RMO No. 30-2001 — Revi e the policie , guideline and procedure in the proce ing of application for bank accreditation; renewal of accreditation and di accreditation of Authorized Agent Bank (AAB ); AAB merger/buy-out; change of name and/or addre e ; monitoring of performance and evaluation of AAB ; and impo ition of penaltie on AAB ' violation and ettlement of unremitted collection Dige

REVENUE MEMORANDUM ORDER NO. 30-2001 issued November 26, 2001 revises the policies, guidelines and procedures in the processing of application for bank accreditation; renewal of accreditation and disaccreditation of Authorized Agent Banks (AABs); AABs merger/buy-out; change of names and/or addresses; monitoring of performance and evaluation of AABs; and imposition of penalties on AABs violations and settlement of unremitted collection. The accreditation of the AAB Head Office (AAB-HO) does not automatically result in the accreditation of its branches unless otherwise included in the application for accreditation. AAB-HO should apply for the accreditation of its branches not included in the initial application for accreditation. The disaccreditation of the AAB-HO automatically results in the cancellation of the accreditation of all its branches while the disaccreditation of any or all its branches does not automatically cancel the accreditation of the AAB-HO. The AAB-HO may, at any time, apply for the cancellation of its or any of its branch(es) accreditation upon written notification to the Commissioner of Internal Revenue (CIR). The CIR, upon the recommendation of the Bank Accreditation Committee (BAC), shall, at any time, suspend/cancel an AAB accreditation thru an official notification to the concerned AAB in cases where the interest of the government is prejudiced. The Bangko Sentral ng Pilpinas (BSP), through its Accounting Department shall, upon the advise of the BIR, credit the Demand Deposit Account (DDA) of the AAB for over-remittance of internal revenue collection to the BIR and debit the DDA of the AAB for the amount of unremitted collections and unpaid penalties. AABs accreditation shall be effective from the date of signing of the Memorandum of Agreement (MOA) by the CIR until such time that it is terminated by both parties, or by the AAB subject to the approval of the BIR, or by the BIR in case of violation of any terms and conditions stated in the MOA, or for any reasonable cause, with thirty (30) days advance notice. Any AAB whose accreditation is cancelled may apply for re-accreditation after six (6) months from the date of the cancellation of its accreditation. Only those banks which meet the following criteria for accreditation shall be authorized to collect internal revenue taxes: 1) it is a government bank, a commercial bank or a universal bank; 2) it should be able to meet the financial ratios required by the BSP and maintain these ratios during the term of agreement; 3) it should have the infrastructure required by the BIR from its AABs; and 4) it shall have been in operation for a minimum of three (3) years. The AAB shall maintain adequate balance in its DDA with the BSP, which may be required to be maintained, on a per bank branch basis, to take care of its daily remittance of collection. The AAB shall inform the BIR of any approved plan to merge with/buy out other banks/AABs or sell/fold up, plan to change AABs name and address within thirty (30) days of such approval.