BIR issued Revenue Memorandum Order (RMO) No. 7-2016 to provide for the decentralization of the processing and issuance of certifications on internal revenue payments. The order was motivated by the increasing volume of applications for certifications, as well as inconvenience on the part of taxpayers who have to travel all the way to Quezon City to secure the certification. Further, focus on more immediate and core concerns can be expected when the pertinent offices are unburdened with the sole responsibility of processing said applications.
Such applications and processing shall now be done by concerned Revenue District Offices (RDOs) and Large Taxpayer (LT) Divisions. With the availability and accessibility of collection data in the BIR’s Integrated Tax System-Collections and Bank Reconciliation (ITS-CBR), it is now possible for RDOs to immediately obtain the data needed to issue the said certifications.
The following guidelines and policies, among others, were provided:
- The receiving and processing of applications for the issuance of the corresponding certifications on internal revenue tax payments shall be made by following revenue offices of this Bureau:
- In case of tax payments made through the RCOs for the periods 1990 and the years thereafter, the RDO shall prepare and submit a written request for a certification from its concerned RFD and the said certification shall be the basis in the processing of the application for certification applied for by taxpayer.
- The RAD, in the processing of applications and issuance of the corresponding certifications falling under the aforementioned jurisdiction, shall observe all the existing guidelines and policies relative thereto.
- In case of tax payments made through checks, further verification shall be made in the ITS-CBR and the Report of Returned/Dishonored Checks (BIR Form No. 12.58) to determine whether or not the check used as tax payment was subsequently dishonored by the drawee bank. If the check is dishonored and no redemption of such dishonored check is made by the concerned taxpayer, no certification shall be issued by the concerned revenue office. By way of reiteration of the requirements under existing revenue guidelines and procedures, if the unredeemed dishonored check by the taxpayer is not included in the outstanding inventory of accounts receivable/delinquent accounts (AR/DAs), the same shall be entered in the General Control Ledger (GCL) of the concerned revenue office.