BIR to prioritize investigation of businesses declaring low sales


The Bureau of Internal Revenue (BIR) said business taxpayers who underdeclared sales to reduce or pay no taxes will be given top priority in investigation.

Bureau of Internal Revenue

Revenue district officers (RDOs) in Metro Manila and other urban centers made the threat as they began holding dialogues with business operators and their representatives on their tax compliance.

They told the gathering that once BIR Commissioner Lilia Catris Guillermo lifts the ban on audit or issuance of letters of authority (LA) to investigate, taxpayers who reported low sales will be the first to be audited.

However, they said those who declared higher sales and paid the corresponding taxes will be considered filing "blue returns" and accorded last priority in audit.

RDOs have convened business establishment operators to tax symposia amid reports that many of them failed to meet their individual collection assignments for the first semester of the year.

One such invitation furnished by a tax seminar participant, signed by North Quezon City RDO Arnulfo A. Galapia, stated taxpayers should be more prompt and honest in paying taxes "as the bureau introduced electronic tools to make the obligation of paying taxes easier."

He said Covid-19 has turned business operations upside down, and it is the duty of every well-meaning citizens to help reverse the situation.

He said the bureau has lots of options to compel business operators to toe the line, like "Oplan Kandado," or closure of businesses underdeclaring sales by more than 30 percent and the Run-After-Tax-Evaders program for those deliberately cheating on their tax payments.

He added that President Ferdinand "Bongbong" Marcos Jr. has reported the serious economic conditions and everybody must do their share to help the country extricate from the economic quagmire.