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The 2014 priority projects of the BIR

BEING the primary revenue-collection arm of the government, the Bureau of Internal Revenue
(BIR) plays a vital role in the economic development of the country. This year the government is
in dire need of huge tax collections to fund the rehabilitation of the disaster-stricken areas,
particularly in the Eastern Visayas region. This is in addition to the massive infrastructuredevelopment projects that the government has envisioned to accomplish within the next few
years.
With the governments goal of funding these projects internally, the BIR has been tasked to
raise a revenue target of P1.456 trillion in a span of 12 months. In an effort to meet this
collection target, the BIR is expected to be more stringent in the implementation of our tax laws.
Perhaps, the BIR is expected to issue new rules in an intensified effort to collect what is due to
the government.
As a jumpstart, the BIR recently issued Revenue Memorandum Circular 4-2014 setting out the
bureaus 21 Agency Priority Programs for CY 2014. Majority of these programs are geared
toward the improvement of the electronic-filing and data-matching system of the BIR.
One significant development, which the bureau has set to implement is the so-called e-Linkage
System with the Bureau of the Treasury (BTr). Under this program, a system will be established
for the electronic exchange of information or data between the BIR and the BTr. This project
aims to ensure that all the data on tax payments are captured real time by the bureau and the
same are accurately remitted on time to the BTr and subsequently credited as collection
performance of the BIR.

Another significant development we expect to unfold within the year is the bureaus WorkflowManagement System, a Web-based system that manages the documents received by the BIR
from the taxpayers. Its main features include the scanning and barcoding of documents for
proper tracking and archiving. Included in the project is the establishment of e-lounges in the
district offices, which will be the site for centralized receiving of documents.
Also on the list is the Invigorated Run After Tax Evaders Program. This program seeks to
identify and prosecute high-profile tax evaders through investigation of large-scale violators of
the tax code. The bureau has been implementing this in the past years but with the inclusion of
this program as one of its priority programs for 2014, the bureau is expected to be more vigilant
this year.
The BIR, likewise, set out its intensified Oplan Kandado Program, aimed at strengthening the
bureaus imposition of prescribed administrative functions of suspending the business
operations and temporarily closing of business establishments for non-compliance of essential
requirements, such as the issuance of prescribed sales invoices and receipts, among other
things.
Anent the issues affecting cross-border transactions, the BIR is set to launch an Exchange of
Information (EOI) Program with another country. As described in the circular, the EOI is a
mechanism under income-tax treaties where a contracting state requests foreseeably relevant
information from another contracting state for the purpose of carrying out the provisions of a tax
treaty.
This year, the BIR will also launch programs called Strategic Performance Management System
(SPMS) and Career Pathing Program, both aimed at improving the entire work force of the
bureau. The SPMS seeks to link individual performance with the agencys organizational vision,
mission and strategic goals. The career-pathing program involves a series of job-person
matches that enable the person to grow into greater levels of responsibility, thus, providing the
bureau the required talent to meet its goals.
The other priority programs of the bureau include the Online System for Transfer Tax
Transactions, Electronic Certificate Authorizing Registration, Electronic Tax Information
Systems Project, Implementation of Internal Revenue Stamps Integrated System, Electronic
Official Registry Book, Automated Internal Revenue Allotment Computation, Automated
Issuance of Tax Clearance, Online Accreditation of Importers and Brokers, Online Accreditation
of Printers, Re-engineering of other Business Processes, Web-based Forfeited Asset
Management System, Electronic BIR Forms, and Automated Procurement, Payment, Inventory
and Distribution Monitoring System, all aimed at enhancing the electronic-filing and datamatching system of the BIR.
Knowing that all these programs will fail without cleaning up the bureau from the stains of
corruption, the bureau has also set an Integrity Management Program, which is an anticorruption measure aimed at installing a standard but a flexible approach in ensuring that
standard norms of conduct for public officials are consistently applied.

Our collective cooperation will certainly be of help in the fruition of this years goals of the
bureau and the entire country in general.
****
The author is a senior associate of Du-Baladad and Associates Law Offices (BDB Law), a
member firm of World Tax Services (WTS) Alliance.
The article is for general information only and is not intended, nor should be construed as a
substitute for tax, legal or financial advice on any specific matter. Applicability of this article to
any actual or particular tax or legal issue should be supported therefore by a professional study
or advice. If you have any comments or questions concerning the article, you may e-mail the
author at rodel.unciano@bdblaw.com.ph or call 403-2001 local 140.