REPESENTATIVES:

ROERERMER

DATE:

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session ' oe

H. B. No. 1905

SPARON UNIT
) INGEN SERVICE

Introduced by HONORABLE BELLAFLOR J. ANGARA-CASTILLO

EXPLANATORY NOTE

Time and again, the Bureau of Intemal Revenue (BIR) has been tasked to collect substantial
revenue targets. Despite great strides in collecting more, averaging 10-percent year-on-year
growth, the BIR has failed to meet its target in the last decade. Due to mounting pressure as
well as the desire to maintain, if not improve the economic strides the country is currently
enjoying, the BIR has put in place more stringent rules and regulation, and has been more strict
in enforcing tax laws. However, the fervent effort put in by the officers and employees of the BIR
has been overshadowed by allegations of corruption and dishonest practices in its ranks. The
desire to collect more has resulted to taxpayers being somehow harassed just to be able to
cough up the needed tax payment.

A former BIR Commissioner once said that Filipinos are, by nature, good people. Contrary to
public perception, Filipino taxpayers want to comply and pay their taxes. Filipinos want to heip in
rebuilding the country—to make it one of the great countries in Asia, We have made vast
improvements in the last few years—from the sick man of Asia, we are now tagged as Asia's
rising tiger. In 2014, Philippine GDP growth rate has surpassed that of Singapore, Malaysia,
Thailand, Vietnam and Indonesia, falling only behind superpower China.

Sustaining the gains of the government can not only be achieved through the strict enforcement
of laws. Tax compliance and collection would further improve if we can lessen the complexity
and intricacy of our tax code. Thus, to help taxpayers comply, we propose the establishment of
a permanent office within the BIR, composed of knowledgeable, competent and professional
employees, to answer taxpayer queries and to guide taxpayers on how to efficiently and
effectively deal with their tax-related problems and concerns. By instituting a Taxpayer
Assistance Service under the Office of the BIR Commissioner, it is our hope that taxpayers will
be provided free and accessible professional assistance. The taxpaying public need not suffer
long queues in BIR offices, wasting valuable time, just to be repeatedly told to come back due to
incomplete requirements. The Taxpayer Assistance Service would render the first layer of
professional tax services that every Filipino taxpayer needs and deserves.

In view of the foregoing, the passage of this bill is earnestly sought.

ap.
dled Mi nena

Representative
Lone District, Province of Aurora


EEC

SEVENTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES —)
FIRST REGULAR SESSION )

1905

H. B. No.

Introduced by HONORABLE BELLAFLOR J. ANGARA-CASTILLO

AN ACT
AMENDING SECTION 3 OF THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS
AMENDED, ESTABLISHING A TAXPAYER ASSISTANCE SERVICE IN THE BUREAU OF
INTERNAL REVENUE AND FOR OTHER PURPOSES

Be it enacted by the Senate and the House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Section 3 of the National Intemal Revenue Code of 1997, as amended is hereby
further amended to read as follows:

‘Section 3. Chief Officials of the Bureau of Intemal Revenue. — The Bureau of
Internal Revenue shall have a chief to be known as Commissioner of Internal
Revenue, hereinafter referred to as the Commissioner and four (4) assistant
chiefs to be known as Deputy Commissioner.

“TO ENSURE ADEQUATE FISCAL RESOURCES THRU PROPER
COMPLIANCE TO TAX LAWS AND RULES AND REGUALTIONS AND
FACILITATE SIMPLE AND STRAIGHTFORWARD TAX ADMINISTRATION, A
TAXPAYER ASSISTANCE SERVICE IS HEREBY ESTABLISHED UNDER THE
OFFICE OF THE COMMISSIONER. THE TAXPAYER ASSITANCE SERVICE
SHALL HAVE THE FOLLOWING FUNCTIONS:

"(A) ASSIST TAXPAYERS QUERIES AND CONCERNS RELATIVE TO
COMPLIANCE TO TAX LAWS AND RULES AND REGULATIONS;

“(B) ANSWER INQUIRIES RELATED TO PUBLIC ASSISTANCE
INCLUDING TAXPAYER REGISTRATION, TAX PAYMENTS AND
FILING OF TAX RETURNS;

"(C) RECEIVE AND/OR REFER TAXPAYER COMPLAINTS, QUERIES
AND CONCERNS TO OTHER OFFICES WITHIN THE BUREAU AND
MONITOR THE RESOLUTION OF THE SAME;

“(0) PREPARES LISTINGS AND STANDARD ANSWERS TO
FREQUENTLY ASKED QUESTIONS OF TAXPAYERS;

"(E) PREPARE, PUBLICIZE AND CIRCULATE POLICIES, PROGRAMS,
STANDARDS, GUIDELINES AND PROCEDURES RELATIVE TO
PUBLIC INFORMATION AND EDUCATION PROGRAMS ON
TAXATION;

"(F) PREPARES PRESCRIBED REPORTS FOR SUBMISSION TO OTHER
CONCERNED OFFICES; AND

"(G) PERFORM SUCH OTHER FUNCTIONS AS MAY BE ASSIGNED.”

SEC. 2. Implementing Rules and Regulations. Within thirty (60) days from the effectivity of
this law, the Secretary of Finance shall, upon the recommendation of the Commissioner of
Intemal Revenue, and in coordination and consultation with various stakeholders and taxpayer
groups, promulgate and publish the necessary rules and regulations for the effective
implementation of this Act


SEC. 3. Separability Clause. If any provision of this Act is subsequently declared as invalid or
unconstitutional, other provisions hereof which are not affected thereby shall remain in full force
and effect.

SEC. 4. Repealing Clause. All laws, decrees, orders, rules and regulations, and other
issuances, or parts thereof, inconsistent with the provisions of this Act are hereby repealed or

modified accordingly.

SEC. 5. Effectivity Clause. This Act shall take fifteen (15) days after its publication in the
Official Gazette or in a newspaper of general circulation

Approved.