RMC No. 40-2003 — Clarifies the effect of issuance and receipt of Letter Notice to the taxpayer's right to amend its tax returns Digest | Full Text

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE July 3, 2003 REVENUE MEMORANDUM CIRCULAR NO. 40-2003 SUBJECT: Effect of the Issuance and Receipt of Letter Notice to the Taxpayer's Right to Amend its Tax Returns as Provided under Section 6 of the National Internal Revenue Code TO : All Internal Revenue Officers and Others Concerned For the information and guidance of all internal revenue officers and others concerned, please refer to the attached copy of the memorandum of Deputy Commissioner Jose Mario C. Bu�ag of the Legal and Inspection Group dated June 9, 2003 clarifying the following issue: Whether or not the Letter Notice (LN) being served by the Bureau upon taxpayers who were found to have under-declared their sales or purchases through the Third Party Information Program can be considered a notice of audit or investigation which would in effect disqualify the taxpayers concerned from amending any return which is the subject of such audit or investigation. The Deputy Commissioner for Legal and Inspection Group opines and I quote: "LN being served by the Bureau upon taxpayers who were found to have under- declared their sales or purchases through the Third Party Information Program can be considered a notice of audit or investigation which would in effect disqualify the taxpayers concerned from amending any return which is the subject of such audit or investigation." Please be guided accordingly. (Original Signed) GUILLERMO L. PARAYNO, JR. Commissioner