EO on Gov't Data Sharing for BIR Tax Collection

The order recognizes that various information are required to be submitted to different government agencies and instrumentalities.
The order directs that relevant and pertinent information submitted to those agencies and instrumentalities can be effectively utilized by the BIR in tax law enforcement to maximize compliance and increase tax collections.
The order’s purpose is to ensure that the BIR receives necessary information to improve internal revenue tax collection efficiency and strengthen tax compliance evaluation under Section 3.

Section 1 requires the following agencies to provide specified data to the BIR on a regular basis, subject to implementation through implementing revenue regulations.
Section 2 requires local government units, government-owned and controlled corporations, and other agencies and instrumentalities of the government to comply without hesitation with BIR requests for information relevant to the BIR’s mission of effectively implementing revenue laws.
Section 1 covers:
- The Department of Trade and Industry;
- The Department of Transportation and Communications;
- The Central Bank of the Philippines;
- All departments, agencies and instrumentalities of the government, including government-owned and controlled corporations; and
- The Securities and Exchange Commission.
BIR is the recipient agency that receives and uses the required data.

Under Section 1, the Department of Trade and Industry must provide the BIR with production and sales of manufacturing companies per industry.
Under Section 1, the Department of Transportation and Communications must provide the BIR:
- Gross receipts of land, sea and air transport firms per company; and
- Revenues of telecommunications/telephone/telegraph/radio firms per company.
Under Section 1, the Central Bank of the Philippines must provide the BIR amounts of interest income and other income of banks and their branches per company, including royalties, profits from foreign exchange transactions, and rental of property.
Under Section 1, all departments, agencies and instrumentalities of the government, including government-owned and controlled corporations, must provide the BIR contracts entered into with private contractors.
Under Section 1, the Securities and Exchange Commission must provide the BIR names and addresses of all active registered corporations and partnership, together with their financial statements.
Under Section 1, the required data must be provided on a regular basis, as determined and carried out through the implementing revenue regulations.

Section 2 requires local government units, government-owned and controlled corporations, and other government agencies and instrumentalities to immediately comply with BIR requests.
The information requested by the BIR must be relevant to its mission of effectively implementing the revenue laws.
The compliance obligation in Section 2 is mandatory and phrased as without hesitation.

Section 3 provides that the BIR shall utilize the data provided to evaluate tax compliance.
Section 3 directs that the BIR must use the data to improve internal revenue tax collection efficiency.
Section 3 requires the Commissioner of Internal Revenue to submit a quarterly report to the Secretary of Finance, the President, and Congress.
The quarterly report must cover the results of the measures implemented under the Executive Order.

Section 4 requires the Secretary of the Budget and Management to give preferential budgetary support to:
- the tax administration function of the BIR; and
- all appropriate programs designed to improve the effectiveness of tax collection.

Section 5 requires the Department of Finance to enter into a Memorandum of Agreement with the appropriate agency or instrumentality of the National Government and local government units.
Section 5 requires the Memorandum of Agreement to formulate procedures designed to ensure full compliance by those concerned with the requirements of the Executive Order.
Section 6 requires the Department of Finance, upon the recommendation of the Commissioner of Internal Revenue, to promulgate the necessary revenue regulations to implement the Executive Order.
Section 6 requires that the implementing revenue regulations provide for a phased implementation of the Executive Order.

Section 7 states that Executive Order No. 53 takes effect immediately.
The Executive Order is signed and dated January 22, 1993 in Manila by Fidel V. Ramos with Antonio T. Carpio signing as Chief Presidential Legal Counsel.