RMC No. 23-2004 — Reiterates the provisions of RR No. 2-87 relative to the issuance of Official Delivery Invoice and maintenance of Official Register Books with respect to removal/sale of molasses. Digest | Full Text

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OF INTERNAL REVENUE April 14, 2004 REVENUE MEMORANDUM CIRCULAR NO. 23-2004 SUBJECT : Issuance of Official Delivery Invoice (ODI) on Removal/Sale of Molasses and Maintenance of Official Register Books (ORBs) by Miller, Owner or Dealer of Molasses TO : All Internal Revenue Officers and Others Concerned ________________________________________________________________________ It has come to the attention of this Office that not all sugar millers, dealers or traders of molasses are complying with the provisions of Revenue Regulations No. 2-87 dated May 5, 1987 with respect to the issuance of ODIs and maintenance of ORBs with respect to removals/sale of molasses. For the information and guidance of all internal revenue officers, employees, and all others concerned, quoted hereunder are the pertinent provisions of the said regulations which up to now is still in effect: "Section 1. The provisions of Section 6 of the Regulations No. 3 are hereby amended by adding sub-paragraphs to read as follows: C-1. Every miller, owner or dealer of molasses shall maintain an Official Register Book wherein all molasses produced and removed shall be recorded. Likewise, for every removal of molasses, an Official Delivery Invoice (ODI) shall be issued to cover the shipment, the original shall accompany the shipment, the duplicate shall be file copy of the consignor and the triplicate to be retained in the guia book which shall be in the possession of the Internal Revenue Officer. For every removal of molasses, the miller, owner or dealer can requisition the ODI from the Chief, Specific Tax Regional Team concerned (now Large Taxpayers Field Operations Division [LTFOD] for taxpayers under Revenue Region Nos. 4-San Fernando, Pampanga to 9-San Pablo City and Heads of Excise Tax Areas [EXTAs] for taxpayers under all the other Revenue Regions) or from the Internal Revenue Officer assigned thereat (now Revenue Officer On Premise [ROOP]). All distilleries are also required to keep an Official Register Book wherein to record, in liters or metric ton, the molasses received for use in the production of alcohol as well as those removed for use in the production of alcohol as well as

those removed for domestic sale or export. For every shipment of molasses, the Chief, Specific Tax Regional Team (now Zone Charge or Head, EXTA, as the case maybe) for taxpayers of the region of origin shall immediately inform the Chief, Specific Tax Regional Team (now Zone-In-Charge or Head, EXTA, as the case maybe) of the region of destination or the Chief, Alcohol Tax Division (now Chief, LTFOD or Head, EXTA), as the case may be, the name and address of the consignee and the quantity of shipment. Within twenty four (24) hours after receipt of the shipment by the consignee, the Chief, Specific Tax Regional Team (now Zone-In-Charge or Head, EXTA, as the case maybe) of the region of destination or Chief, Alcohol Tax Division (now Chief, LTFOD), shall cause the lifting of the official delivery invoice. The Official Delivery Invoice (ODI) (Annex "A") shall be an accountable form and the Accountable Forms Division shall cause the printing thereof, in sufficient quantities, in coordination with the Specific Tax Office (now Large Taxpayers Service). The Commissioner of Internal Revenue, upon request in writing by distillers, millers, owners or dealers concerned, shall provide the Official Register Book for molasses (BIR Form Nos. 398 and 398-1) (Annexes "B" and "C", respectively)." Pending finalization and approval of the Official Delivery Invoice (ODI) form for molasses to be prescribed for this purpose, the ODI for Distilled Spirits (BIR Form No. 207) shall be issued to cover the shipment. A transcript of the aforesaid ORB shall be prepared on a monthly basis regardless of whether or not the sugar miller, owner or dealer has a production, removal or sale of molasses. In case there is no production, removal or sale of molasses during the month, the phrase " NO PRODUCTION/REMOVAL/SALE" shall be clearly indicated in the ORB and transcript sheets thereof. The original and duplicate copies of the transcript sheets of ORBs shall be submitted on or before the 5th day of the following month directly to the LT Programs Division, National Office, for taxpayers falling under Revenue Region Nos. 4 to 9, and the concerned Head, EXTA, for taxpayers falling under all the other Revenue Regions. The concerned Head, EXTA shall transmit to the LT Programs Division all the copies of the submitted ORBs within twenty-four (24) hours from receipt thereof. All concerned revenue officials, employees and others concerned are hereby enjoined to give this Circular a wide publicity as possible. (Original Signed) GUILLERMO L. PARAYNO, JR. Commissioner of Internal Revenue 2