BIR, multi-sectoral groups ink accord over tax admin, compliance

The Bureau of Internal Revenue (BIR) and multi-sectoral private organizations on Tuesday signed an agreement for the effective facilitation of consultations between the taxman and businesses.

ATM: Bureau of Internal Revenue to sign memorandum of agreement with multi-sectoral groups for more efficient tax collection and administration. pic.twitter.com/RSV63bCzWe

— Ted Cordero (@Ted_Cordero) August 8, 2023

Signatories to the MOA were the Philippine Chamber of Commerce and Industry (PCCI), Tax Management Association of the Philippines (TMAP), Management Association of the Philippines (MAP), Financial Executives Institute of the Philippines, Philippine Institute of Certified Public Accountants, Association of Certified Public Accountants in Public Practice, Association of Certified Public Accountants in Commerce and Industry, Philippine Exporters Confederation, and the Joint Foreign Chambers of the Philippines.

Under the agreement, multi-sectoral representatives will be integrated as part of a working group that would engage in a regular dialogue and consultations for drafting of BIR issuances to ensure compliance by taxpayers and enhance tax administration.

In an interview with reporters following the signing ceremony in Quezon City, BIR Commissioner Romeo Lumagui Jr. said that through the MOA, the BIR seeks “to get their comments, suggestions to improve our services.”

“One of the things we want to achieve is improved or excellent taxpayer service and this can be done through consultation with the private sector… since they are the ones who know what they need to ease how they transact with our agency,” Lumagui said.

The BIR chief added that business groups are also mandated to monitor their members concerning tax compliance.

“We expect that this will increase the chances of attaining our collection target,” Lumagui said.

This year, the BIR is targeting to collect P2.639 trillion.

For his part, PCCI president George Barcelon said the private sector is “very supportive” of the BIR initiative to allow them to participate in consultative processes in the formulation of regulations.

“The agreement covers having the private sector support… One way or another, we need to help the government collect more taxes,” Barcelon said.

Meanwhile, the BIR chief said that after the signing of the MOA, private sector groups will be submitting their position papers concerning their requests and needs as far as improving the taxman’s services are concerned.

“We are asking for their position papers on exports, VAT, zero rating issues. We want to know what assistance they will be needing. We will collate it and we will see what we can do,” Lumagui said. — RSJ, GMA Integrated News