BIR raises 2013 revenue target for Bicol by P1.7B

By Alfredo L. Vargas Jr. LEGAZPI CITY, Feb. 1 (PNA) -- The Bureau of Internal Revenue (BIR) has set its revenue target for this year in Bicol at P7.1 billion, or a leaping 31 percent increase from its 2012 collection objective of P5.4 billion. This, after the BIR regional office in Bicol based in this city recorded a surplus of over P200 million in its 2012 target. “Of course were a bit surprised by the magnitude of the increase but we can and do not question how it was determined because we know BIR national office has enough basis in setting regional collection targets every year,” said Janeth Cruz, BIR Bicol assistant regional director. Revenue target increases every year, but so far this year’s has been considered the most challenging to revenue collectors in Bicol. In Bicol, the tax goal set in 2011 was P4.6 billion and it was increased by 16 percent or about P0.8 million for 2012. This year’s target was increased by P1.7 billion over last year’s. Some revenue collectors admitted that every year seems for them a hunting season for non-payers of taxes or delinquent taxpayers in order to achieve their target. Cruz said there are various economic factors evaluated such as the collection area’s gross domestic product in setting the annual tax collection targets. “We accept the challenge and we will carry out systematically the collection plans for this year,” she said. So far, BIR Bicol has been consistently exceeding the yearly revenue targets, Cruz said, adding that the actual revenue collection output in the previous year is also a factor used in forecasting the succeeding tax goal. “The sin tax belongs to a separate group of revenues derived from large taxpayers and although it was increased this year, it has nothing to do with the increase in regional revenue targets,” she said. The BIR official appealed to the local business sector for cooperation through honest payment of taxes. Cruz, however, coupled her appeal with a stern warning that non-cooperative business taxpayers will be dealt with accordingly if found defrauding the BIR. She said that through the strengthened bench marking of the various industries, the BIR can immediately determine possible fraudulent tax payments. “Say, in one particular industry the benchmark is 6 percent, then any businessman declaring a lower rate will be subject to evaluation and investigation. It will be very difficult for them if we find out that they are intentionally evading correct tax payments,” she said. Local business establishments registered as non-VAT (value-added tax) but are actually with gross sales or receipts beyond the P1.9 million limits have been identified by tax evaluators. “There are plenty of them in Bicol. They must have re-register under VAT category; if not, they will surely regret it,” Cruz warned. Close coordination with national government agencies in the region has been extensively done by BIR for efficient collection of withholding taxes from projects implemented within the taxable year. The recent revelation of the Department of Public Works and Highways regional office based in this city of its P6.6-billion funding for various infrastructure projects in Bicol this year has been considered good news for the BIR in relation to its 2013 tax collection campaign. The BIR also reminded non-resident and resident aliens who are into business in the region that they can be immediately detected for possible fraud through the bureau’s electronic filing payment system. It has done a massive information drive through the conduct of seminars and briefings in preparation for the payment of income taxes set in April. (PNA) LAP/FGS/ALV/MMG/EBP