PCCI backs BIR’s tax-mapping scheme

Throwing its full support to the government’s tax mapping program, the Philippine Chamber of Commerce and Industry has asked the Bureau of Internal Revenue to expand its campaign to the provinces to ensure that all business establishments and professionals are paying the right taxes.

PCCI executive director Florecita Flores said: "The BIR has asked us if we have any objections to the tax mapping drive, we said we have no objections. We are even urging the government to expand their campaign to the provinces."

"I think that this is good for the government. We just hope that this will not be a ningas-kugon. In fact, we think that the BIR has exceeded its revenue target for the first quarter," Flores said.

The BIR expects to raise P93 billion in revenues for the first quarter of the year through newly-implemented administrative reform measures.

The BIR launched its tax mapping program last month after receiving verified reports of widespread and massive violations by business establishments.

The program is part of the agency’s efforts to improve revenue collection, increase the taxpayer base, and enhance voluntary compliance of tax rules by corporations and individuals.

The BIR will go around specified revenue districts to check on all establishments doing business, including small and medium enterprises, and flea market operators. It will also go after professionals such as doctors and artists to check on the accuracy of the data reflected in their tax statements.

Business establishments found to have committed tax violations are subject to penalties in the first and second instances of the offense and will be closed down on the third offense.

Of the 1,132 establishments visited by the BIR in its ongoing tax mapping drive, majority were found to have violated tax rules.

Among the common violations are non-issuance of receipts, failure to display certificates of registration, and absence of business registration.

Other measures to be adopted by the BIR to improve its tax collections include more effective taxpayer compliance control systems, more effective detection and elimination of revenue leakages, and intensified enforcement and organizational adjustments.