The Large Taxpayers Service (LTS) unit of the Bureau of Internal Revenue (BIR) is expected to collect at least P1.105 trillion from some 2,320 large companies this year and help boost overall collection.
The LTS generated collections totaling P963 billion in 2016 and short of its collection target of P1.0035 trillion. Year-on-year, the LTS posted a collection growth rate of 9.3 percent or higher than 2015 collection of only P881 billion.
“To be able to hit and achieve this collection target, we in the management came out with a 27-point priority program. I am sure most of you have seen this 27-point program through the web site of the agency,” BIR Commissioner Caesar R. Dulay said.
In 2015 the BIR also set a collection target of P1 trillion for the LTS. The original target was set at P1.2 trillion. The forecast reduction were to come from a revenue loss of P30 billion due to the higher tax-exemption ceiling on workers’ bonuses.
The collection target for the LTS accounts 62.44 percent of agency total collection of P1.829 trillion for 2017. The BIR’s collection goal of P1.829 trillion represent an expansion of 11.4 percent from the P1.620 trillion target in 2016. Initial BIR revenue-collection target for 2016 was at P2.025 trillion.
LTS Assistant Commissioner of Internal Revenue (ACIR) Teresita M. Angeles said the 2017 collection target of the LTS is “huge but achievable.”
The BIR added the LTS is committed to support the four key priority areas that include improving taxpayer satisfaction; protecting revenue and recapture public trust; attaining its collection targets; and adopting an expanded settlement program.
Other initiatives also include the implementation of the attrition law, discipline of erring personnel, removal of the BIR from the salary standardization law, continuation of the Run After Tax Evaders (RATE) program, tax mapping, continuous audit and field operations, adoption of the expanded compromise program, and benchmarking activities.
“To achieve this goal, aside from the identification of the 27 point priority program we also have a strategy, the focus of the agency is to improve compliance and,of course, to improve our enforcement capabilities. While voluntary compliance contribute the bulk of the revenues of the agency, we cannot disregard enforce compliance because tax enforcement will always go hand in hand in the administration of the tax program in this agency,” he added.