BIR hits pause button on tax probes as COVID-19 menace continues

The Bureau of Internal Revenue (BIR) paused its investigation of tax delinquents as Luzon and other parts of the country lock themselves down to stop the transmission of COVID-19.

In an order issued last March 27, BIR Chief Caesar R. Dulay suspended statute of limitations procedures in assessing and collecting taxes nationwide.

Dulay said he and other BIR officials were unable to prepare and serve assessment notices and warrants as COVID-19 wreaked havoc everywhere.

The suspended investigations will be from March 16, the day President Rodrigo Duterte declared a state of national emergency, until the lifting of Duterte’s order and 60 days after.

The pause covered issuance and serving of assessment notices, warrants and enforcement or collection of unpaid taxes, Dulay said.

The BIR earlier extended deadlines to file ITRs and other tax documents.

Finance Secretary Carlos G. Dominguez III, on Tuesday, appealed to taxpayers who are able to file and pay taxes to do so even in the middle of COVID-19 restrictions.

He said funds were needed for the government to continue social protection measures for those hit by COVID-19.

He said as COVID-19 froze trade and commerce, forgone revenue could reach P286.4 billion if GDP posted zero growth or P318 billion if GDP contracted by 1 percent.

Edited by TSB
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