RMC No. 59-2011: Clarifies the crediting of tax collections thru Special Allotment Release Orders, Tax Subsidy Availment Certificates and Tax Subsidy Debit Memos

Summary

RMC No. 59-2011 clarifies how tax collections through Special Allotment Release Orders (SAROs), Tax Subsidy Availment Certificates (TSACs) and Tax Subsidy Debit Memos (TSDMs) are credited, to avoid two or more RDOs claiming the same collections.

Key points

1. SARO collections. Collections through SAROs are credited to the RDO with jurisdiction over the principal place of business of the tax subsidy beneficiary. They are recognized in the month the Bureau of the Treasury takes them up in its books, and only SAROs issued by the DBM are an acceptable basis.
2. CES not a basis. The Certificate of Entitlement to Subsidy or similar document issued by FIRB before the SARO is not a basis for recognizing RDO collection performance.
3. TSAC and TSDM collections. These are not claimed as collection performance of RDOs over the manufacturers, producers, suppliers, contractors and consultants of the beneficiaries. They are reported as tax collections through TSACs and TSDMs in the 12.09 reports, in the non-cash collection column.
4. Adjustments and amended reports. Out-of-period SARO collections are adjusted to the month taken up by the BTr, and collections claimed on CES alone are deducted. RDOs that claimed such collections submit amended 12.09 reports for January to October 2011 to the Statistics Division not later than December 28, 2011.

Who is affected

• Revenue District Offices
• Statistics Division and Revenue Accounting Division

Deadlines and effectivity

• Amended 12.09 reports for January to October 2011: not later than December 28, 2011

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.