RMO No. 27-2024: Providing guidelines, policies and procedures in the processing of claims for credit/refund of taxes erroneously or illegally received or collected or penalties imposed without authority pursuant to Section 204(C), in relation to Section 229 of the National Internal Revenue Code of 1997, as Amended (Tax Code), except those under the authority and jurisdiction of the Legal Group

Key points

1. Essential requisites. The claim must pertain to erroneously or illegally collected taxes or penalties imposed without authority. It must be filed within two (2) years after payment. It must be supported by a copy of the duly filed return with the corresponding payment remitted to the Bureau.
2. Receiving offices. The RDO, LTAD or LTDO receives BIR Form No. 1914. The Revenue Officer designated as RO of the Day receives claims and checks that the documents are complete. Only applications with the full Checklist of Mandatory Requirements are processed.
3. Late claims. If a claim is filed beyond the 2-year period under Section 204(C), the processing office recommends outright denial.
4. Outstanding liabilities and stop-filer cases. If the claimant has final and executory tax liabilities, shown by a Certification valid for six (6) months, the Collection offices are notified so the approved credit/refund may be used or garnished to collect them. Stop-filer cases must not delay processing but are resolved separately under RMO Nos. 41-2011 and 28-2012.
5. Results and remedies. Approval or denial is communicated in a signed notice, and a denial states its legal or factual basis. The claimant may appeal a full or partial denial to the CTA within thirty (30) days from receipt. If no decision comes within 180 days, the claimant may appeal to the CTA within 30 days after the period or wait for the final decision, and a judicial appeal makes the administrative claim moot.

Who is affected

• Claimants of erroneously or illegally collected taxes or penalties imposed without authority
• Processing offices: RDO, LTAD, LTDO

Deadlines and effectivity

• Filing within two (2) years after payment
• Appeal to CTA within thirty (30) days from receipt of denial
• 180-day processing period