Tiêu đề BATAX 2 Reviewer ✅

BATAX 2: Business and Transfer Taxes Cayabyab 3. It is imposed on the value-added in each stage of production and distribution process – VAT system assures fiscal adequacy through the collection of taxes on every level of consumption 4. It is a credit-invoice method value-added tax VAT payable = Output VAT – Input VAT – Sellers of goods/services pass on to the end-users the liability to pay the tax, who in turn may credit their VAT liability from the VAT payments they receive from the final consumer !! Sellers are acting simply as tax collectors Output Tax – VAT due on the sale, lease or exchange of taxable goods or properties or services by any person registered or required to register Input Tax – VAT due on or paid by a VAT-registered on importation of goods or local purchase of goods, properties or services, including lease or use of property in the course of business Example: Given: Sale = 10,000; Cost = 5,000; VAT = 12% Sale = 10,000 × 12% = 1,200 Output Tax Cost = 5,000 × 12% = (600) Input Tax 600 VAT Payable !! If the input tax inclusive of tax carried over from the previous quarter exceeds the output tax, the excess input tax shall be carried over to the succeeding quarter/s Basis of Value Added Tax (Prior to EOPT) 1. Sale of Goods → Gross Sales 2. Sale of Services → Gross Receipts (EOPT) → Both Gross Sales EOPTA – mandates the use of computing the 12% VAT for both sale of goods and services !! basis of computing VAT for importation, sale of real properties as well as dealer in securities were NOT amended under EOPTA Nature of Transactions Tax Base Sale of goods or properties Gross Sales Sale of services Gross Sales Sale of real property FMV or ZV, (w/c ever is higher) Lease of property Gross Receipts Importation Total Landed Cost Dealers in securities Gross Income Relevant Dates in relation to EOPTA: ● January 5, 2024 – RA 11976 was signed into law by Pres. Marcos ● January 7, 2024 – EOPTA was published in the Official Gazette ● January 22, 2024 – Effectivity of the law; 15 days after publication ● April 11, 2024 – Publication of the revenue regulations implementing the provisions of the EOPTA ● April 26, 2024 – Effectivity of the implementing rules and regulations regarding EOPTA (compliance is mandatory from this date); 15 days after publication. Classification of VAT Registration 1. Mandatory 2. Optional Mandatory VAT Registration 1. If amount of gross sales/receipts (Gross Sales under EOPTA) exceed P3M for the past 12 months (other than those that are exempt) or there are reasons to believe that the gross sales or receipts for next 12 months will exceed P3M 2. Radio and/or television broadcasting companies whose annual gross receipts of the preceding year exceeds P10,000,000 – applies within 30 days from the end of the taxable year whose gross annual gross sales for the taxable year exceeds P10M 3. A person required to register as VAT taxpayer but failed to register