Policy Proposal to Further Strengthen Local Fiscal Capabilities
POLICY PROPOSAL TO FURTHER STRENGTHEN LOCAL FISCAL CAPABILITIES
Optimal Revenue Administration
Over the decades, the Philippines has suffered from persistent fiscal imbalances, resulting in consistently low delivery of public services such as infrastructure, education and health among others and up to this time we continue to borrow money from other countries just to compensate with a very low revenue collection. Our foreign debts continue to eat up our budget (comprising 19% or ___ billion pesos) leading us to a more poverty situation.
One best fiscal policy that is worth much attention of our government leaders is Revenue Administration. One main source of this is efficient taxation. In the light of the current fiscal crisis, it is very important for the Bureau of Internal Revenue (BIR) to restudy its tax administration strategies as it is faced with the challenge of balancing between taxpayers rights and meeting its collection goals.
Among the following are proposals for effective and efficient revenue administration:
1. Develop Reforms in the BIR through information systems Computer engineering actually was already started in the BIR with its Electronic Tax Information System (ETIS), Automated Excise Declaration & Management System, and Automated Auditing Tools (AATS). ETIS will reengineer and computerize the business processes of BIR to enhance tax administration through full operational efficiency. Its goal is to modernize BIR and provide an enhanced tax administration system that can be fully utilized by the agency nationwide. This will increase operational efficiency in registering taxpayers, processing tax returns and accounting payments. AATS on the other hand, are computer software and hardware for the conduct of computer-assisted audits which promote proper taxpayer compliance in filing and paying taxes. It will make possible the maintenance and submission by large taxpayers of tax records in digital form. Tax auditing
Optimal Revenue Administration
Over the decades, the Philippines has suffered from persistent fiscal imbalances, resulting in consistently low delivery of public services such as infrastructure, education and health among others and up to this time we continue to borrow money from other countries just to compensate with a very low revenue collection. Our foreign debts continue to eat up our budget (comprising 19% or ___ billion pesos) leading us to a more poverty situation.
One best fiscal policy that is worth much attention of our government leaders is Revenue Administration. One main source of this is efficient taxation. In the light of the current fiscal crisis, it is very important for the Bureau of Internal Revenue (BIR) to restudy its tax administration strategies as it is faced with the challenge of balancing between taxpayers rights and meeting its collection goals.
Among the following are proposals for effective and efficient revenue administration:
1. Develop Reforms in the BIR through information systems Computer engineering actually was already started in the BIR with its Electronic Tax Information System (ETIS), Automated Excise Declaration & Management System, and Automated Auditing Tools (AATS). ETIS will reengineer and computerize the business processes of BIR to enhance tax administration through full operational efficiency. Its goal is to modernize BIR and provide an enhanced tax administration system that can be fully utilized by the agency nationwide. This will increase operational efficiency in registering taxpayers, processing tax returns and accounting payments. AATS on the other hand, are computer software and hardware for the conduct of computer-assisted audits which promote proper taxpayer compliance in filing and paying taxes. It will make possible the maintenance and submission by large taxpayers of tax records in digital form. Tax auditing