REVENUE REGULATIONS NO 8-2001 issued August 1, 2001 establishes the policies and procedures for the availment of the Voluntary Assessment Program (VAP). Under the VAP, taxpayers are granted the privilege of last priority in the audit and investigation of all internal revenue taxes for the taxable year ending December 31, 2000 and all prior years. This privilege includes one-time transactions such as Estate Tax, Donor’s Tax, Capital Gains Tax, Expanded Withholding Tax and Documentary Stamp Tax on the sale, exchange, or disposition of real property and/or shares of stocks. The VAP shall also cover taxpayers enjoying preferential tax treatment. Any taxpayer liable to pay any internal revenue taxes for the specified period(s) who erroneously paid his internal revenue tax liabilities or failed to file tax return/pay taxes may avail of the VAP, except those falling under any of the following instances: 1) those covered by a Preliminary Assessment Notice, Final Assessment Notice, or Collection Letter issued on or before July 31, 2001; 2) persons under investigation as a result of verified information filed by a Tax Informer, duly processed and recorded in the BIR Official Registry Book on or before July 31, 2001; 3) tax fraud cases already filed and pending in courts for adjudication; and 4) those with unpaid tax liabilities as reflected in the books of accounts/records or financial statements and tax return of the covered period unless they first pay the same. In case no return was filed in the covered year, VAP availment shall consist of paying the basic tax due on such unfiled return and the additional VAP amount computed in accordance with the conditions set forth in the Regulations. In no case shall the additional VAP payment be allowed unless the tax due for the unfiled and unpaid return has been paid. A taxpayer who has previously filed tax return(s) but feels that he has erroneously paid the amount of tax due may avail of the VAP by paying a VAP amount which should at least be 20% of the basic tax computed based on the tax return originally filed, or the actual unpaid tax due, whichever is higher. If no return has been filed and no payment has been made, the VAP may be availed of by paying 120% of the basic tax due. The VAP payment cannot be used as tax credits in the year of payment as well as in the returns for subsequent year(s), nor as a deduction for internal revenue tax purposes. The Program is valid only until September 30, 2001.