RMO No. 64-2016 — Amends certain provision of RMO No. 19-2015 pertaining to audit policies

BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DePartMent oF FInAnCe Quezon City BUREAU OF INTERNAL REVENUE RECORDS MGT. DIVISION RECEIVFD NOV 1 4 2016 3:38PM fe aA

November '7, 2016

REVENUE MEMORANDUM ORDER NO. 14-01

SUBJECT : Amending Certain Provision of RM0 No. 19-2015 Pertaining to Audit Policies

TO : All Internal Revenue Officers and Others Concerned

I OBJECTIVE

(3rd) time and the removal of the fifty percent (50%) surcharge of the Commissioner of Internal Revenue before a taxpayer may be audited for the third This Order is issued to amend the policies and procedures requiring the approval

I AMEnDMEnT

stated in Sec. 1il No. 4 of RMO N0. 19-2015 is hereby amended to read as follows: For purposes of auditing a taxpayer for the three succeeding years, the policy

for audit on the current or third (3) year, the RDO/LTD/LTAD shall encode right away the requested audit of the subject taxpayer in eLAMS/ eTiS-CMS which shall be approved by Selection Code shall depend on the reason why the taxpayer has been selected." the Regional Director/ Assistant Commissioner who heads the investigating office. The "If the taxpayer has been audited for the iast two (2) years and has been selected

percent (25%) surcharge uniess the under declaration of income or overstatement of expenses/ deductions reaches 30% or more which shall be imposed with fifty percent (50%) surcharge. "The deficiency assessment on these cases shall only be imposed with twenty-five

REPEALING CLAUSE

hereby repealed, revoked, amended or modified accordingly. All revenue issuances and/or portions thereof that are inconsistent herewith are

IV EFFECTIVITY

This Order shall take effect immediately.

CaeSar R. dulAY Commissioner of Internal Revenue 002076