Objective of the Regulations
- Official recognition for tax practitioners demonstrating competence and professionalism.
- Administrative mechanism to withdraw recognition from those found grossly incompetent or guilty of gross misconduct.
Purposes of the Regulations
- Creation of Revenue National Accreditation Board (RNAB) and Revenue Regional Accreditation Boards (RRAB).
- Definition of their functions and composition.
- Guidelines and procedures for accreditation and suspension of tax practitioners.
- Duties, restrictions, and norms of conduct for tax practice before BIR.
Creation and Composition of Accreditation Boards
- RNAB composed of one Deputy Commissioner as Chairman, one private sector representative chosen from industry organizations, and three senior internal revenue officials.
- RRAB composed of Regional Director as Chairman, one private sector representative chosen from local PICPA, and three senior regional internal revenue officials.
- Chairmen and members serve a maximum three-year term, with provisions for vacancy appointments.
Powers and Functions of the Accreditation Boards
- Act on applications for accreditation.
- Conduct accreditation, suspension, and dis-accreditation proceedings.
- RRAB decisions require affirmation by RNAB and/or Commissioner to become final.
Jurisdiction Over Tax Practitioners
- Includes those regularly preparing, certifying, filing tax returns, reports, petitions, protests, and representing taxpayers before BIR.
- Specific accreditation requirements for individual CPAs, CPA-lawyers, general professional partnerships, and incorporated accounting or tax consultancy entities.
- Exceptions for individual taxpayers representing themselves, members of the Philippine Bar (optionally accredited), and special limited representations such as employees or officers representing employers, government units, or family members.
Minimum Qualifications for Accreditation Applicants
- Individual Tax Agents (Non-Bar Members):
- Certified Public Accountant with valid license or possesses law degree or relevant business degree with significant accounting/taxation units.
- Good moral character certified by at least two disinterested CPAs or Bar members.
- No criminal conviction involving moral turpitude or tax offenses.
- Filipino citizenship.
- General Professional Partnerships:
- Partners and authorized representatives must meet individual qualifications.
- Partnership registered with Securities and Exchange Commission.
- Incorporated Entities:
- Registration with Securities and Exchange Commission.
- Applicant officers/representatives meet individual qualifications.
Accreditation Procedures
- Applications filed with RRAB of residence or principal business.
- Required documents include licenses, certificates of good moral character, educational credentials, certification on competence.
- Non-refundable processing fee of P500 per applicant.
Processing of Accreditation Applications
- RRAB verifies qualifications and completeness, stamps application "RECEIVED," evaluates within 30 days, and forwards recommendation to RNAB.
- RNAB approves or disapproves within 30 days; issues Certificate of Accreditation valid for 3 years.
- Identification cards issued to accredited practitioners.
- Appeals from disapproved applications go up to Secretary of Finance, with failure to act deemed approval.
- Partnership accreditation not affected by resignation/retirement/death of partners but must notify boards.
Norms of Conduct for Tax Practitioners
- Avoid representing conflicting interests without consent and full disclosure.
- Make full inquiry and ensure accurate facts and representations.
- Relate law factually and clarify assumptions.
- Fully address all material tax issues.
- Provide opinions consistent with valid laws or regulations.
- Inform clients about possible penalties for tax liabilities advised.
- Investigate and verify client information reasonably.
Suspension or Cancellation of Accreditation
- Grounds include conviction for crimes under NIRC, dishonesty, giving false information, tax evasion, misappropriation, bribery, disbarment/suspension from CPA or attorney practice, contemptuous conduct, and other unethical actions.
- Petitions for suspension/disaccreditation can be filed by taxpayers, professional organizations, internal revenue officers, or motu proprio actions.
- Administrative hearings required before suspension or cancellation.
- RRAB conducts hearings; RNAB makes final decisions; notices issued to parties.
- Appeals go to Commissioner, then Secretary of Finance, with specified timelines.
Effects of Accreditation
- Only accredited individuals/entities may represent taxpayers or transact on their behalf before BIR.
- BIR may refuse business with non-accredited practitioners.
- Accredited practitioners listed in a Master List maintained by RNAB.
Transitory Provisions
- Six-month transition period before accreditation is mandatory.
- Afterward, all tax documents filed on behalf of taxpayers must include accreditation details (TIN, accreditation number, issue and expiry dates).
Effectivity
- Regulations take effect 15 days after publication in a newspaper of general circulation.