RMO 25-2023:New Nationwide BIR Payroll System (NBPS) Guidelines

To align with the Philippines’ Bureau of Internal Revenue’s digital transformation roadmap, there is a need to replace the outmoded and obsolete processing of payroll with a more contemporary and progressive payroll system. The Revenue Memorandum Order (RMO) no. 25-2023 issued on July 4, 2023, prescribes the policies, guidelines, and procedures for the preparation and processing of payroll in the National Office and Regional Offices using the new Nationwide BIR Payroll System (NBPS). 

The new NBPS has a full integration module that can accurately capture personnel information necessary for the processing of payroll and the generation of reports. It can generate the weekly or semi-monthly General Office Payroll (GOP) for the salaries, Personnel Economic Relief Allowance (PERA), Representation Allowance and Transportation Allowance (RATA), including other monetary bonuses and incentives. NBPS has the following modules: 

Encoding and updating of personnel information, which includes adding, editing, and viewing it in the Personnel Module in the NBPS, shall be the responsibility of the concerned sections of the Personnel Division (PD) for the National Office and the Administrative Human Resource Management Division (AHRMD) for the Regional Offices. The updates shall be based on the documentary requirements received by PD/AHRMD on or before the 12th day of the month. As soon as the concerned Section Chiefs recommend it for approval by the Division Chief or Assistant Division Chief of PD/AHRMD, it shall be immediately encoded in the NBPS. Documents received after the cut-off date shall be included in the succeeding GOP. If the 12th day of the month falls on a weekend or holiday, the new cut-off date is the next working day. 

Updates on mandatory government deductions and other loans that are authorized to be deducted by the BIR shall be the responsibility of the concerned section of the Accounting Division or Finance Division (AD/FD). The updates shall be done prior to the processing of the monthly GOP and must be supported with the following documents:  

a. Letter requests from employees 

b. Billing from GSIS/PAG-IBIG  

c. Other billing deductions/loans 

All documentary requirements received by the AD/FD on or before the 18th day of the month shall be encoded or uploaded in the NBPS for approval of the Division Chief or Assistant Division Chief as recommended by the concerned Section Chief of the AD/FD in the NBPS. Documents received after the cut-off date shall be included in the succeeding GOP. If the 18th day of the month falls on a Weekend or Holiday, the new cut-off date is the next working day. Other details are specified in the Order. 

The Order defines the roles and responsibilities of the following: 

1. Employee concern 

2. Head of Office 

3. The sections under the Personnel Divisions which are the following: 

1. Manpower and Management Section (MMS) 

2. Information and Records Section (IRS) 

3. Compensation and Benefits Section (CBS) 

4. Performance Evaluation and Management Section (PEMS) 

5. Payroll Section (PS) 

4. The PS-PD/HRMS/AHRMD 

5. BD/FD-Budget Section (FD-BS) 

6. Accounting Division or Finance Division (AD/FD) 

7. FS/Office of the Assistant Regional Director (OARD) 

8. GSD/General Services Section (GSS)-AHRMD 

9. Administrative Services 

10. Human Resource Development Service/Office of the Assistant Regional Director 

The Order defines documentary requirements for new employees, transferred employees from other Government offices, promotions, transfers of employees in compliance with the Revenue Travel Assignment Order (RTAO), employee information changes or updates, salary increments, separated employees, suspension/resumption of salaries of employees, and supplemental payroll. 

The Order shall take effect immediately. The full implementation of the New BIR Payroll System shall be operational for the National and Regional Offices from 2023 onwards.