Close  

BIR plans to expand tax amnesty program

By: - Reporter / @bendeveraINQ
/ 01:13 AM August 02, 2016

The Bureau of Internal Revenue (BIR) plans to expand a form of tax amnesty being offered to delinquent taxpayers alongside other initiatives aimed at making it easier to pay taxes and hit the P2.026-trillion collections target for this year.

Finance Secretary Carlos G. Dominguez III, for his part, wants the BIR’s Large Taxpayers Service (LTS) reorganized to cover more personalities as well as firms.

ADVERTISEMENT

According to a presentation during the BIR’s 112th anniversary celebration Monday, the country’s biggest tax-collection agency responsible for three-fourths of government revenues is looking at expanding its compromise settlement program, but BIR officials did not elaborate.

In a meeting with the BIR last month, business groups pitched tax amnesty, as well as raised pending issues when dealing with the agency, including tax simplification, suspension of audit, simplification of requirements for clearances/permits, revenue regulations with impact on their businesses, renewal of registration for tax exemption, and policies on storage of documents.

FEATURED STORIES

In response, BIR Commissioner Caesar Dulay had told the Inquirer that “we will listen and study their proposals and, if necessary, sit down with their study group to ensure full discussion on the merits or demerits of their proposals.”

As for LTS, Dominguez said “the BIR can reorganize the large taxpayers unit responsible for the bulk of collections.”

“I cannot imagine that we only have 2,800 so-called  ‘large taxpayers.’ The numbers should at least be double that,” Dominguez said.

The BIR defines large taxpayers as corporations with authorized capitalization of at least P300 million registered with the Securities and Exchange Commission; multinational enterprises with authorized capitalization or assigned capital of at least P300 million; publicly listed corporations; universal, commercial and foreign banks; taxpayers with an authorized capitalization of at least P100 million belonging to the banking, insurance, petroleum, telecommunications, utilities, alcohol and tobacco industries; and corporate taxpayers engaged in production of metallic minerals.

This year, the LTS was tasked to collect P1.2 trillion, to account for 62 percent of the BIR’s tax take.

ADVERTISEMENT
Subscribe to Inquirer Business Newsletter
Read Next
EDITORS' PICK
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: BIR, Bureau of Internal Revenue, Business, economy, News, tax
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.