REPUBLIC ACT NO. 10021
EXCHANGE OF INFORMATION BY THE BUREAU OF INTERNAL REVENUE ON INTERNATIONALLY-AGREED TAX STANDARDS
>The Commissioner can now inquire into bank deposits and other related information held by financial institutions when “A specific taxpayer or taxpayers subject of a request for supply of tax information from a foreign tax authority pursuant to an international convention or agreement on tax matters to which the Philippines is a signatory or a party”. The information may be used by the BIR for tax assessment, verification, audit, and enforcement purposes. The exchange of information shall be done in a secure manner to ensure confidentiality.
>The provision of information to a foreign tax authority requires that the requesting foreign tax authority has provided relevant information such as the identity of the taxpayer, the tax purpose, statement that the foreign authority has exhausted all means, etc.
>If the subject of the request are income tax returns, the same shall be open to inspection upon the order of the President of the Philippines.