REVENUE MEMORANDUM ORDER NO. 5-2007 issued on April 16, 2007 prescribes the
guidelines and procedures on the verification of 2005 tax returns by the Revenue District
Offices.
Tax Verification Notices (TVNs) shall be issued to cover the verification of all internal
revenue taxes for 2005 only of taxpayers whose 2004 and 2005 Income Tax returns fall under
any of the following criteria:
a. “No Operation” tax returns;
b. Exempt tax returns; and
c. Tax returns reflecting “Net Loss” and/or “No Taxable Income”.
If any of the above criteria is not present in both returns for taxable years 2004 and
2005, TVNs are not authorized to be issued pursuant hereto.
TVNs shall be issued only when the duplicate copies of the 2004 and 2005 Income Tax
returns are attached thereto.
Verification of all cases shall be completed and the corresponding reports shall be
submitted to the concerned Revenue District Officer (RDO) not later than June 15, 2007. The
said reports must be transmitted for review to the Assessment Division on or before June 29,
2007.
To monitor the cases issued herein, the concerned RDO shall report the issuance, status,
assessments and collections on cases covered by TVNs in the following reports as prescribed
under Revenue Memorandum Order (RMO) No. 11-2006 on the 2006 Audit Program of
Revenue District Offices:
Name of Report Reference
a. Monthly Report of Tax Verification
Notices Issued
Annex C of RMO No. 11-
2006
b. Monthly Summary of Assessment
and Collection Activities
A.2 of Annex E of RMO
No. 11-2006
c. Monthly Report of Cases Verified,
Processed and Closed Covered by
Tax Verification Notices
Annex F of RMO No. 11-
2006
The number of this RMO shall be indicated in the aforementioned reports for TVNs
specifically issued under this Order, and shall be submitted by all concerned offices.