BIR sets new plan to hit collection goal

The Bureau of Internal Revenue (BIR) has laid out initial plans for the Aquino administration’s successor.

Under Revenue Memorandum Order 6-2016, the agency detailed its 2016-2020 Strategic Plan aimed at attaining collection targets and sustaining revenue growth.

“Of course they have to start somewhere. These are just draft plans,” BIR Commissioner Kim Jacinto-Henares told reporters last week.

The plan specified a three-point

By PRINZ MAGTULIS road map with specific outputs and outcomes expected from the bureau, accounting for around 80 percent of tax revenues.

They are strengthening good governance, improving taxpayer satisfaction and compliance, and reaching collection targets while growing the revenue haul at the same time.

Under the first tier, the BIR said good governance initiatives will center on corporate governance, enterprise risk management, program management and improving agency performance.

“We will implement and develop a structured approach to managing risks and ensure that risk management is consistently practiced

throughout the bureau,” the agency said.

Programs laid out include the continued use and expansion of electronic Tax Information System, drafting an annual corporate plan, and crafting key performance indicators for BIR personnel.

To improve taxpayer satisfaction and compliance, meanwhile, the BIR said it would expand the coverage of Large Taxpayers’ Service (LTS) and engage them in dialogue for process improvements.

The LTS is composed of the biggest corporations in the country, mostly classified as those with market capitalization of P300 million and above.

“Continue to develop data analytics capabilities to strengthen compliance risk identification,” the BIR said.

This includes using third-party information to analyze tax payments, gathering intelligence through exchange of information with other countries, as well as plugging tax law loopholes.

“Work with the Department of Finance to ensure the BIR’s view is considered as part of the development of new tax laws and policies,” it said.

The bureau said it also hopes consistent “re-engineering” of its information technology systems will contribute to collection efficiency.