Business Bayani PH

The Bureau of Internal Revenue (BIR) is on a mission to tackle common tax problems faced by businesses. In a recent two-day Tax Compliance Verification Drive (TCVD) covering over 44,000 businesses, the BIR uncovered key issues affecting tax compliance.

During the TCVD, common violations emerged, such as businesses not displaying their Certificate of Registration and the required Notice to Issue Receipt/Invoice (NIRI). Some businesses also neglected to register their books of accounts, which is a serious violation.

The BIR found that some businesses weren’t keeping their books of accounts in the right place and weren’t making daily entries as required. Moreover, the improper use of unregistered receipts and cash machines raised concerns.

BIR Commissioner Romeo D. Lumagui Jr. clarified that the TCVD’s main goal is to educate, not penalize. “We are here to educate taxpayers of their tax obligations, not to penalize them,” he said in a statement.

He emphasized that informed taxpayers are more likely to comply with obligations, saying, “Education leads to compliance. Improved services lead to compliance.”

The TCVD, held from January 18 to 19, covered regions across the country. BIR examiners visited businesses to identify and fix tax compliance issues actively.

Lumagui reassured businesses, saying, “The BIR is prepared to serve and educate our businessmen, whether they are long-established or newly registered.”

The TCVD aims to help businesses understand and meet their tax obligations, with Lumagui encouraging prompt action. “The BIR remains dedicated to assisting taxpayers in navigating the complexities of tax regulations for the benefit of the business community,” he emphasized.

The TCVD is a proactive step by the BIR to educate and guide businesses in following tax laws. The common tax violations uncovered highlight the importance for businesses to review and fix their practices, aligning them with regulatory requirements.◼