BIR revises its collection goal to P2.271 trillion to include take from tax amnesty

Published May 3, 2019, 12:21 PM

by Francine Ciasico

By Jun Ramirez 

The Bureau of Internal Revenue (BIR) readjusted anew its collection goal for the year to P2.271 trillion to include the expected substantial take from the two amnesty programs.

Revenue Memorandum Order No. 18-2019 signed by BIR Commissioner Caesar R. Dulay added P21.2 billion and P6.2 billion to be generated from the tax amnesty on delinquent accounts and estate tax, respectively.

The minimum amnesty rate for delinquencies is 40 percent of the basic tax subject to final assessment without interest and penalty.

The rate goes up to 50 percent for cases pending before the court and 60 percent for tax evasion awaiting resolution by the Department of Justice, or the prosecutor’s office.

The rate of estate tax amnesty is six percent of the net worth of decedent’s assets at the time of death.

At the start of the year, the BIR prescribed how much each collection office should be raise based on the target assigned by fiscal authorities.

The BIR’s large taxpayers service (LTS) got the highest allocation of P1.4 trillion out of total goal of P2.271 trillion as it handles the audit of big businesses including multinationals and inter-related companies.

The balance of P729.7 billion is shared by the 19 regional offices and the districts under them.

Makati and Quezon City regional offices got the lion’s share with collection assignments of P225 billion and P169 billion, respectively.