RMO No. 28-2011: Prescribes the policies, guidelines and procedures in the distribution and use of “Lens Key” relative to the implementation of RR No. 7-2009 on the Electronic Documentary Stamp Tax (eDST) system

Summary

RMO No. 28-2011 prescribes the policies and procedures for distributing and using the Lens Key under RR No. 7-2009 on the Electronic Documentary Stamp Tax (eDST) system.

Key points

1. What the lens key does. Since January 1, 2010 the eDST system, which replaced the Documentary Stamp Electronic Imprinting Machine, generates a secured stamp with a three-layer water mark. Level I lens keys show the transaction number, Level II the tax due, and Level III the Taxpayer Identification Number.
2. Who may hold and use it. Lens keys are for authorized BIR officials and employees only, for official functions on the eDST system. They go to National, Regional and District Office personnel directly involved in eDST use or audit.
3. Loss, damage and replacement. An assignee who willfully or through neglect or unauthorized use causes damage, destruction or loss pays P600.00 per key, which is also Gross Neglect of Duty, a Grave Offense, and no key is reissued to that person. A key damaged by ordinary wear and tear within its normal life span of three (3) years is replaced at no cost, upon physical surrender to the General Services Division or through the Regional Administrative Division Chief.
4. Requests and distribution. The Collection Programs Division evaluates requests for additional keys, and no office may receive more keys than the Revenue Officers auditing or handling eDST transactions, including the head of office. An RDO with no eDST-enrolled taxpayers may get keys on written request with prior approval of the ACIR, Collection Service. The General Services Division handles physical distribution.
5. No direct purchase. No BIR official or employee may buy lens keys directly from the eDST service provider unless authorized. Violators face administrative sanctions, and so may a provider who allowed or abetted the purchase.
6. Turnover. On retirement, resignation, change of designation or transfer, the assignee surrenders the keys in good condition to the Chief, GSD, the Chief, Regional Administrative Division, or the RDO. Reassignments go through the GSD, and direct transfer of accountability between users is not allowed.

Who is affected

• BIR officials and employees assigned lens keys
• eDST System service provider

Deadlines and effectivity

• eDST system in place since January 1, 2010
• Normal life span of a lens key: three (3) years

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