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REPUBLIC OF THE PHILIPPINES ttlll
DEPARTMENT OF FINANICE
BUREAU OF INTERNAL RE\IENUE
Quezon City

September 24,2020

REvENUE MEMoRANDIM cTRCIILAR No" /10- 20 20

SUBJECT Clarifications on the Proper Modes of Service of an Electronic
Letter of Authority

TO All Revenue Officers, Employees and Others Concerned

Under item III.23 of Revenue Memorandum Order (RMO) No. 19-2015, the Revenue
Officer (RO) authorized to conduct examination of the books of accounts of a particular
taxpayer shall present/serve a copy ofthe electronic Letter of Authority (eLA) to the concerned
taxpayff in accordance with Section 3.1.6 of Revenue Regulations No. 12-99, as amended by
RR No. 18-2013. Since there are times when the concerned taxpayer or his authorized
representative, or authorized officer in case ofa non-individual taxpayer, could not be found
in the registered address, the detailed procedures on the modes of service of assessment notices,
in accordance with those prescribed in the regulations, axe laid out in RMO No. 40-2019.

Considering that the said regulations cover the service of assessment notices only, there
are ROs who may not be aware that the same modes of service apply to the service of an eLA
despite its adoption in RMO 1,9-2015. Hence, clarifications for the proper service of eLA are
presented below:

1. The eLA shall be served to the tacpayer through personal service by delivering
personally a copy ofthe eLA at his registered or known address or wherever he may be
found. A known address shall mean a place other than the registered address where
business activities of the party ar.e conducted or his place of residence.

Personal or substituted service of the eLA shall be effected by the RO assigned to the
case. However, such service may also be made by any BIR employee duly authorized
for the purpose.

2. In case personal service is not possible, the eLA shall be served either by substituted
service or by mail. However, substituted service can only be resorted to when the party
is not present at the registered or known address.

2.1 Substituted service shall be done as follows:

2.1.1 The eLA may be left at the party's registered address, with his clerk or with
a person having charge thereof.

2.1.2 If the known address is a place where business activities of the party are
'conducted, the eLA may be left with his clerk or with a person having charge
thereof.
 2.1.3 If the known address is the place of residence, substituted service can be
made by leaving the eLA with a person of legal age residing therein.

2.1.4 If no person is found in the party's registered or known address, the Revenue
Officers (ROs) concemed shall bring a barangay official and two (2)
disinterested witnesses to the address so that they'rnay personzilly observe
and attest to such absence. The original copy ofthe eLA shall be given to
said barangay official. (See required details of acknowledgement of receipt
in item no. 4, hereof)

2.1.5 Should the parry be found at his registered or known address or any other
place but refuses to receive the eLA, the ROs concerned shall bring a
barangay official and two (2) disinterested witnesses in the presence of the
party so that they may personally observe and attest to such act of refusal.
The original copy of the eLA shall be given to said barangay official. (See
required details of acknowledgement of receipt in item no. 4, hereof)

"Disinterested witnesses" refer to persons of legal age other than employees

of the Bureau of Internal Revenue.

2.2Service by mail shall be done by sending a copy of the eLA through -

2.2.1 Registered mail with an instruction to the Postmaster to retum the mail to
the sender after ten (10) days, ifundelivered; or

2.2.2 Reputable professional courier service; or

2.2.3 Ordinary mail, if no registry or reputable courier is available in the locality

ofthe taxpayer.

3. The envelope containing the eLA, when served by registered or ordinary mail or by a
reputable courier service, must be accomplished as follows:

3.1 To be printed/stamped on the lower portion of the front of the envelope

Return to Sender:

Il Moved Out t_l Forwarding Address:

t_l Unknown
tf Refused to accept
[-| No One to Receive f-] Others:
J-J Insufficient Address

3.2 To be printed/stamped on the backside of the envelope, the instruction

"If undelivered within ten (10) days, please return to (indicate specific BIR gffice
and Address)."
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RECORDS MGT. DIVISIOI.I

4. For eLAs that are served to the taxpayer through personal or substituted service, the
following statement shall be indicated at the back of the duplicate copy of the eLA:

ACKNOWLEDGEMENT OF RECEIPT

(To be accomplished by recipient)

Date of Receipt

Printed Name, with PositionlDesignatiorrl Signature of Person Acknowledging

Relationship if Made on Behalf of the Receipt
Taxpayer Named on the eLA

Printed Name and Position of Signature of Barangay Official

Barangay Official

Signature Over Printed Name of Witness Signature Over Printed Name of Witness

(To be accomplished by the server)

Please check: tf No person found in the taxpayer's registered or known address

tl Party refused to receive the electronic Letter of Authority

I hereby certify that the original copy of this electronic Letter of Authority was duly
served by me, same having been received by on the date
mentioned above.

Signature Over Printed Name of the Revenue

Officer Who Served the eLA

5. The following documents, shall be attached to the docket of the case:

5.1 Duplicate copy of

the eLA duly received by the taxpayer/authorized
representative or person mentioned under item no. 2.1 hereof, in case of personal
or substituted service; or

5.2 ln case of service by mail, the duplicate copy of the eLA, together with the
following proofs of service:

5.2.I Registry receipt issued by the Philippine Postal Corporation (PhlPost), or

the official receipt issued by the professional courier company (PCC); or

5.2.2 Registry return card or proof of delivery if mailed through the PhlPost, or
proof of delivery if mailed thru PCC; or
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RECOI(DS MGT. DIVISION
 5.2.3 In case of undelivered eLA, the envelope containing the eLA and notice
given by the postmaster to the addressee duly certified by the postmaster,
or certification from the PCC stating the detailed
circumstances/reason(s) ; or

5.2.4 Any other pertinent document executed with the intervention of the
PhlPost/PCC company.

6. Service of eLAs by mail or through professional courier issued by the regional offices
shall be the responsibility of the Administrative and Human Resource Management
Division (AHRMD). Thus, the Chief of the AHRMD shall ensure that the return
cards/proof of delivery, unclaimed envelopes and other documents mentioned in item
nos. 5.4 and 5.5 above, in case of unclaimed notices, are retrieved from PhlPost/PCC
and transmitted without delay to the concemed Revenue District Offrce.

7. Personal service shall be complete upon actual delivery of the eLA to the taxpayer or
his representative. Service by registered mail is complete upon actual receipt by the
taxpayer or after five (5) days from the date of receipt of the frst notice of the
postmaster, whichever date is earlier. Service by ordinary mail is complete upon the
expiration of ten (10) days after mailing.

8. Service to the tax agent/practitioner, who is appointed or authorized by the taxpayer

in accordance with existing revenue issuances, shall be deemed service to the taxpayer.

All are enjoined to give this Circular a wide publicity as possible.

- f.*q
CAESARR. DULAY
Commissioner of Internal Revenue

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