RMC No. 29-2023 — Clarifies the effect of publication of the list of taxpayers determined as Cannot Be Located (CBL) pursuant to existing guidelines

REPUBLIC OF THE PHILIPPINES

BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE Quezon City

March 9, 2023

REVENUE MEMORANDUM CIRCULAR NO.3: 3O&3

SUBJECT :Clarifies the Effect of Publication of the List of Taxpayers Determined

as Cannot Be Located (CBL) Pursuant to Existing Guidelines

TO :All Revenue Officers and Employees and Others Concerned

were required to report the names of CBL taxpayers for publication in the BIR website and in newspaper of general circulation, after exhausting all possibie efforts in locating the concerned (LOAs) and Tax Verification Notices (TVNs) in instances where the concerned taxpayers could not be Iocated in their registered addresses. In the said RMC, handling Revenue Officers (ROs) taxpayers and complying with the required documents that support their reports. guidelines and procedures for the treatment of unserved Letter Notices (LNs), Letters of Authority Revenue Memorandum Circular (RMC) No. 98-2010 was issued in 2010 to prescribe the

the name of the CBL taxpayer. can prove the existence of the supplier tagged as CBL by the BIR and the authenticity of purchases public as well, who may, in one way or another, have knowledge on the whereabouts of the published names of taxpayers or have transactions with them. Those with information on the CBi taxpayers' whereabouts can report to the Bureau of Internal Revenue (BIR) while those with business transactions with them shall be given precaution in their future transactions as there are deductibility of purchases made with the CBL taxpayers, whether the purchase is related to cost of made. These tax consequences, however, shall apply on transactions made after the publication of sales or operating expenses, for purposes of income tax computation and if the transaction is with Value Added Tax (VAT) component, the same cannot be claimed as input tax, unless the buyer tax consequences provided in the said RMC which is for their disadvantage. These include non The purpose of the publication is to give due notice to the concerned taxpayers and to the

taxpayers. In addition, the publication of the names of CBL taxpayers is not a pre-requisite to suspend the running of the prescriptive period to assess under Section 203 of the National Internal that the taxpayer is a CBL and such report is supported by the required documents under existing policies, the suspension of the said prescriptive period already sets in and is tagged in the system as suspended. Revenue Code of 1997, as amended. Once the handling Revenue Officer has submitted a report Therefore, this Circular reiterates the abovementioned effects of publication of CBL

All are enjoined to give this Circular a wide publicity as possible.

2 Comssioner of Internal Revenue ROME 004563 HJR

BURRAU OF INTERNALREVENUE RECORDS MGT DIVISION MAR 10 23730 GE30A.M

RECEIVED DMIN-I