MANILA, Philippines – Officials and employees of the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) may now keep millions of pesos they have rewarded to themselves for exceeding target revenue collections without being questioned for impropriety.
The Supreme Court has affirmed the constitutionality of Republic Act 9335, the Attrition Act of 2005, which provides for a system of rewards and incentives for BIR and BOC officials and employees who exceed their collection targets for a given year.
The law also penalizes with immediate separation from government service BIR and BOC officials and employees that fail to meet their collection targets or quotas.
However, the SC in the 41-page unanimous decision voided as unconstitutional Section 12 of RA 9335 which allows the creation of a congressional oversight body to approve its implementing rules and regulations.
Any provision that empowers Congress to play a role in the enforcement of the law violates the principle of separation of powers, the SC added.
The SC said Congress has arrogated judicial power unto itself by exercising discretion to determine whether the IRR formulated by the executive department conform to the provisions of the law.
“Following this rationale, Section 12 of RA 9335 should be struck down as unconstitutional,” the SC said.
The SC also dismissed the petition of Abakada Guro party-list seeking to void RA 9335 on grounds that it “transforms officials and employees of BIR and BOC into mercenaries and bounty hunters” as the incentives invite corruption and undermine their duty to serve with integrity, loyalty and efficiency to the republic.
“A law enacted by Congress enjoys the strong presumption of constitutionality,” the SC said.
“To justify its nullification, there must be a clear and unequivocal breach of the Constitution, not a doubtful and equivocal one.”
The SC said a system of incentives for exceeding the set expectations of a public office is not in contrast to the concept of public accountability. Rather it recognizes and reinforces dedication to duty, industry, efficacy and loyalty to public service of deserving government personnel, the SC added.
The decision was written by Associate Justice Renato Corona. — Mike Frialde