THE Securities and Exchange Commission (SEC) and Bureau of Internal Revenue (BIR) are working to streamline corporate submissions of audited financial statements (AFS) as part of efforts to reduce redundant compliance requirements.
The two agencies signed a memorandum of understanding (MOU) on July 31, creating a framework for closer coordination on regulatory policies, information governance and public service delivery.
SEC Commissioner McJill Bryant Fernandez emphasized the importance of interagency coordination in implementing regulatory reforms.
“Effective regulation is not achieved by individual agencies acting in isolation. It is reinforced when institutions come together, leverage each other’s expertise, and pursue reforms through a coordinated whole-of-government approach,” he said.
Fernandez said that aligning regulatory efforts would help reduce unnecessary regulatory friction while creating a more efficient, transparent and responsive business environment that supports investment and strengthens compliance.
Meanwhile, BIR Commissioner Charlito Martin Mendoza said the agreement would ensure closer coordination in streamlining the submission of audited financial statements by SEC-registered corporations.
“The MOU with the SEC brings our agencies into closer coordination as we work toward a more streamlined process for the submission of audited financial statements by SEC-registered corporations. It reflects our shared objective of reducing unnecessary duplication and making compliance easier for the business community,” he said.
One of the key initiatives under the partnership is the proposed Unified Audited Financial Statements Submission Portal, which the agencies will pursue through a separate memorandum of agreement.
Once implemented, the portal will provide corporations with a single submission point for their AFS, with the documents securely transmitted to the appropriate receiving systems of the SEC and BIR.
The agencies said the initiative was expected to reduce duplicative submissions, promote consistent and traceable financial information and improve the efficiency of their respective regulatory functions.
The partnership was said to be in line with the government’s ease of doing business agenda and recognize the agencies’ shared reliance on corporate information in carrying out their mandates.
Beyond streamlining compliance, the SEC said the collaboration would also support broader efforts to strengthen the country’s regulatory ecosystem and deepen the Philippine capital market.
