BIR chief cites private sector role in financial reporting and tax rule chatter

OFFICE of Internal Revenue Commissioner Romeo D. Lumagui Jr. recently met with external stakeholders from accounting associations and other representatives of accounting firms to discuss proposed tax releases related to the harmonization of tax laws/regulations and accounting standards.

The Philippine Financial Reporting Standards (PFRS) Proposed Income Memorandum Circulars meeting was a two-day event to discuss proposed income releases relating specifically to rent (tenant), interest expense, foreign exchange transactions, and retirement. Benefit.

“We attach great importance to these activities, because it is from them that we understand how we can best serve you, because in the end it will only benefit our country – paying taxes will be easier and faster with these types. activity,” Lumagui said, speaking partly in Filipino.

The accounting associations present at the meeting included the Philippine Institute of Chartered Public Accountants (PICPA); Government Association of Certified Public Accountants (GACPA); and the Revenue Authority of the Philippines Association (TMAP). Representatives of accounting firms, namely JL2T Consulting; CRC-ACE Review School; Punongbayan and Araullo also attended.

The BIR Chair encouraged all participants to share their experience and knowledge on the issues, stating that this would contribute to a holistic discussion. He explained that taxpayers, accountants, accounting firms and associations representing these groups are BIR’s partners in nation building.

“The main focus of our administration right now is excellent taxpayer service, and I believe that we can only achieve this through this consistent dialogue and communication with all stakeholders,” the Commissioner said.

BIR recently established and established a PFRS Project Steering Group to oversee and identify gaps between tax laws/regulations/reporting and PFRS and accordingly recommend actions through tax releases to close the identified gaps for routine implementation.

BIR meets Finex

As a separate event, Lumagi attended the 2nd General Meeting of Members of the Institute of Finance Executives of the Philippines (Finex), which discussed in detail the transformation of BIR from a collection-oriented agency to a service-oriented agency.

Addressing the members of Finex on February 22, the head of BIR said:

“We have to pay attention to you, because ultimately you are the one who serves the BIR, and therefore we are really focused on the taxpayers. We are thinking about how to contact taxpayers and educate them,” said the commissioner, who was appointed just three months ago. BIR welcomes and appreciates all comments, suggestions and opinions from the public, he said, adding that he also believes that a well-informed taxpayer promotes voluntary tax compliance.

The Commissioner identified four areas of concern that the BIR will focus on: excellent taxpayer service; strengthening law enforcement activities; Transparency and honesty; digitalization and process automation. He said BIR’s approach will now focus on taxpayers by expanding the ISO certification of all its offices to cover other services and further streamlining all processes.

Lumagi described Finex as a foundation for international leadership and a platform for national financial advocacy. He said Finex could be one of BIR’s valuable partners in its mandate to collect taxes through fair tax enforcement for nation building and improving the lives of Filipinos.

The bureau, Commissioner Lumagui said, looks forward to full cooperation with Finex, working hand in hand with BIR on four problem areas that BIR plans to refocus. “Essentially, you are helping the government achieve sustainable economic growth and development,” he added. “The purpose of collecting BIR should be seen as the goal of Finex and every Filipino as it will ultimately lead to the creation of an infrastructure that will improve the lives of Filipinos.”

The Commissioner ended his message with the 2023 BIR battle cry: “Tulong-Tulong sa Pagbangon, Kapit-Kamai sa Pag-akhon. Buwis na wasto, Alay para sa Pilipino.