TIN Requirement for Gov't Transactions EO 98

Section 1 directs government agencies and GOCCs/LGUs to incorporate the TIN in forms, permits, licenses, clearances, official papers, and documents they issue.
The TIN is anchored in Section 236(J) of the National Internal Revenue Code, which prescribes TIN for all taxpayers.
Section 6 empowers the Secretary of Finance, upon the recommendation of the Commissioner of Internal Revenue, to promulgate rules and regulations for effective implementation.
Section 6 also states that the absence of implementing regulations does not exempt any government agency from complying.

The Order requires TIN use to enable tracing of persons’ taxable transactions under a computerized system of tax administration.
The Order aims to enhance revenue collection to finance growing infrastructure requirements and support poverty alleviation projects.
The Order seeks to improve tax monitoring and increase compliance with tax laws through mandatory TIN inclusion in government applications.
The Order requires uniform observance by all government agencies to carry out its purposes.

Section 1 requires incorporation of the TIN as part of essential requirements in applications for government permits, licenses, clearances, official papers, and documents.
Section 3 recognizes a valid TIN card as sufficient for identification in all official dealings with the government.
Section 4 establishes that the TIN serves as the common secondary reference index among government agencies.
Section 4 further requires computerized agencies to encode the TIN in official records and transmit it electronically to revenue authorities as required by law or regulations.

Section 1 directs all government agencies and instrumentalities, including GOCCs, and all LGUs to incorporate the TIN in issued documents.
Section 1 applies to transactions with the public for persons transacting business with government, whether natural or juridical.
Section 2 requires procedures ensuring permits, licenses, and clearances are not issued to persons or entities without a duly issued TIN “whenever possible” and “where applicable.”
Section 2 requires procedures giving priority or preferential action to persons with a TIN or valid TIN cards in transactions with government offices.

Section 3 directs the Bureau of Internal Revenue (BIR) to assign a permanent TIN.
Section 3 requires the BIR to supply permanent TIN cards to all taxpayers within two (2) years from April 28, 1999.
For identification in official dealings, Section 3 provides that a valid TIN card produced by a person is sufficient.
Section 3 provides that, for purposes of this Executive Order, a person still without a TIN or TIN card may present an application for registration using BIR Form 1901/1902/1903 that is duly stamped by the BIR.

Section 4 requires the TIN to function as the common secondary reference index in official transactions with the public.
For computerized agencies, Section 4 requires the TIN to be part of data encoded in official records.
Section 4 requires computerized agencies to transmit the encoded TIN data electronically to revenue authorities as may be required by law or regulations.

Section 5 subjects failure to comply with the TIN requirements to appropriate sanctions under the National Internal Revenue Code and other pertinent laws and regulations.
Section 5 covers not only the person failing to comply, but also the parties involved in transactions where a TIN is prescribed.
Section 5 also covers the government functionary involved in monitoring or regulating these transactions.

Section 7 requires the Secretary of the Department of Budget and Management to give preferential budgetary support to the Bureau of Internal Revenue.
Section 7 ties the preferential budgetary support to enabling BIR to accomplish the objective of supplying permanent TIN cards to all taxpayers.
Section 6 authorizes rules and regulations for implementation through the Secretary of Finance and the Commissioner of Internal Revenue recommendation.
Section 6 ensures agencies remain bound by compliance even if implementing regulations have not been issued.