Page 1 of 8. REPUBLIKA NG PILIPINAS. MINISTRI NG PANANALAPI. MAYN I LA. DEPARTMENT ORDER NO. _rj7-92. July 20, 1992. TO
REPUBLIKA NG PILIPINAS MINISTRI NG PANANALAPI MAYN I LA
DEPARTMENT ORDER NO. _rj7-92 July 20, 1992
TO
The Regional Treasurer, all Collecting Officers of the Bureau of Internal. Revenue (SIR) and other National Collecting Agencies (NCAs), Treasury Regional. Directors (TRDs), Fiscal Examiners (FEs), Branch Managers of Authorized Government Depository Banks (AGDBs) and Auditors of the Commission on Audit (COA) in the Autonomous Region in Muslim Mindanao (ARMM); Presidents of AGDBs and others Concerned.
SUBJECT
General Guidelines Pertaining to the Remittance to the Bureau of the Treasury (STr) of all National Collections in the ARMM Thru Direct Deposits with AGDBs.
1.
Purpose Pursuant to Article X, Section 5 of RA No. 6731, and its implementing rules and regulations under Department of Finance Order No. 19--92 dated March 5, 1992 particularly Section 14, the following rules and regulations are hereby prescribed relative to the remittance of the NG share in the national collections of the provinces comprising the ARMM, namely, Sulu, Tawi-Tawi, Lanao del Sur (except Marawi City) and Maguindanao (except Cotabato City).
II.
Policy Guideline Pursuant to paragraph 1 of ARMM Executive Order (E.O.) No. dated March 5, 1992 as'amended by E.O. No. 9 dated July 3 1992, the BIR and other National Collecting Officers 17, (NCOs) shall be responsible for the remittance of the 40% National Government (NG) share in the national collections The remittance shall be made to the nearest of the ARMM. ADDS Branch in accordance with the provisions prescribed herein.
III.
Definition of Terms 1.
National Collection - refers to collection in the ARMM of internal revenue taxes, fees and charges and taxes imposed on natural resources. share - refers to the 40% share of the national. NG government in all the national collections in the ARMM.
3.
Fiscal Examiner (FE) - refers to the representative of the Treasurer of the Philippines (TOP) in the ARMM, the primary function of examining the charged with of accounts and other financial records of the books collecting officers of SIR and other concerned NCAs in the ARMM.
(SANG BANSA, ISANG DIWA, (SANG WIKA
4.
IV.
Advice (RA) - refers to the form used in Remittance remitting NG's share in the national collections of the AGDB for credit to the account of the ARMM thru concerned agency.
Opening of Account with AGDB Branch 1.
The Regional Treasurer shall open current accounts with branches in each of the provinces composing the AGDB ARMM. Regional Treasurer shall inform the BIR and other The concerned NCAs of the name of the AGDB branch where the ARMM opens an account.
3.
V.
The BIR and other concerned NCAs shall advise the AGDB where the ARMM opens an account to create a branches temporarily to NG/ARMM" to "Due account suspense account for all check remittances of the BIR and other concerned NCAs.
Remittance Procedure of all National Collections in the ARMM 1.
NCO BIR/concerned authorized, the otherwise Unless the national collections to the nearest shall remit AGDB Branch. of all national collections shall be The remittance made by the BIR/concerned NCO in accordance with COA/ DOP Joint Circular No. 1-81 dated January 1, 1981.
3.
The remittance shall be accompanied by an RA for the NG share and deposit slip for the ARMM share and for check remittances.
4.
AGDB Branch shall validate the remittance advice/ The manually or by validating machine, if slip deposit therein the date, amount and available, indicating validation number in the upper right hand corner of the In either case, an slip. advice/deposit remittance shall be issued acknowledging the receipt official remittance.
5.
Upon receipt of the remittance of the BIR/concerned NCO, AGDB Branch shall transfer immediately by wire to the Office on the same day the total amount of its Head remittance for credit to the account of TOP (NG). Based on the telegraphic transfer, the AGDB Head Office immediately credit the account of the TOP (NG). shall The cost of cable shall be shouldered by the AGDB Head Office (HO).
U
VI.
Responsibilities 1.
BIR collection agent and other concerned NCOs in The the ARMM shall: a.
Remit his collections to the nearest AGDB branch in COA/DOF Joint Circular No. 1-81 with accordance dated January 1, 1981.
b.
Prepare the following in remitting his collections: b.1.
- 1) one (1) set of remittance For cash for the sixty percent (60%) slip deposit the share to be credited to the account of Treasurer-ARMM and 2) one (1) set Regional remittance advice for the forty percent of (40%) share for credit to the account of the concerned agency.
b.2.
set of (1) one remittance For check "Due deposit slip for credit to the account to N13/ARMM" indicating therein the number of The check. payee and the amount of check, BIR the by be endorsed shall check collection agent/other NCO concerned on the of the check with the words side reverse "For deposit to the account of the NG/ARMM".
RA shall be prepared in seven (7) set of Each set of deposit slip shall be and each copies prepared in six (6) copies. RA shall be consecutively numbered indicating The the calendar year in which the remittance therein made and the number of remittance made during is the calendar year as follows", 92-1
- refers to the first remittance of the BIR/ calendar year during the NCO concerned 1992;
92-31 - refers to the 31st remittance during the calendar year 1992; 93-1 -- refers to the first remittance during calendar year 1993 c.
his books in case of dishonored check and Adjust taxpayer/payor amount from the the collect cash is collected in payment of concerned. If dishonored check the amount shall be deposited with the AGDB branch in accordance with Item No. b.1. If check is issued to replace the dishonored another in check shall be deposited the new check, ' accordance with b.2.
0
d.
The a.
Prepare follows:
report of collections and remittances as
d,i.
SIR collection agents shall continue to prepare the reports required under ,joint Circular No. 81-78A and Finance Circular No. 4-81 dated April 30, 1981 using SIR form No. 12.31 and submit to SIR Fiscal Operations Branch (FOB) of the Revenue Region concerned, copy furnished FEs concerned.
d.2.
Other concerned NCOs shall prepare the report in accordance with TMO dated No. 3-89 February 15, 1989 and submit to FE concerned.
ADDS Branch shall: Validate manually or with a validating machine, if available, the deposit slips and remittance advices by indicating therein the date, amount and official validation number of the remittances. An receipt shall be issued to the SIR collection agent/other concerned NCO for each set of deposit slip and RA. a.1.
The RA for credit to the account of the distributed concerned agency shall be as follows: Original
- to be retained by the AGDB Branch for submission to BTR-Remittance Processing Division (RFD) thru Head Office AGDB
Duplicate
- to be retained by the ADDS Branch for its file
Triplicate
- to be retained by the AGDB Branch for submission to FE
agent/other Quadruplicate - SIR collection concerned NCO for submission to the concerned Chief, FOB Revenue Region/Chief accountant. Quintuplicate - SIR collection agent/other concerned NCO's file Sixtuplicate. -- SIR collection agent/other concerned NCO for submission to Regional Treasurer-ARMM Septuplicate
agent/other - SIR collection concerned NCO for submission to the SIR/other concerned NCO Regional Auditor,
^3
a.2.
The deposit slip for credit to the account of shall be Treasurer-ARMM Regional the distributed as follows: Original -- AGDB Branch - Regional Treasurer Duplicate Triplicate - FE agent/other Quadruplicate - BIR collection concerned NCO for submission Chief, to the concerned Region/chief FOB Revenue accountant agent/other Quintuplicate - BIR collection concerned NCO's file agent/other - BIR collection Sixtuplicate concerned NCO for submission concerned BIR/other the to NCO Regional Auditor
a.3.
deposit slip for credit to the account The NG/ARMM" shall be distributed as "Due to follows:
Origi.nal.
-- AGDB Branch
- Regional Treasurer-ARMM Duplicate Triplicate -. FE agent/other Quadruplicate - BIR Collection concerned NCO for submission Chief, the concerned to Region/chief FOB Revenue accountant agent/other Quintuplicate - BIR collection concerned NCO's file agent/other - BIR collection Sixtuplicate concerned NCO for submission BIR/other concerned to the NCO Regional Auditor b.
Immediately (1) credit the cash remittance to the of the Regional Treasurer-ARMM the sixty account percent (60%) share of the ARMM and (2) transfer to the AGDB HO the forty percent (40%) share of the NG AGDB The the Ticket Exchange Center (TEC). thru shall indicate in the TEC advice that the Branch be credited to the Demand Deposit Accountamount HO. AGDB of the TOP maintained in the ARMM The AGDB Branch shall furnish the FE a copy of the TEC advice and the Regional Treasurer-ARMM, a copy of the credit advice.
c.
Temporarily credit the check remittance to the At the end of each week, the suspense account. from the suspense shall transfer AGDB Branch account the amount equivalent to the cleared check (1) sixty percent (60%) for credit to the Regional
U (2) forty percent (40%) for and Treasurer-ARMM transfer to the AGDB HO for credit to the Demand Deposit Account-ARMM of the TOP. For every transfer, the AGDB Branch shall furnish the FE a copy of the TEC advice. The AGDB Branch shall also furnish the Regional Treasurer-ARMM a copy of the credit advice effecting credit to his account. d.
Debit the suspense account in case of dishonored check and return the check to the BIR collection agent/other concerned NCO. The debit advice shall be issued by the ASDB Branch in five (5) copies to he distributed as follows: Original Duplicate Triplicate Quadruplicate
Quintuplicate e.
f.
3,
- BIR collection agent/other ,concerned NCO's file -- Regional Treasurer-ARMM - FE - BIR collection agent/other, NCO concerned for chief, FOB Revenue Region/ Chief accountant.
- AGDB Branch
Submit monthly bank statement (MBS)and monthly list of remittance (MLR) together with the Original RAs all cash remittances to be distributed reflecting as follows: Original
- to be forwarded to BTr-RPD with the original RAs thru the ASDB Head Office (Accounting Department).
Duplicate
- to he forwarded to the AGDB Head Office for its file.
Triplicate
- to be submitted to the FE concerned with the triplicate copies of RAs.
Quadruplicate
- to he retained by the AGDB Branch concerned.
Submit statement of account reflecting all. transactions affecting the suspense account to the following: f.l.
Regional Treasurer-ARMM
f.2.
FE
The FE shall: a.
records Keep of all RAs, deposit slips, credit advices, debit advices and TEC advices submitted by AGDB branch.
4 . .
4.
5,
6.
b.
Reconcile the monthly bank statement/statement of account, MLR and RAs received from the AGDB Branch with his records and the report of collections and remittances submitted by the BIR collection agent! other concerned NCO.
c.
Submit to the BTr-National Cash Accounting Division at the end of each month report of all, (NCAD) remittances made by the BIR collection agent/other NCO in the ARMM to the AGDB Branch for concerned credit to the TOP account.
d.
Examine the books of accounts and other financial records of the BIR collection agent/other concerned NCO to determine the correctness of the share of NG collection in the ARMM and whether such in the share is actually remitted to BTr.
e.
Furnish the Regional treasurer-ARMM copy of the Reports of Examinations.
The
AGDB HO shall:
a.
Credit the fund transfer of the AGDB Branch to the Demand Deposit Account-ARMM of the TOP and submit Credit Advices to BTr-NCAD.
b.
Submit to the BTr-NCAD a monthly bank statement reflecting transactions affecting all remittances from the ARMM together with supporting documents which shall BTr-NCAD in be the basis of the reconciling its books with the AGDB HO,
The BTr-RPD shall: a.
Verify all RAs and MLRs submitted by the AGDB branch through HO.
b.
Prepare Daily submit to NCAD.
Report
of
Remittances (DRR)
and
The BTr--NCAD shall: a.
Take up in its books of accounts all credit advices by the AGDB HO corresponding to the fund issued transfers from the AGDB Branch.
V Reconcile the report submitted by the FE with the monthly bank statement. c.
Reconcile the monthly bank statement with its records and notify the AGDB HO for any discrepancy for adjustment/correction.
LI
VII.
Penalty Clause The f011owli
9
t_1vi ;i.on=:;
shall be apriicable
Administrative Disciplinary Action/Criminal con cerne d ag ent/other the DIR collection by Failure se .^. o. require :e d t i t _iju st cau se ^:. ..a st ._ tarntt. the report h' ,.I C.C. is with ou _ :ce t..tnratar. this Order s hall subject the collecting t:^^f^`.i.._.r adminis trative ch arge in accordance with Civil to Servi ce Rules and Regulations..
agent/other concerned the SIR collection by Failure the collections remit cause to NCOs without ju;t presc::r-i. bed herein within the pe.-, And provided under. COP!January 1, 1987. ated Circular No. 1--81 DOF Joint administrative shall subject the collecting of with : : o r dan c e Civil. charge or both: in crimlri:: or . `enc+;. Service Rules and etc=rl^..ea._^'t:lor'lsa arlr.9;r;r^. the Revised ... Code.,
VIII. Repealing Provision I nonsistent existing rul es and are hereby revoked or modified accordingly. All
IX.
herewi.ti
Effectivity T
his
Or-tier
shall
take effe
ct
1.
RAMON R. DEL ROSARIO Secretary of Finan
JR
