Showing posts with label surchagre. Show all posts
Showing posts with label surchagre. Show all posts

Tuesday, November 22, 2016

Amending Certain Provision of RMO No. 19-2015 Pertaining to Audit Policies

Revenue Memorandum Order (RMO) No. 64-2016 was recently issued by the bureau  to amend the policies and procedures requiring the approval of the Commissioner of Internal Revenue before a taxpayer may be audited for the (3rd) time and the removal of the fifty (50%) surcharge.

AMENDMENT

For purposes of auditing a taxpayer for the three succeeding years, the policy stated in Sec. lll No.4 of RMO NO. 19-2015 is hereby amended to read as follows: 

"lf the taxpayer has been audited for the last two (2) years and has been selected for audit an the current or third (3rd ) year, the RDO/LTD/LTAD shall encode right away the requested audit of the subject taxpayer in eLAMS/ eTIS-CMS which shall be approved by the Regional Director/ Assistant Commissioner who heads the investigating office. The Selection Code shall depend on the reason why the taxpayer has been selected." 

"Then deficiency assessment on these cases shall only be imposed with twenty-five percent (25%) surcharge unless the under declaration of income or overstatement oi expenses/ deductions reaches 30% or more which shall be imposed with fifty percent (50%) surcharge."