RMO No. 14-2025 — CY 2025 BIR Collection Goal Allocation, By Implementing Office Based on FY 2025 Budget of Expenditures and Sources of Financing (BESF), Development Budget Coordination Committee (DBCC) Ad Referendum dated June 27, 2024 Digest | Full Text | Annexes

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Bringing In Revenues for Nation-Building E BUREAU OF INTERNAL REVENUE LSU 10F REPUBLIC OF THE PHILIPPINES : Le Jode MAR 2 0 13925 DEPARTMENT OF FINANCE EQuezonCity ia1t E T March 12,2025 PILIPINAS BAGONG

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REVENUEMEMORANDUM ORDER NO. 014-2025

TO: All Revenue Officials and Employees Concerned

SUBJECT: CY 2025 BIR Collection Goal Allocation, By Implementing Office Based on FY 2025 Budget of Expenditures and Sources of Financing (BESF)) Development Budget Coordination Committee{(DBCC) Ad Referendum dated

June 27,2024

BACKGROUND

Operations (P3,130.559 Billion) and Non-BIR Operations (P101.916 Billion). DBCC Ad Referendum dated June 27, 2024; is higher thanl the CY 2024 actual collection of P2,851.604 Billion by .P380.871 Billion, or 13.36%. The CY 2025 Goal is composed of BIR collection goal at P3.232.475 Billion. This collection goal, which is based on the FY 2025 BESF The Department of Finance (DOF) has set the Bureau of Internal Revenue's CY 2025 overall

H. OBJECTIVE

This Order is being issued to establish the following:

Collection Goal: and The policies, methodology and guidelines used in] the allocation of the CY 2025

2. The resulting distribution of the collection goal to the Large Taxpayers Service (LTS) and Revenue Regions (RRs), including LT Divisions (LTDs)/Revenue District Offices (RDOs).

H. DEFINITION OF TERMS

BY: .r MAR 2 0 2025 E ANERNENEN BEAUSRA fron transactions on Government Securities. (under 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". Collections from Non-BIR Operations -- Income Taxes) and Documentary include Final StampTax collections WithholdingTax derived

: _3: 42 E S ENENE Implementing Offices (IOs) -- refer to the collecting (offices of the BIR, i.e., LTS, RRs and LTDs/RDOs.

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BIR" National Office Bldg., Senator Miriam Defensor-Santiago Avenue, Diliman, Quezon City : Trunkline: 8981-7000 : 8929-7676: Website: www.bir.gov.ph

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IV. GENERAL POLICIES AND GUIDELINES

and allocation methodology used in the computation of the goal of IOs: The following policies and guidelines were observed relative to the data requirements

A. Data Used:

1. CY 2024 Actual Collection from Revenue Accounting Division (RAD) as reconciled with the Bureau of the Treasury (BTr). dated February 21. 2025.

2. Data considered as refinements to CY 2024 Collections:

a Non-Recurring transactions from January to December 2024. which include

those that qualified within the threshold prescribed under RA No. 9335 (Lateral which account for at least 4% of CY 2024 total annual collection of the RDOs or l0% of RDO's collection for a particular month Attrition (Source: RRis/RDOs Reports submitted as of March 3. 2025): {Act}and other special non-recurring transactions

b. (Source: BIR Form No. 1209 Reports, updated as of February 26, 2025): Collections ! from Registration Fees. January to December 2024

C. (Source: BIR Form No. 1209 Reports. updated as of February 26. 2025): Collections! from Estate Tax Amnesty. January to December 2024

d Collections from identified Transferred-in/out Taxpayers e.g. significant

business restructuring/movement, etc. (Source: RDO Reports as of February 25. 2025); and

e. Collections from Excise Taxes (Source: BIR Form No. 1209 Reports, updated

as of February 26, 2025).

3. Other Data Considered:

T DBCC Ad Referendum dated June 27, 2024): CY 2025 Macroeconomic Assumptions and Indicators (Source: FY 2025 BESF,

b CY 2025 Collection Goal. by Major Tax Type (Source: FY 2025 BESF, DBCC Ad Referendum dated June 27. 2024); and

C FY 2025 BESF. DBCC Ad Referendum and estirmated corresponding DST Data on Tax on T-bills (Government Securities) dated June 27. 2024, (Source: BTr dated November 29, 2024).

UREAU OF INTERNAL RFVENUE ECOROS MANAGEMENDIVISION

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B. Goal Allocation Methodology

The CY 2025 iGoal for BIR Operations amounting to P3,130.559 Billion I

and P21.979 Billion, respectively. is composed of Existing and New Measures amounting to P3,108.580 Billion

a. Goal Allocation, by IO:

a.1. Existing Measures

1 The @Y 2024 Refined Collection was derived by netting-out collections

collections from "Transferred-in/out Taxpayers in CY 2024. from Non-Recurring Transactions, Registration Fees. Estate Tax Amnesty and Excise Taxes and adding/deducting to concerned RDOs

2. The CY 2025 Total Goal on Excise Taxes amounting to P337.797 Billion was allocated as follows:

2.1. Excise Taxes Goal on the following products was directly allocated to LTS:

EXCISE TAXES (In Billion Pesos) Amount

Total 336.030

Tobacco Products Alcohol Products 130.038 148.920 Mining 11.070 Automobiles 6.503 Tobacco Inspection Fee Miscellaneous 0.195 0.010

Sweetened Beverages 39.279 Cosmetic Procedures 0.015

2.2. Goal on Excise Tax from Mining amounting to Pl.767 Billion

was allocated to RRs using ratio and proportion based on CY 2024 Actual Collection from Mining; and

3. The Actual CY 2025 Collection Goals of IOs for the rest of the taxes measures vs. Total CY 2024 BIR Refined Collection. amounting to f2.770.783 Billion were computed by increasing their respective refined CY 2024 collection by a uniform growth rate of 14:03%. This growth rate is equivalent to the percentage increase in the Total CY 2025 BIR Operations Goal net of excise taxes and new

4. The Total Goal on Existing Measures is the sum of items "a.l.2.

and "a.1.3.".

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a.2. New Measures

Goal on New Measures amounting to P21.979 Billion includes VAT on Digital Service Provider (DSP), Windfall Tax on Mining, Royalty on Mining, Single-use Plastics, Tax on Passive Income, Tax on Financial Intermediaries, Tax on Transactions (DST), CREATE MORE (CIT) and Prospectivity on Final Withholding Taxes on Interest Income. Long-Term Negotiable Certificate of Deposits (LTNCDs), etc. was allocated to concerned IOs. where applicable.

a.3. The TotaljCY 2025 Goal by IO is the sum of Existing and New Measures

b. Goal Allocation, by Major Tax Type and Month:

tax type, based on the following: The Total CY{2025 Goals of IOs (Table 5A) were distributed monthly, by major

b.1. The Total CY 2025 target allocated to IOs per tax type was aligned with the program in BESF: and

b.2. The monthly distribution of goal was based on the Refined CY 2024 Monthly Collections.

BY: B The CY 2025 Goal for Non-BIR Operations amounted to P101.916 Billion considered the following:

: 3:42 E MAR 2 0 2U25 WhHE . B E S RFANTERNAL REN REAUS and personnel: Attachments The following tabies are attached for the reference of all concerned revenue officials a. FWT on Government Securities which was allocated based on the monthly trend b. DST on Government Securities which was sourced from the monthly program provided by BTr; and provided by BTr.

Tabie 1 Macroecohomic Indicators and Assumptions, CY 2025

Table 2 Monthly Collection Goal Aliocation, By Major Tax Type, CY 2025

Table 3 Total Collection Goal Allocation, By Implementing Office, CY 2025

Table 4 Type, CY{2025 Collection Goal Allocation, By Implementing Office and Major Tax

Table 5A Monthly Total Collection Goal Allocation, By Implementing Office. CY 2025

Table 5B Monthly @ollection Goal Allocation For Income Taxes, By Implementing Office, CY 2025

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Table 5C Monthly @ollection Goal Allocation For Excise Taxes. By Implementing Office, CY 2025

Table 5D Monthly Collection Goal Allocation For Value-Added Tax. By Implementing Office. CY 2025

Table 5E Monthly @ollection Goal Allocation For Percentage Taxes. By Implementing Office, CY 2025

Table 5F Monthly Collection Goal Allocation For Other Taxes, By Implehenting Office, CY 2025

D. Other Requirements

of LTS shall provide the Deputy Commissioner for Resource Management Group the individual goal allocatidn of the concerned personnel assigned in the implementing units under their respective jurisdictions, within ten (10) working days upon the issuance of this The Deputy Commissioner for Operations Group and the Assistant Commissioner

Order.

V EFFECTIVITY

This Order shall take effect immediately.

V LUM YGUI,JR amissioner of Internal Revenue

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ABUREAU OF INTERNALREVENUE RECOROS MANAGERAENT SIVISION PEY t A fo ue

MAR 2 0 2025

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