The Letter of Understanding (LOU) is a document that the Bureau of Internal Revenue (BIR) in the Philippines may use to negotiate payment terms with taxpayers who have unpaid taxes or who have committed tax violations. There are several benefits to using LOU in avoiding garnishment, levy, and distraint from the BIR angle, including:
Avoiding garnishment, levy, and distraint: LOU can help taxpayers avoid garnishment, levy, and distraint by negotiating payment terms with the BIR. This can provide taxpayers with a more manageable payment plan and can help prevent the BIR from seizing assets or funds to satisfy tax liabilities.
Reducing penalties and interests: Through LOU, taxpayers may be able to negotiate with the BIR to reduce their penalties and interests. This can result in significant savings for taxpayers, especially those who have substantial tax liabilities.
Simplifying the payment process: LOU provides taxpayers with a simplified payment process that can reduce the burden on taxpayers who may otherwise have to navigate complex tax laws and procedures. This can help ensure that taxpayers are able to comply with their tax obligations and avoid penalties.
Avoiding legal consequences: By entering into an LOU with the BIR, taxpayers may be able to avoid legal consequences associated with non-payment or non-compliance. This can help protect taxpayers from the risks associated with legal action, such as fines, imprisonment, and damage to reputation.
Overall, LOU can provide significant benefits to taxpayers in the Philippines who are facing garnishment, levy, and distraint from the BIR. By negotiating payment terms and reducing penalties and interests, taxpayers may be able to avoid legal consequences and simplify the payment process. These benefits can ultimately help protect the interests of taxpayers and promote the effective functioning of the government.
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.............................................. DEED OF DONATION
KNOW ALL MEN BY THESE PRESENTS:
This Deed of Donation made and executed by [donor's name], of legal age, Filipino, and with postal address at [donor's address] and TIN [insert 9-digit number], hereinafter referred to as the DONOR, in favor of EMELINO T MAESTRO, CPA, of legal age, Filipino, and with postal address at Unit 101 Saga Centre 62 Scout Chuatoco Barangay Roxas, 1113 Quezon City and TIN 129 596 230 0000, hereinafter referred to as the DONEE, witnesseth:
That the DONOR, of his/her own free will and accord, hereby donates and transfers to the DONE the sum of [amount in words] (Php [amount in figures]) in cash, Philippine Currency, as an act of liberality, which amount shall be considered as a full and complete donation, without any condition or reservation whatsoever.
That the DONOR hereby declares that the above-described cash donation is his/her absolute and exclusive property and is free from any encumbrance or lien.
That the DONE hereby accepts the above-described cash donation and binds himself/herself to hold the same in trust and to use the same for the purpose for which it is intended.
IN WITNESS WHEREOF, the parties have hereunto set their hands this [date] in [place].
................................Donor ..................................................Donee
WITNESSES:
..............................................DEPOSIT YOUR DONATIONS
Emelino T Maestro
Bank of the Philippines Islands
Savings Account No. 1969-0986-91
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