Requesting Entity: Bureau of Internal Revenue (BIR)
Issues Concern: Procurement of Information and Communication Technology (ICT) Services
Whether it is proper for BIR to treat its ICT services contracts/projects as general support services under Goods as defined in Section 5(r) of the revised Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 9184, otherwise known as the Government Procurement Reform Act (GPRA).
[I]t is our position that the BIR can best determine based on its primary purpose, motivation and intention, and on the nature of the contract, whether the procurement of ICT services may be classified as Goods, Infrastructure Projects or Consulting Services. For general support services under Goods in Section 5(r) of the IRR of RA 9184, it is important that the services are essential, indispensable, or necessary to support the operations of any PE or for the enhancement of the welfare of its personnel. In exercising this power of determination, the PE should be guided by the parameters and conditions in the relevant provisions of RA 9184 and its IRR on what should be considered as Goods, Infrastructure Projects or Consulting Services procurement.