QuestionsQuestions (EXECUTIVE ORDER NO. 937)
To establish a more effective system for collecting national internal revenue taxes by vesting in the Bureau of Internal Revenue (BIR) primary responsibility for enforcing the collection of such taxes through the banking system.
The Bureau of Internal Revenue (BIR).
The BIR must adopt rules and regulations to utilize the banking system in receiving and accounting for tax payments, including authorizing agent banks and monitoring collections/remittances.
EO 937 directs the BIR to set criteria for selection and authorization of Authorized Agent Banks, as part of the required rules and regulations to implement the banking tax collection system.
Terms and conditions must include: (a) procedures for timely collection and remittance; (b) penalties for violations without prejudice to civil/criminal sanctions; and (c) access to records related to tax collection activities.
Taxpayers file their tax returns with the Commissioner of Internal Revenue (CIR) or authorized deputies and pay the corresponding taxes due to an Authorized Agent Bank.
A Payment Order issued by the Commissioner of Internal Revenue or his authorized deputies.
The tax due, including any surcharge, compromise penalty, and/or interest, computed on the basis of a tax return filed or a duly signed document showing deficiency assessments or other internal revenue tax liabilities.
To issue official receipts on prescribed forms that are accountable forms.
Overpayments are determined and refunded by the Commissioner of Internal Revenue in accordance with existing regulations.
Authorized Agent Banks remit collections to the Central Bank of the Philippines, which remits the amounts to the Treasurer of the Philippines with advice to the Commissioner of Internal Revenue.
The BIR shall account for and monitor tax collections and remittances of Authorized Agent Banks.
Penalties for delayed remittances shall accrue to a fund for the use of the BIR in furtherance of its collection functions.
Whenever warranted, the BIR shall initiate the prosecution of any bank or its offices/employees found to have incurred civil and criminal liabilities in connection with tax collection activities.
They must promulgate rules and regulations needed to implement and effectively carry out EO 937.
Executive Order No. 206, Series of 1970.
Yes. Penalties to be imposed by banks are without prejudice to civil and criminal sanctions as provided by law, implying that administrative/contractual bank penalties do not bar separate civil or criminal liability.