BIR exceed tax collection in Jan-Oct by 12% to P1.6 billion

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Despite the impact to the economy of the coronavirus disease 2019 (Covid-19), the Bureau of Internal Revenue (BIR) was able to generate an overall revenue of P1.6 trillion in the first 10 months of the year, exceeding its tax goal of P 1.4 trillion for the period by P174 billion or 12.25 percent.

Based on the BIR’s comparative report of collections released last November 24, the Bureau has constantly exceeded its monthly tax target with an average monthly excess in collections for the first semester of 2020 of P 32.72 million or 0.02 percent.

As the third quarter of the year kicked in, the BIR registered much bigger monthly surplus of P42 billion or 35.85 percent more. This was followed by biggest monthly excess in collections of P 70 billion or 59.20 percent in August; P 23 billion or 20.05 percent in September; and P 38 billion or 33.68 percent in October.

“The good collection performance of the Bureau can be attributed mostly to vigorous tax enforcement activities; tax campaign/education activities; streamlined/simplified processes, guidelines and procedures; implementation of large scale policies;  and other developments in various aspects of tax administration,” the BIR said in a statement.

Said tax enforcement activities include the filing of tax cases under the Run After Tax Evaders (RATE) Program; closure under “Oplan Kandado” operations of business establishments; and tax assessment/audit activities that entailed issuance of various orders/notices to taxpayers. Through these enforcement activities various tax violations, such as under-declaration of taxable sales by more than 30 percent, non-registration of business, non-issuance of receipts, and non-compliance with other various tax laws and regulations, are uncovered.

From January to November 2020, the Bureau filed a total of one 125 tax cases before the Department of Justice (DOJ) with estimated total tax liabilities of P 4.95 billion.

Under the “Oplan Kandado” operations, on the other hand, P569.039 million total tax payments were collected through temporary closure of  189 establishments, and issuance of 981 various tax compliance orders/notices for the period January to October 2020.

BIR Commissioner Cesar Dulay said that through concerted efforts of all revenue offices nationwide, the bureau will continue with enhanced tax enforcement activities to ensure that tax violators will be caught and punished.

“May this discourage potential offenders from committing tax evasion in the future. It is also our hope to further raise the trust and confidence of the public in the tax system and so the level of voluntary tax compliance,” he said.

“We need all the support and cooperation from the taxpaying public. Please help us raise the much-needed revenues for the government especially these trying times. Don’t evade taxes, pay your taxes correctly,” he added. CURRENTPH

 


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