BIR 13 optimistic to hit collection goal this year

The Bureau of Internal Revenue in Cebu (BIR-13) remains optimistic to hit its collection goal for this year despite falling short of its first half target.

In a phone interview with The FREEMAN, BIR-13 regional director Eduardo Pagulayan Jr. said that first semester collection was "7.65 percent under goal."

Official data obtained by The FREEMAN showed BIR-13, which collects taxes in Cebu and Bohol, ended the first six months of 2018 with P13.63 billion taxes raked in, falling short

While it failed to hit its P14.76-billion tax goal for first half, the collection is up 3.96% from the P13.11 billion collection in the same period last year.

Pagulayan urged businesses to pay the correct taxes to help the bureau hit its target.

BIR-13 is set to collect P31.3 billion this year.

Based on official data, BIR13 is set to collect this year P18.3 billion in personal income taxes; P9.4 billion in value-added tax (VAT); P11.6 million in excise taxes; P1.2 billion in percentage taxes; P2.5 billion in other taxes.

In 2017, BIR-13 collected P27.59 billion, 6.11 percent short of its P29.38 billion.

"We will boost our enforcement activities," he noted.

"So we urge our noncompliant taxpayers in Central Visayas to reform. Comply with your tax obligations, register your businesses, file appropriate tax returns, pay the correct amount of taxes, and report accurate financial information, otherwise, BIR will close your businesses and you will not be able to continue operating them," the tax official said.

Under the BIR’s Oplan Kandado Program, a business may be suspended or temporarily closed due to noncompliance with essential value-added tax (VAT) requirements, such as the issuance of receipts, filing of returns, declaration of taxable transactions, taxpayer registration and payment of the correct amount of taxes.

Pagulayan also warned taxpayers not to use unregistered cash register machines and pointof-sale machines.

“One of the primary programs of the BIR is monitoring of cash register machines and point-of-sale systems. This is very important to the BIR because this is one of the ways to ensure that the sales of businesses are properly reported and subjected to tax.” he said.

BIR-13 earlier padlocked five warehouses and three restaurants owned by Ong Kin King and Co for violation of tax laws.

In addition, BIR seized around 53 cash register machines (CRM/ POS) of the company for various violations.

The establishments were subjected to surveillance by BIR agents prior to their closure.

A closure order was issued after it was discovered that the company failed to comply with registration requirements of the National Internal Revenue Code.