the metering machines, when remittance of collections is made, or when error resulting in overprinting of documentary or of science stamps is committed, or when there is change in operators of the machines. Samples of the possible entries in the cash books are illustrated to guide the operator, see Annex "C". f. Safeguard against the use of fake prints of documentary and science stamps . Where the amounts printed as documentary and science stamps are less than P2.00, the initial of the teller shall be indicated in the stamps printed on the documents. Where the amounts printed as documentary and science stamps are P2.00 or more, the signature of the teller shall be indicated across the stamps printed on the document. g. Report of Collections . The teller shall make a daily remittance of the collections from documentary and science stamps under separate remittance advices, to the Treasury Field Cashier concerned, or to the Branch of the Philippine National Bank, pursuant to Revenue Memorandum Circular No. 38-70 which quoted and amplified the Treasury General Circular 3-65, as amended. A monthly report on BIR Form 12.31 and 12.01 shall be made by the regular teller, or by his alternate in case of his absence, at the end of each month. If in a month's report, the collections made is a combination of the collections made by the regular teller and his/her alternate, the collections made by each shall be identified properly only in the monthly report under BIR Form 12.31. h. Supervision and Control of Tellers or Operators of the Metering Machines . Tellers or operators of the metering machines shall be considered as a separate collection unit, and as such they shall be under the direct supervision and control of the Revenue District Officer concerned. The Revenue District Officer shall see to it that their employees deputized as such tellers or operators of the stamp metering machines comply with these regulations. SECTION 4. These Regulations shall take effect after publication in the Official Gazette. CESAR VIRATA Secretary of Finance Recommending Approval: MISAEL P. VERA Commissioner of Internal Revenue ANNEX A February 16, 1972 The Honorable The Secretary of Finance Finance Bldg., Manila Sir: I have the honor to forward herewith Revenue Regulations No. 1-72 , dated January 28, 1972, the subject matter of which is "Installation of metering machines for documentary and science stamps in the offices of the register of deeds of provinces and cities", for your approval. cdt Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue ANNEX B Bureau of Internal Revenue ___________________ DOCUMENTARY STAMPS METER READINGS Date __________ Readings before loading : Total (Ascending Balance) __ __ __ __ __ __ __ __ __ Credits (Descending Balance) __ __ __ __ __ __ __ __ __ Amount Loaded __ __ __ __ __ __ __ __ __ Reading after loading : Credits (New Balance) __ __ __ __ __ __ __ __ __ Totals (Cumulative Balance) __ __ __ __ __ __ __ __ __ ______________________ ____________________ Revenue District Officer or Regular Teller or his his representative Alternate Teller _______________________ Chief, Administrative Branch ANNEX C Bureau of Internal Revenue _____________________ CERTIFICATE OF OVERPRINTED STAMPS To Whom It May Concern: This is to certify under my official oath that on _____________, 19 ___ documentary/science stamp valued at P______ was printed on the ___________ (State nature of document) identified as Doc. No. _______, Page No. _______, Book No. _____, Series of 19____ of the Notarial Register of Mr. _________ which was executed on ________ 19 ___. That said stamp/s printed has exceeded that required by law by P ______. That only the sum of P ______ was received by the undersigned teller which was duly entered in the official cash book. This certificate is accomplished to establish for accounting purposes the fact of error in the printing of the stamp/s. Given at ________, ___________________________ on ________, 19_____. _______________ Teller Witnesses: ____________________________ Person presenting the document ____________________________ Another responsible person ANNEX D SAMPLE OF CASH BOOK ENTRIES Date Particulars Remittance Load Deposits Balance Advice No. (Dr.) (Cr.) 7-1-72 To record initial load P90,000.00 P P90,000.00 Remittance 1-73 20,000.00 70,000.00 7-2-72 2-73 30,000.00 40,000.00 7-3-72 Error (overprinting) 30.00 39,970.00 7-4-72 3-73 15,000.00 24,970.00 7-5-72 4-73 23,000.00 1,970.00 7-6-72 Load-reading: 91,970.00 90,000.00 91,970.00 NOTE: Credit appearing on the metering machine has a descending balance, whereas, Total has an ascending balance to show the cumulative amount printed until the maximum of P999,999.99 is reached. Republic of the Philippines Department of Finance Office of the Secretary Manila Re. Installation of metering machines for documentary and science stamps in the offices of the register of deeds of provinces and cities 1st Indorsement February 22, 1972 Respectfully returned to the Commissioner of Internal Revenue, Manila, the within Revenue Regulations No. 1-72 dated January 28, 1972, duly approved. CESAR VIRATA Secretary