Title
Restructuring the Bureau of Internal Revenue
Law
Executive Order No. 114
Decision Date
Jul 29, 2002
Gloria Macapagal-Arroyo's Executive Order No. 114 restructures the Bureau of Internal Revenue to enhance its tax administration and enforcement capabilities, creating a more efficient, taxpayer-focused organization.
A

Organizational Structure of the Bureau of Internal Revenue

  • The Office of the Commissioner supervises key services headed by Assistant Commissioners:

    • Internal Audit Service with four divisions: Information Systems Audit, Fiscal Audit, Performance Audit, Personnel Investigation.
    • Corporate Planning and Development Service with three divisions: Strategic Management, Economic Research and Revenue Forecasting, Business Intelligence.
    • Corporate Communications Service with three divisions: Employee Communications, Public Affairs, Taxpayer Communications.
    • Finance Service with three divisions: Budget, Disbursement Accounting, Revenue Accounting.
  • Legal Affairs Group supervised by Deputy Commissioner includes:

    • Legal Service with divisions: Law, International Tax Affairs, Appellate.
    • Litigation and Prosecution Service with divisions: Litigation, Prosecution.
    • Legislative and Research Service.
  • Information Systems Group supervised by Deputy Commissioner includes:

    • Information Systems Operations Service with four divisions: Systems Operations, Systems Support, Security Management, Systems Standards and Technology Management.
    • Information Systems Project Management Service.
    • Revenue Data Centers (RDCs) led by Revenue Data Center Heads with two divisions: Computer Operations, Network and Engineering; Facilities Management.
  • Human Resource and Administrative Group supervised by Deputy Commissioner includes:

    • Human Resource Development Service with four divisions: Recruitment, Selection and Placement; Compensation, Benefits and Welfare; Training and Development; Career and Performance Management.
    • Administrative Service with three divisions: Procurement, Accountable Forms, Properties and Records Management.
  • Operations Group supervised by Deputy Commissioner comprises:

    • Large Taxpayers Service with divisions: Banks, Insurance and Service Sectors; Manufacturing, Industry and Agricultural Sectors; supervises Large Taxpayers District Offices.
    • Excise Taxpayers Service with five divisions including Alcohol, Tobacco, Petroleum sectors; supervises Large and Non-Large Excise Taxpayers District Offices.
    • Non-Large Taxpayers Service with divisions covering Banks, Insurance, Manufacturing, and Emerging Industries.
    • Individual Taxpayers Service with divisions: Compensation Earners, Mixed Income Earners, Professionals, Self-Employed, Estates and Trusts.
    • Government and Tax-Exempt Entities Service with divisions: Government Agencies, Tax-Exempt Entities, Special Taxpayers.
    • National Investigation Service.
    • Regional Offices under Deputy Commissioner for Operations headed by Regional Directors; manage divisions including Assessment, Legal, Human Resource, Administrative, Finance and Collection Monitoring, and Revenue District Offices.

Appointment of Officials

  • Deputy Commissioners, Assistant Commissioners, Regional Directors, Revenue Data Center Heads, and other Director positions appointed by the President.
  • Appointment based on recommendation of the Commissioner of Internal Revenue and approval by Secretary of Finance.
  • Authority derives from Section 47, Chapter 10, Book IV of the Administrative Code of 1987.

Redeployment of Personnel

  • Redeployment follows the structural realignment without reducing rank or salary.
  • Compliance with Civil Service laws and rules is mandatory.
  • Staffing pattern changes to be submitted by Commissioner for evaluation and approval by Department of Budget and Management.

Funding

  • Financial resources come from existing funds available in the BIR.
  • Total cost of approved staffing pattern shall not exceed budget for Personal Services.

Implementing Authority

  • Commissioner, with approval from Secretary of Finance, can determine the number and configuration of RDCs, Regional Offices, and Revenue District Offices.
  • Commissioner authorized to further organize divisions under authorized Services and Offices, subject to Department of Budget and Management's approval.

Assignment of Internal Revenue Officers and Employees to Other Duties

  • Commissioner may assign or reassign personnel to special or other duties related to enforcement or revenue administration.
  • Such assignment should not change rank and salary and must comply with civil service and finance rules.

Issuance of Implementing Rules and Regulations

  • Commissioner, with Secretary of Finance approval, to issue necessary rules and issuances to enforce and ensure effective implementation of the Executive Order.

Effectivity

  • The Executive Order takes effect immediately upon signing.

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