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CM 201 - RECONCILIATION OF COLLECTION THROUGH AAB AND OTC

Reconciliation of Collection through Authorized Agent Banks (AABs) Over-the-counter (OTC) 

The BSC-CRDC Reconciliation Inquiry is a facility in the CBR System that allows the user to monitor tax revenue collections and remittances together with the discrepancies that may exist between them. This serves as a reconciliation tool, primarily for use by the RDOs/LTDOs/LTS and the Revenue Accounting Division (RAD). It assists them in identifying those AABs with discrepancies between the reported BCS-A and CRDCs for a particular collection period. It also provides assistance in evaluating the collection and remittance performance of the AABs.

BCS-CRDC Reconciliation

The LRDPQAD/LTDO/RDO shall:

  1. Access the CBR BCS-CRDC Reconciliation Inquiry Screen;
  2. Validate collections in the CBR System and ensure that the BCS amount tallies with the CRDC (Annex 200-1.1);
  3. Request RAD to verify accuracy of the posted CRDC data and monitor RAD’s response to reconciliation queries;
  4. Prepares and submit report on collection reconciliation issues on the CRDC discrepancies to the Regional Collection Division/LTS; and
  5. Prepare and submit Report on Frequently Erring Banks to the CPD through the Regional Collection Division/LTS.

The RAD shall:

  1. Receive request from LTDPQAD/LTDO/RDO for verification of posted CRDC data;
  2. Coordinate with AAB-HO in reported discrepancies (Annex 200-1.2);
  3. Monitor AAB-HO response to reconciliation issues raised. In case the AAB-HO fails to respond, report erring banks to the CPD for the imposition of appropriate penalties for non-compliance;
  4. Receive AAB-HO response to reported discrepancies. In case of AAB-HO error, require the amendment of the CRDC and the remittance of collection; compute the corresponding penalties for late remittance (Annex 200-1.3) or the refund, if there is over remittance; and
  5. Notify LTDPQAD/LTDO/RDO on the accuracy of the posted CRDC and the amendment to the CRDC (Annexes 200-1.4 and 200-1.5), if any, based on the report(s) submitted by the AAB-HO.

The LTDPQAD/LTDO/RDO shall:

  1. Determine the possible causes of discrepancy between BCS and CRDC immediately upon receipt of confirmation by RAD on the accuracy of the posted CRDC data;
  2. Require AAB to submit amended CRDC or BCS, in case the discrepancy is due to wrong encoding of RDO code in the CRDC or the BCS;
  3. Coordinate with the concerned AAB branch, in case of erroneously encoded/reported collection date (e.g. one or more BCS were not included by the AAB-HO as part of the remittances for a particular collection date or collection was reported as the remittance for a different collection date), and inform RAD of such error for imposition of appropriate penalties;
  4. Require the AAB branch to remit the unremitted collections, in case of under-remittance of collections, and inform RAD of such omission for immediate issuance of demand notice to AAB-HO for remittance of the collection and imposition of appropriate penalties; and
  5. Require AAB branch to transmit an amended BCS, in case of over-remittance of collections, and inform the said AAB to request for refund if the amendment of the BCS was made after the lapse of the AAB’s float period.

BTr-BIR Collection Reconciliation

The RAD shall:

  1. Receive the CRDC from the AAB-HO, the List of Daily Remittances from the BSP (Annexes 200-1.6, 200-1.7, and 200-1.8), and the BTr JEV from the BTr;
  2. Reconcile the information in the aforementioned reports with the BIR collection data, and coordinate with the AAB-HO, BSP and BTr on noted discrepancies (Annex 200-1.9), if any;
  3. Monitor responses by the AAB-HO/BSP/BTr to reconciliation issues, if any;
  4. Request the AAB-HO/BSP/BTr to make the necessary adjustments in their respective reports/records, in case the discrepancy is attributable to them;
  5. Effect the adjustment in the collection through the BIR JEV, in case discrepancy is attributable to the BIR, and record the same in eNGAS; and
  6. Inform the RDO of the adjustments made, if any, for inclusion in the BIR Form No. 12.09 collection reports [Refer to CM 101.2 Payment through AAB-Collection Reporting (RDO)].

The AAB-HO/BSP/BTr shall:

  1. Receive from BIR-RAD the request for adjustment in the CRDC/BSP List of Remittances/BTr JEV;
  2. Validate the discrepancies reported by the BIR-RAD and make the necessary adjustments on the pertinent reports/documents, if necessary; and
  3. Send the amended CRDC/BSP List of Remittances/BTr JEV to BIR-RAD, if necessary. In case no discrepancy exists upon validation of the BIR-RAD’s request for adjustment, immediately inform BIR-RAD on the results thereof.

Th Regional Collection Division/ LTS shall:

  1. Receive the summary of reconciliation issues submitted by the RDOs/Divisions under their respective jurisdiction;
  2. Consolidate the issues submitted by concerned RDOs/Divisions;
  3. Prepare recommendation on the issues submitted by concerned RDOs/Divisions and forward the same to the ACIR, Collection Service for management information;
  4. Receive and consolidate the RDO/LTDPQAD/LTDO Reports on Frequently Erring Banks; and
  5. Submit the consolidate Report of Frequently Erring Banks to ACIR, Collection Service for monitoring purposes and appropriate action by the CPD [Refer to CM 101.3 Monitoring of Performance of AABs (CPD)].

 

 

[1] RMO No. 28-2001.