LOAs now need clearance from BIR chief's office

The Bureau of Internal Revenue has tightened its audit protocols by requiring all Letters of Authority (LOAs) to secure clearance from BIR Commissioner Charlito Martin Mendoza before issuance.

- By KEISHA TA-ASAN

The move comes as the Senate investigates alleged abuses involving LOAs and Mission Orders (MOs). The Department of Finance (DOF) has pledged full cooperation in the probe, saying reforms are essential to protect taxpayer rights.

Mendoza announced the new directive during a Senate Blue Ribbon committee hearing on complaints of arbitrary and repetitive LOAs on Thursday. He said the measure is part of a broader push to strengthen oversight, reduce human discretion and restore confidence in the BIR's audit system.

Responding to a question from Sen. Bam Aquino on immediate reforms, Mendoza said, "All LOAs will be cleared by my office," underscoring that the safeguard aims to prevent overlapping or questionable audit issuances.

In his opening statement, Mendoza stressed the broader mission of rebuilding trust through consistent and transparent enforcement.

"We must eliminate arbitrariness, remove repetitive or overlapping issuances and establish near-time monitoring of ongoing audits," he said.