RMO No. 7-2021 — Allocates the CY 2021 BIR collection goal by implementing office Digest | Full Text | Tables 1 to 5F

BUREAU OF INTERNAL REVENUE REPUBLICOF THE PHILIPPINES DEPARTMENT OF FINANCE Quezon City BUREAU OF INTERNAL REVENUE JECIUI CNNIN FEB 02.2021 10104-M1 Mho A

RECORDS MGT.DIVISION

January 28,2021

REVENUE MEMORANDUM ORDER NO. F-2021

TO: All Revenue Officials and Employees Concerned

SUBJECT: CY 2021 BIR Collection Goal Allocation,By Implementing Office

A BACKGROUND

collection goal by P395.427 Billion,or 23.46% overall collection goal at P2,081.161 Billion. This collection goal which is based on the CY 2021 Medium Term Revenue Program (MTRP) dated December 2020,is higher than the CY 2020 The Department of Finance (DOF) has set the Bureau of Internal Revenue's CY 2021

I OBJECTIVE

This Order is being issued to establish the following

1. The policies,methodology and guidelines used in the allocation of the CY 2021

Collection Goal;and 2. The resulting distribution of the collection goal to the Large Taxpayers Service (LTS)

and Revenue Regions(RRs),including the Revenue District Offices(RDOs)

I DEFINITION OF TERMS

A. Collections from Non-BIR Operations - include Final Withholding Tax under

Income Taxes and Documentary Stamp Tax collection from government securities transactions

B. Collections from BIR Operations -composed of Income Taxes,Value-Added Tax,

Excise Taxes, Percentage Taxes,and Other Taxes generated from transactions not classified as "Non-BIR Operations"

C.Implementing OfficesIOs)-the major BIR collecting offices:LTS,RRs and RDOs

3 I. GENERAL POLICIES AND GUIDELINES

and goal allocation methodology used in the computation of the final goal for the implementing offices: The following policies and guidelines were observed relative to the data reguirements

A.Data Used

1 The CY 2020 estimated collection, which is the sum of:

O The total actual collections for the period January - November, 2020, based on data from the Consolidated Monthly Statistical Report of Revenue Collections (BIR Form No.1209) as updated and validated by the concerned implementing offices with the Research and Statistics

Division (RSD) as of January 6, 2021; and

b. The December 2020 collection goal per RMO 45-2020

2. Data considered as refinements for CY 2020 Collections:

a Special Taxes comprising of Taxes on Government Securities and Excise

January 6, 2021. Taxes for CY 2020,per BIR Form No.1209 reports updated as of

b. Non-recurring transactions from January - December, 2020 where

January 6, 2021. each single transaction accounts for at least ten percent (10%) of a figures provided in BIR Form No. 1209 Reports updated as of particular Region's/LTS total collections for a specific month,based on

3 Other Data Considered

a Economic assumptions/indicators provided in the MTRP (Table 1)

b. Collection Goals, by major tax type, culled from the MTRP;

C The CY 2021 program government securities and their corresponding

taxes (FWT) as provided in the MTRP. The Documentary Stamp Tax [DST]) goal for Non-BIR Operations based on Bureau of the Treasury (BTr) program as of January 6, 2021.

d January - [ December, 2020 collections from transferred-in/out

taxpayers,extractedbyiSDOS, ISG from the ITS-CBR, as of January 6, 2021

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C. Goal Allocation Methodology

The CY 2021 Goal for BIR Operations was allocated to all IOs.

1. Goal Allocation by IO

a. The Refined CY 2020 Collections is the Actual CY 2020 Collections which

were refined by taking into account the following:

a.1 Netting-out the 2020 collections from all Special Taxes;

a.3 Addition/Reduction of cY 2020 collections from transfer-in/out a.2 Netting-out the non-recurring collections; taxpayers;

b. The Estimated CY 2021 Collections were computed by growing the refined

CY 2020 using the collection growth of refined CY 2020 collection vs CY 2021 BIR Operations Goal net from special taxes.

C. The following taxes have been directly allocated to the LTS:

d.1Goal on Excise Taxes amounting to 331.561 Billion;and d.2VAT on Excisable Products goal of4.386Billion

D. The Final CY 2021 Goal by IO was computed by adding-up the respective

computed figures in Sec.IV.B.1.b and Sec.IV.B.1.c.

2 Goal Allocation by Major Tax Type and Month

The Final CY 2021 Goals of IOs (Table 5A were distributed monthly by major tax type based on the following:

a. The total CY 2021 target allocated to IOs per tax type was aligned with the

program in the MTRP;and

b. The monthly distribution of goal was based on the Refined CY 2019

Monthly Collections with adjustment in monthly collections due to the change in the payment deadlines of the Quarterly Corporate Income Tax (BIR Form 1702Q)

D.Attachments

The following tables are attached for the reference of all concerned revenuel officials and personnel:

Table 1 Macroeconomic Assumptions and Collection Goal By Major Tax Type,CY 2021 Table 2 Monthly BIR Collection Goal By Major Tax TypeCY 2021

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Table 3 Total Collection Goal Allocation By Implementing Office,CY 2021

Table 4 Total Collection Goal Allocation By Implementing Office and Major Tax Type,CY 2021

Table 5A Monthly Total Collection Goal by Implementing Office,CY 2021

Table 5B Monthly Collection Goal For Income Taxes By Implementing Office CY 2021

Table 5C Monthly Collection Goal Allocation For Excise Taxes By Implementing Office,CY 2021

Table 5D Monthly Collection Goal Allocation For Value-Added Tax By Implementing Office,CY 2021

Table 5E Monthly Collection Goal Allocation For Percentage Taxes By Implementing OfficeCY 2021

Table 5F By Implementing Office, CY 2021 Monthly Collection Goal Allocation For Other Taxes

E Other Requirements

1. The LTS shall allocate its collection goal among its divisions,and prepare the

corresponding memorandum within five (5) working days upon the issuance of this Order;and

2.The Deputy Commissioner for Operations Group and the Assistant

Commissioner of LTS shall provide the Deputy Commissioner for Resource Management Group the individual goal allocation of the concerned personnel assigned in the implementing units under their respective jurisdictions,not later than March 1,2021.

V.EFFECTIVITY

This Order takes effect immediately.

ioean

CAESAR R.DULAY

B-3 AUREAUOFINTERNALREVENUE Commissioner of Internal Revenue 040001

DNTTYT FEB 02 2021 t0:0 4.M.1 I c

CM c RECOKUS MGT.DIVISION

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