BIR to launch new program to identify tax evaders

The Bureau of Internal Revenue (BIR) will launch early next month a new program that can identify tax evaders, BIR Commissioner Dakila Fonacier said yesterday.

Fonacier said the new program, called Oplan Taxpayer Profiling (OTP), will be able to identify non-registrants and facilitate automated data sharing between the BIR and other government agencies.

The BIR aims to expand its data-sharing network to include local government units (LGUs) and other government agencies within the coming months, Fonacier said.

Early next month, OTP will be launched in Makati. In early December, the program will be expanded to include the excise taxpayers and the large taxpayers departments.

Through data sharing, BIR will be able to improve its capability to identify individuals or organizations using multiple or invalid taxpayer identification numbers (TIN).

"The taxpayer profiling capability demonstrates the BIR’s commitment to move forward in its computerization and modernization efforts by pursuing the automation of functions to identify taxpayer non-compliance," he said.

According to the BIR chief, data from external sources may be used to provide a valuable basis for the determination of a taxpayer’s true liabilities.

"A profile of taxpayers can likewise be created to conduct a fair audit if deemed necessary," he said, adding that audit cases may also be created from donors and estate taxes.

OTP is one of several programs under the BIR’s integrated tax system (ITS), which is the backbone of its ongoing tax computerization program (TCP).

Aside from improving taxpayer compliance, the program will also improve taxpayer service, increase government revenue and improve the operational efficiency and transparency of the bureau.

To realize the full implementation of the TCP, the BIR has formed a strategic partnership with Andersen Consulting, a global management and consulting firm.

Fonacier said the Bureau of Customs (BOC) is the latest addition to the list of government agencies that have entered into a memorandum of agreement (MOA) with the BIR for the sharing of information.

He said an existing MOA with the Securities and Exchange Commission (SEC) is likewise in effect.

Makati regional director Lucien Sayumo said OTP will level the playing field in the business community.

"Bringing to surface underground and undeclared business transactions will be a positive development to those who comply with the provisions of the law. This will certainly promote fair and healthy competition within the business sector," Sayumo said.