Question & AnswerQ&A (BIR REVENUE MEMORANDUM ORDER NO. 12-2009)
The main purpose is to strengthen enforcement against non-compliant taxpayers by strictly implementing penalties for failure to submit the Summary Lists of Sales and Purchases and to increase voluntary compliance and revenue collection.
It is mandated under Revenue Regulations No. 8-2002 and incorporated in RR No. 16-2005, as amended.
A compromise penalty of Ten Thousand pesos (P10,000) for each non-submission is imposed upon submission after Subpoena Duces Tecum is issued.
Failure to comply is tantamount to failure to supply correct and accurate information under Section 255 of the National Internal Revenue Code and may lead to administrative and criminal penalties including fines and imprisonment.
Upon conviction, a fine of not less than Ten Thousand pesos (P10,000) and imprisonment of one (1) to ten (10) years may be imposed.
They can be held criminally liable in accordance with Section 256 of the Tax Code alongside the corporation.
A fine ranging from Fifty Thousand pesos (P50,000) to One Hundred Thousand pesos (P100,000) upon conviction for each act or omission.
Any person who attempts to make it appear that a return or statement was filed, or files and subsequently withdraws it after obtaining official receipt, shall be punished with a fine between Ten Thousand pesos (P10,000) and Twenty Thousand pesos (P20,000) and imprisonment from one to three years.
It is a subpoena issued by the Bureau mandating the immediate submission of the required Summary Lists of Sales or Purchases.
It covers all registered VAT taxpayers who are required to submit the prescribed Summary Lists but fail to do so or submit erroneous, incomplete, or falsified information.