RMC No. 15-2013 — Publishes and implements pertinent provisions of Resolution No. 9476 issued by the Commission on Elections (COMELEC) on June 2012 Digest | Full Text

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE February 12, 2013 REVENUE MEMORANDUM CIRCULAR NO. 15-2013 SUBJECT : Publishing and Implementing Pertinent Provisions of Resolution No. 9476 issued by the Commission on Elections (COMELEC) on June 2012 TO : All Internal Revenue Officers and Others Concerned I. BACKGROUND This Circular is issued to publish and implement the pertinent provisions of subject resolution entitled "Rules and Regulations Governing Campaign Finance and Disclosure in Connection with the May 2013 National and Local Elections and Subsequent Elections Thereafter", quoted as follows: "RULE 7 �PRESERVATION OF RECORDS; INSPECTION AND EXAMINATION OF STATEMENTS Section 1. Records of Contributions and Expenditures. � It shall be the duty of every candidate, treasurer of the party and person acting under authority of that candidate or treasurer: a. to issue a receipt for every contribution received, and to obtain and keep a receipt stating the particulars of every expenditure made. b. to keep detailed, full and accurate records of all contributions received and expenditures incurred by him and by those acting under his authority, setting forth therein all information required to be reported. c. to be responsible for the preservation of the records of contributions and expenditures, together with all pertinent documents, for at least three (3) years after the holding of the election to which they pertain and for their production for inspection by the COMELEC or its duly authorized representative, or upon presentation of a subpoena duces tecum duly issued by the COMELEC."

II. REGISTRATION WITH THE BIR Aside from obtaining a Tax Identification Number, all political parties including party list groups are required to register with the BIR, issue official receipts and withhold taxes pursuant to Revenue Regulations (RR) No. 8-2009. The registration of political parties or party list shall be made with the Revenue District Office (RDO) having jurisdiction over their Head Office or principal office. It shall be the duty of every individual candidate upon the filing of the certificate of candidacy, whether for local or national position to register or update their registration with the BIR for those who have previously registered as Withholding Agents pursuant to RR No. 8-2009. The registration shall be made with the RDO having jurisdiction over the political subdivision where the candidate is seeking election, and, if this is not applicable, registration shall be made at the RDO having jurisdiction over their principal residence or registered address, as the case may be. The registration of individuals in their capacity as candidates shall automatically end after thirty (30) days from the date of the election. However, the registration of political parties including party list groups shall subsist. III. REGISTRATION OF BOOKS All candidates and political parties, including party list groups are required to register with the concerned RDO and keep adequate books and other accounting records such as Cash Receipts Journal, Cash Disbursements Book or their equivalent. IV. ISSUANCE OF BIR REGISTERED OFFICIAL RECEIPTS (ORs) Every candidate, treasurer of a political party, including party-list groups, and every person acting under authority of such candidate or treasurer shall register with the RDO concerned official receipts at least in duplicate to be issued for every contribution received, whether in cash or in kind. The original copy of the OR shall be issued to the contributor/donor while the duplicate shall be retained by the candidate or political party/party list. Contributions in kind shall be valued at their cash equivalent or fair market value. To address the immediate need for the ORs as the May 2013 election is barely three months away, all RDOs are hereby authorized to issue to their registered individual candidates BIR-Printed Non-VAT official receipts, without requiring Authority to Print (ATP). These Non-VAT ORs shall be accounted for by submitting data on the number of receipts used and surrendering the unused ones to the RDO within ten (10) days after the election.

V. PRESERVATION OF ACCOUNTING RECORDS All candidates and political parties, including party list groups shall be responsible for the preservation of the records of contributions and expenditures, together with all pertinent documents, for at least three (3) years after the holding of the election to which they pertain and for their production for inspection as authorized by the Commissioner of Internal Revenue. VI. EFFECTIVITY CLAUSE This Circular, which should be given as wide a publicity as possible, shall take effect immediately. (Original Signed) KIM S. JACINTO-HENARES Commissioner of Internal Revenue