TAX PAYMENT UNDER SCRUTINY

Breaking: Banks tighten scrutiny on large payments — even to the BIR.

In the aftermath of the flood control fund controversy, banks are suddenly becoming more cautious — even with legitimate government transactions.

Sources report that Landbank now requires anyone depositing more than P500,000 — including tax payments to the BIR — to disclose extensive personal details: the names, addresses, birthdates, birthplaces, professions, and occupations of both the buyer and seller.

It’s unclear whether other banks have adopted the same policy, but Landbank’s name has come up repeatedly during the flood control hearings, prompting speculation that they’re trying to cover their bases.

The unintended consequence is that ordinary taxpayers could be caught in the crossfire. Imagine a young buyer — perhaps a fresh graduate — paying taxes on a property his parents helped finance. Will the bank refuse the transaction because the declared source of funds doesn’t “fit” the profile?

This mirrors the “Source of Funds Questionnaire” once introduced by former BIR Commissioner Kim Henares, later scrapped by Commissioner Cesar Dulay in his early days in office — and now, in a way, quietly resurrected through banking compliance.

With tax deadlines unforgiving and bank clearances increasingly complex, taxpayers may find themselves missing due dates — not for lack of intent, but because the bank simply won’t take their payment.

Lesson: Watch your timing. The BIR might accept your money — but your bank might not.