MANILA, Philippines - To intensify tax collection efforts, the Bureau of Internal Revenue (BIR) has signed agreements with the Philippine National Police (PNP) and the Land Transportation Office (LTO).

The memorandum of agreement (MOA) with the PNP ensures the proper and on-time collection and remittance of withholding taxes of uniformed and non-uniformed personnel of the police force, minimizing instances of erroneous claims.

The agreement includes a general updating of exemptions, requiring PNP personnel to file updated Cetrificate of Update of Exemption and of Employers and Employeees Information (BIR Form no. 2305). It also ramps up information dissemination among PNP personnel by detailing steps to be followed to ensure proper and correct withholding tax deductions.

Tan-Torres said the new agreement would hopefully plug about P240 million in tax leakages from the PNP  due to erroneous and delayed claims.

The MOA with the LTO, done in cooperation with the Insurance Commission (IC), estabilishes the Enhanced Certificate of Cover Verification Facility to verify the registration of motor vehicles covered under the CTPL (Compulsory Third Party Liability) to ensure the timely collection of taxes on insurance policies.

The agreement also allows for information sharing between the 3 agencies.

Meanwhile, Tan-Torres said the BIR is working on similar agreements with the Commission on Audit, the National Bureau of Investigation, and other government agencies.