Utilization of preprocessed RELIEF and BOC Data in tax audits

(Revenue Memorandum Order No. 6- 2017, March 7, 2016)

This Tax Alert is issued to inform all concerned of a new procedure in the conduct of tax audits.

For taxpayers who were issued electronic Letters of Authority (eLAs), preprocessed RELIEF and BOC Data will be automatically generated and transmitted to respective investigating offices for use in the audit.  Prior to this RMO, these Third Party Information are generated only upon request of the investigating offices.

The Business Intelligence Division (BID) of the BIR Information Systems Group (ISG) will access the Electronic Letter of Authority Monitoring System (eLAMS) every Tuesday for the list of eLAs issued by each investigating office.

Based on the list of taxpayers who were issued eLAs, BID will access the Data Warehouse (DW) to extract the RELIEF data on SLS/SLP and the data on importations from the BOC. Within 3 days from extraction, data will be transmitted to the Audit Information, Tax Exemption and Incentives Division (AITEID) who in turn shall deploy these data through email or registered mail to respective revenue officers.

Revenue officers are required to submit a status report on how the data were utilized in the audit and its impact on the assessment to the AITEID. Justification for non-utilization of data in the investigation is likewise required for submission.