Summary
RMO No. 32-2018 prescribes the policies and guidelines for audit of individual and non-individual taxpayers by Revenue Officers of the Office Audit Section in the Regional Assessment Divisions.
Key points
- Coverage by region and sales. eLAs cover taxable year 2017 returns with gross sales or receipts of ₱10,000,000.00 and below in Revenue Regions 5, 6, 7 and 8, ₱5,000,000.00 and below in Regions 1, 4, 9A, 9B, 11, 12, 13, 16 and 19, and ₱2,000,000.00 and below in Regions 2, 3, 10, 14, 15, 17 and 18.
- One eLA per year. One eLA covers all internal revenue tax liabilities for each taxable year. If a tax type was already examined, such as VAT, the eLA states All internal revenue tax liabilities, except VAT. Claims for tax refund or TCC are not covered.
- Workload and report. Each Revenue Officer handles no more than fifteen (15) cases at one time. The report of investigation goes to the Review and Evaluation Section within ninety (90) days from issuance of the eLA.
- Delivery of the eLA. The eLA and the Notice for Presentation/Submission of Documents/Records, with a checklist, may be delivered personally by an authorized BIR employee or by courier.
- Taxpayer deadlines. The taxpayer has ten (10) days from receipt of the Notice to submit documents. A Reminder Letter follows if there is no compliance, and if documents are not submitted within five (5) days from receipt, a memorandum report recommends a Subpoena Duces Tecum. No further extension is allowed.
Who is affected
- Individual and non-individual taxpayers with taxable year 2017 returns within the gross sales or receipts limits
- Revenue Officers of the Regional Offices’ Office Audit Section
Deadlines and effectivity
- Report of investigation within ninety (90) days from issuance of the eLA
- Ten (10) days from receipt of Notice to submit documents
- Five (5) days from receipt of Reminder Letter
Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.
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