Question & AnswerQ&A (BIR REVENUE MEMORANDUM ORDER NO. 10-2013)
The Commissioner of Internal Revenue has the authority to obtain information, summon and examine persons, and take testimony to ascertain the correctness of any tax return, determine tax liability, collect such liability, or evaluate tax compliance.
BIR Form No. 0713 shall be used for the issuance of SDTs.
The revenue officer shall request the issuance of an SDT through a Memorandum Report specifying the missing documents or records and the taxpayer or third party concerned.
The Assistant Commissioner of the Enforcement and Advocacy Service for the National Office, Assistant Commissioner of the Large Taxpayers Service for taxpayer jurisdictions in Large Taxpayer Service, Revenue Regional Directors through their Legal Divisions, or other officers duly delegated by the Commissioner.
The time shall be during regular business hours (8:00 AM to 5:00 PM on weekdays, excluding holidays), and the venue shall be the BIR office of the signatory of the SDT.
Substituted service may be done by leaving the SDT with the party's clerk or responsible person at the registered or known address or with a person of legal age residing there. If no one is found, the SDT shall be left with a barangay official in the presence of two disinterested witnesses. Service may also be done by registered mail or reputable courier service.
The server must complete the bottom portion of the SDT, make a written report under oath before a Notary Public or authorized person stating manner, place, and date of service, and attach supporting proof such as registry receipts or courier official receipts to the case docket.
Failure to comply may result in administrative liability, and criminal prosecution may be initiated under Section 266 of the NIRC (Failure to Obey Summons). Payment of administrative penalties does not excuse compliance.
The assigned action lawyer shall prepare and file a Letter-Complaint to the Office of the Prosecutor within seven (7) working days from the conference scheduled after non-compliance, recommending prosecution of the responsible individual or officers.
Sanctions under Section 256 of the NIRC (Penal Liabilities of Corporations) apply, and responsible officers or partners may be criminally liable.
No, once the Complaint-Affidavit has been filed, no prosecuting officer of the Bureau shall cause the withdrawal or dismissal of the case, notwithstanding subsequent documents submission.
They must be present to verify that the submitted books of accounts and accounting records are substantially complete as required by the SDT.
The serial number is formatted as Office Code - Year of Issuance - Series Number (starting from 01) and is assigned by the Prosecution Division at the National Office, Legal Divisions in Regional Offices, or officers delegated by the Commissioner.