THE Bureau of Internal Revenue Large Taxpayer Service (BIR-LTS) has identified some 200 corporations and institutions as large taxpayers in Mindanao.
Instead of going to Cebu, these large taxpayers will be catered by the Mindanao BIR-LTS in Davao City.
“LTS is only for corporations. There is no individual that is under the jurisdiction of the LTS. As of last year, 62.44 percent of the total collection of the entire BIR is coming from more than 2,000 large taxpayers. Now, with you as the additional taxpayers to the LTS family, we have 3,063 large taxpayers nationwide. These taxpayers are expected to collect 65 percent of the BIR collection for 2017,” said Jannette Cruz, LTS Head Revenue Executive Assistant (HREA) for Programs and Compliance.
For a corporation or an institution to be considered a large taxpayer, it must be a branch, subsidiary, an affiliate, or a surviving company in case of a consolidation of two companies paying under LTS, or a corporation/multi-national enterprise (MNE) with an authorized capitalization of not less than P300 million.
Universal, commercial, and foreign banks are also automatically considered large taxpayers. However, rural and thrift banks might be considered large taxpayers if they fall under any other classifications to be qualified as such.
Those corporations and institutions operating under the bank, insurance, telecommunications, utilities, petroleum, metallic mineral production, and tobacco and alcohol industries that have authorized capitalization of only at least P100 million can already be considered a large taxpayer.
Representatives from the 200 corporations and institutions were briefed as to how they were qualified as large taxpayers and their assigned audit divisions to transact with in terms of their covered industry during the Large Taxpayer’s Orientation on Monday held at the Garden Oases Hotel by the .
Also, on Monday morning, the new BIR-LTS office was opened in Cabaguio, Davao City to cater to these 200 large taxpayers. Transactions, payments, and any other related services for Mindanao will be made in Davao office and no longer in Cebu City.
