BIR tightens audit, probe of suspected tax cheats

The Bureau of Internal Revenue is now conducting surprise audits and investigations of alleged tax cheats, changing its tack so that noncompliant businesses will not be able to hide from authorities.

Revenue Memorandum Order No. 22-2018 issued by Internal Revenue Commissioner Caesar R. Dulay last month removed the previous requirement for the BIR’s tax mapping teams to issue reminder letters to business establishments being mapped under its tax compliance verification drive.

BIR Deputy Commissioner Arnel Guballa told the Inquirer that the issuance of reminder letters had removed the element of surprise, such that some companies shut down operations on the day their books were scheduled for inspection.

Since its implementation last month, Guballa said the BIR has been collecting more as they were able to uncover more taxpayers’ violations.

The country’s biggest revenue agency padlocks tax-deficient establishments under its “Oplan Kandado” program.

It also brings alleged tax evaders to court under its Run After Tax Evaders program.

The BIR is tasked to collect P2.074 trillion in taxes this year.

From January to April, the BIR’s tax take rose 17 percent year-on-year to P655.7 billion.