In a bid to mask their inadequacy in meeting collection objectives and rationalize a bigger budget, BIR is requiring all private individuals earning over half a million to submit so-called Annual Information Return (AIR) which is essentially a Statement of Assets and Liabilities and Net Worth (SALN) which is required from public officials and government employees. Apparently, BIR is wondering why the top Filipinos in the Forbes’ Richest List are not on their list of top individual taxpayers. Hence, this new scheme.
Duh! If you’re that rich, you’re probably very smart. And if you’re very smart, you’re probably drawing only a minimal taxable salary and instead own whole companies. For example, Carlos Slim, who at $74B is on top of the Forbes list, travels in a Chevy Suburban (but armored, no doubt) and limits his monthly salary to $24,000 dollars. Tax that!
Aside from the warped logic, there’s the further intrusion to privacy of private individuals, the dubious effectiveness of the measure, and the timing. They originally want this AIR submitted by April 15! Good think they got some sense left and will require it only by next year so no need to worry about it this year.