Special InTAX: September 2020 Issue 1 | Volume 5

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

InTAX is an official publication of R.G. Manabat & Co.'s Tax Group

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special intax

Department of Finance

 

The Department of Finance (DOF) issued Revenue Regulations (RR) No. 22-2020, 15 September 2020, to amend certain sections of RR No. 12-1999, as amended by RR No. 18-2013 and RR No. 7-2018, on the due process requirement in the issuance of a deficiency tax assessment.

The RR provides for the replacement of the Notice of Informal Conference (NIC) with Notice of Discrepancy (NOD) to be issued to taxpayers found liable to deficiency tax or taxes. Similar to the NIC, the NOD shall contain the discrepancy or discrepancies in the taxpayer’s payment of his internal revenue taxes, for purposes of the Discussion of Discrepancy, which shall in no case extend beyond thirty (30) days from the taxpayer’s receipt of the NOD. The Discussion of Discrepancy now supersedes the Informal Conference as provided in RR No. 7-2018.

In addition, in case the taxpayer is still found liable to deficiency tax or taxes after being afforded to present his side, the investigating office shall endorse the case to the reviewing office and approving official in the National Office or the Revenue Region Office, for the issuance of a deficiency tax assessment in the form of a Preliminary Assessment Notice (PAN) within ten (10) days from the conclusion of the Discussion.

Further, the RR has annexed the template for the Notice of Discrepancy to be issued to the concerned taxpayer.

 

Attached is the full text of the issuance.

(RGM & Co. Note:  The RR was published in Philippine Star on 17 September 2020.)

RR No. 22-2020

Annex A - RR No. 22-2020

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