LTO to share database with BIR

In an attempt to track down suspected tax cheats, the Land Transportation Office (LTO) has proposed sharing its database on some 4.3 million motor vehicle owners with the Bureau of Internal Revenue (BIR). According to LTO chief and Transportation and Communications Undersecretary Anneli Lontoc, the agency is set to give the BIR "absolute access" to the LTO’s database, saying that a lot of the information will be useful in spotting possible tax cheats. "One really has to wonder why a person can have four or five expensive cars registered in his or her name, and yet pay only so little in income taxes," Lontoc said. Negros Oriental Congressman Herminio Teves lauded the move, saying that ownership of at least one car means substantial income, and the ownership of several means a lot of income.

Teves, who is author of House Resolution 154 which requires all applicants for motor vehicle registration to submit copies of their latest income tax return, said that it is possible that some of these car owners may have not declared the source of their income to the BIR. While the effort to come after tax cheats is laudable, many are apprehensive that sensitive information contained in the LTO database might fall into the wrong hands and be used for criminal activities.