SEC 6A & SEC 10c as the BIR AUDIT PROGRAM, Illegal & Irregular
Channel: TaxSpecialista
Date: 2018-03-14

Because there are a lot of BIR Revenue Officers, a Letter of Authority (LOA) is normally issued to authorize specific Revenue Officer/s (RO) of a Tax Assessment Group headed by a Group Supervisor (GS) to conduct the tax examination.In one of its recent decisions, the Supreme Court (SC) held that the absence of a Letter of Authority (LOA), makes the assessment unauthorized and thus, void. ... According to the court, the BIR's failure to issue an LOA constituted a violation of due process and was considered fatal to the tax audit. For instance, a report on the results of a tax investigation must be submitted not later than 180 days (for non-Large Taxpayers) or 240 days (for Large Taxpayers) from the issuance of the Letter of Authority. With these new rules and the BIR's increasing revenue targets, one could expect a BIR audit sooner ...Here are the 5 big lies about the BIR audit that you must know. 1. Audit begins upon receipt of first notice with submission of all documentary requirements as provided in a checklist. When does audit begin? The audit process begins with the issuance and receipt of an electronic Letter of Authority (eLA or ...Here cometh the taxman. With the reported revenue collection falling below target and with the lifting of the suspension on tax audits, the Bureau of Internal Revenue (BIR) is expected to step up its investigations and assessments on taxpayers. It is, thus, important for taxpayers to ensure that the audit or ...Even before the BIR issues the PAN, or better yet, even before the taxpayer receives a Letter of Authority for a BIR audit, the taxpayer will do well to review his records to ensure that the declarations in his tax returns are reconciled with those disclosed in his financial statements. The taxpayer should also ...On an administrative level, the basic standard operating procedure is for the BIR to issue a Letter of Authority to the taxpayer with the appointment of revenue officers who will conduct the audit and examination. The taxpayer is requested to submit documents which the revenue officers would need to conduct investigation.Letter of Authority (LA). This is the usual letter given to start BIR audit. The Letter of Authority is an official document that authorizes BIR personnel to examine a Taxpayer's book of accounts and other records in order to know the Taxpayer's correct tax liabilities. • Memorandum of Assignment. It is either the assignment of your ...Under Revenue Memorandum Order (RMO) No. 43-90, all audits/investigations should be conducted under a Letter of Authority (LOA). In relation to this, Revenue Audit Memorandum Order (RAMO) No. 01-00 requires that the LOA be served or presented to the taxpayer within 30 days from its date of issue.As a former BIR examiner, I know exactly what happens the moment a Letter of Authority (LOA) is served to a taxpayer. It's either they “cooperate” or they get a huge assessment. However, the moment you start “cooperating” they keep coming back not just with higher assessment but higher bribe money ...I have been in the Bureau of Internal Revenue (BIR) for more than two years already as an Examiner. It may be a short period of work experience but to me, it's long enough to be able to grasp the business in doing tax investigation or audit. If you have received a Letter of Authority, this article will help you ... As a result, more taxpayers are receiving Letters of Authority and being subjected to various forms of BIR examination. ... one was in the given address, the BIR left the other copy of the letter notice in the mail box and served the other copy through registered mail which was evidenced by a registry receipt.thousand pesos (PHP 10,000.00) as penalty for the delayed compliance and violations of pertinent revenue regulations and upon submission of the requested information. (Revenue Memorandum Order No. 45-2010, May 12,. 2010). BIR ISSUANCES. Letter of Authority. 10 calendar days. First Notice. 10 calendar days.