AMENDING THE APPROVED STAFFING PATTERN OF THE BUREAU OF INTERNAL REVENUE BY CREATING NEW DIVISIONS/UNITS THEREIN INCLUDING THE INCREASE OF POSITIONS IN THE EXAMINATION AND CLERI…

WHEREAS, under Presidential Decree No. 1, dated September
24, 1972, the Integrated Reorganization Plan was adopted and made part
of the law of the land;

WHEREAS, pursuant to the Integrated Reorganization Plan, a
staffing pattern was prepared for the Bureau of Internal Revenue which
was subsequently approved by the Reorganization Commission through the
Budget Commission; and

WHEREAS, there is an urgent need to create new
divisions/units in the Bureau of Internal Revenue including the increase
of positions in the examination and clerical groups therein and to
amend Part IV; Chapter I, Article II, paragraphs 10 and 11, of the
Integrated Reorganization Plan in order to effectively carry out the
desired reorganization as envisioned in the Integrated Reorganization
Plan;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution as
Commander-in-Chief of all the Armed Forces of the Philippines, and
pursuant to Proclamation No. 1081, dated September 21, 1972, and General
Order No. 1, dated September 22, 1972, in order to effect the desired
changes and reforms in the Bureau of Internal Revenue, do hereby order
and decree the following:

SECTION 1. An Investment Incentives Division is hereby
created under the Enforcement Service which shall handle and process all
applications for tax exemptions of industries operating under the Board
of Investments or such other special laws granting incentives to
taxpayers, and tax problems arising out of the operations of the Export
Processing. Zone Authority.

SEC. 2. A Security and Intelligence Unit is hereby
created under the Office of the Commissioner of Internal Revenue to
perform the following functions:

1. To conduct a continuing background investigation on the
   suitability and fitness of applicants for BIR employment and employees
   already in the service;
2. To provide physical security and safety measures for
   personnel, materials, installations and classified documents;
3. To countercheck the printing, storage, distribution and
   accounting of all BIR accountable forms, strip stamps, regular and
   auxiliary labels, documentary and science stamps, official receipts and
   other similar forms as well as to make a periodic or random
   spot-checking of stocks and use of the same in the administrative units
   to which they were distributed and the places of business of the parties
   to which they were issued to effect strict compliance with existing
   provisions of decrees, laws, rules and regulations governing the same;
4. To be on the lookout for and cause the arrest of impostors
   and tax evaders who falsify or simulate BIR accountable forms and other
   evidence of tax payments for the purpose of committing extortion or
   violations of provisions of the National Internal Revenue Code and other
   special laws administered or enforced by the Bureau of Internal
   Revenue;
5. To serve as a point of contact for coordination with
   members of the intelligence community;
6. To initiate, coordinate and integrate all intelligence and
   security activities of the Central Office and the different regions,
   districts and other offices of the Bureau of Internal Revenue including
   the collation and evaluation of data relative thereto; and
7. To perform other related functions.

SEC. 3. As an exception to Part IV, Chapter I, Article II,
paragraphs 10 and 11, of the Integrated Reorganization Plan, a Revenue
Attache Unit with clerical service is re-created in the Bureau of
Internal Revenue which will be under the International Operations
Division, Enforcement Service. These revenue attaches or revenue
representatives, as the case may be, will be stationed in Honolulu, San
Francisco, Los Angeles, Chicago, New York and Washington, United States
of America; Bonn, West Germany; Vancouver and Toronto in Canada;
Bangkok, Thailand; Madrid, Spain; Hong Kong and Tokyo, Japan, and such
other countries as may need the services of attaches in the future. They
will supervise and coordinate the work of revenue attaches assigned to
important cities in the United States, Canada, Western Europe and in
Asian countries where many Filipinos reside or have their place of
business. The revenue attaches or representatives shall be in charge of
the extension services of the Bureau of Internal Revenue abroad insofar
as they relate to the business of Filipino citizens residing or doing
business abroad; coordinate all foreign tax investigations and requests
for information from foreign countries. The revenue attaches will be
designated by the Commissioner of Internal Revenue from among qualified
men in the Bureau of Internal Revenue in the foreign service
establishments of the Philippines. Such internal revenue attaches shall
be entitled to the same rates of cost of living, living quarters and
clothing allowances and pay adjustments as those given officials and
employees of similar rank in the foreign service of the Republic of the
Philippines, to be paid out of the appropriation of the Bureau of
Internal Revenue.

SEC. 4. A Seized and Forfeited Properties Section is
hereby created under the Property Division, Administrative Service, to
administer, under supervision, all seized and forfeited properties of
delinquent taxpayers for the purpose of effecting better custody,
control, sale and recording thereof.

SEC. 5. A Tax Fraud Division is hereby created under the
Enforcement Service to administer the fraud investigation program of
the Bureau; conduct investigation of all suspected violators of the
National Internal Revenue Code and related statutes; attend to cases of
tax violations for criminal prosecution; undertake surveillance and
undercover work; gather, consolidate and interpret intelligence
information relating to tax fraud matters from all available sources for
appropriate action; and perform other related activities.

However, the criminal prosecution of violators of the National
Internal Revenue Code and related statutes shall be undertaken by the
Litigation Division which is under the Legal Service. The Litigation
Division shall also represent the Commissioner before fiscals and other
prosecutors in cases involving criminal prosecution of tax evaders and
violators; and assist fiscals and other prosecutors in the successful
prosecution of such criminal cases.

SEC. 6. Inspection District Offices for new provinces
and districts are hereby created to adequately meet the tax needs of the
people within the territorial jurisdictions thereof.

SEC. 7. Three hundred (300) positions in the Examination
Group and one hundred (100) positions in the General Clerical Group are
hereby created as follows:

	No. of Position		Class Title		Salary Range	Salary Range		Total
	100		Revenue Examiner II Senior		53	P 7,992		P 799,200
	80		Revenue Examiner Supervising		56	9,288		743,040
	60		Revenue Examiner I Supervising		58	10,260		615,600
	40		Revenue Examiner II Supervising		60	11,328		453,120
	30		Revenue Examiner III		61	11,904		238,080
	____							________
	300		Total					P2,849,040
	40		Clerk I		36	3,432		137,280
	30		Clerk II		37	3,612		108,360
	20		Senior Clerk		39	3,984		79,680
	10		Supervising Clerk I		42	4,632		46,320
								_________
	100		Total					P 371,640
								_________
	400		Grand Total					P3,220,680
								========

SEC. 8. All laws, decrees, rules and regulations, or parts
thereof, inconsistent with any of the provisions of this Decree are
repealed or modified accordingly.

SEC. 9. This Decree shall take effect immediately.

Done in the City of Manila, this 9th day of October, in the
year of Our Lord, nineteen hundred and seventy-three.