VAT

Question 1

How many years is the option to be VAT registered irrevocable

Answer 1

3 years except for radio and or TV which is lifetime

Question 2

Within how many days can you claim your refund for VAT.

Answer 2

Within 90 days from the date of submission of the official receipts or invoices

Question 3

True or false:
For capital goods, acquired beg Jan 1, 2022, the entire related input VAT shall be claimed during the month the capital goods are purchased irrespective of acquisition costs

Answer 3

True

Question 4

Which products are presumptive input VAT applicable?

Answer 4

Applicable only to agricultural products used as inputs

Question 5

Who may avail of presumptive tax?

Answer 5

• Processor of sardines, mackerel, or milk (e.g nestle fish milk)
• Manufacturer of refined sugar, cooking oil, packed noodle based instant meal

Question 6

True or false:
Sale of real properties not primarily held for sale or held for lease in the ordinary course of trade or business is VATABLE

Answer 6

False

Question 7

True or false:
Consignment of goods if actual sale is made within sixty (60) days following the date such goods were consigned is considered deemed sale

Answer 7

False. Since actual sale na. Should be “not made”

Question 8

True or false:
When an importation is made by a VAT taxpayer, the value added tax shall be based on the dutiable value is customs and tariff are based on quantity or volume

Answer 8

False. It is based on the landed cost

Question 9

True or false:

Export sales by persons who are not VAT registered are zero rated sales.

Answer 9

False. Should be VAT exempt

Question 10

True or false:

There is presumptive tax on sales of goods, properties, and services

Answer 10

False, there is no presumptive tax on services

Question 11

True or false:
Lease of residential units with a monthly rental unit not exceeding, regardless of the aggregate annual gross rentals shall be exempt from VAT but subject to OPT

Answer 11

False. Not subject to OPT

Question 12

True or false:

Sale of residential on Feb, 2022 amounting to PHP1m is not subject to VAT

Answer 12

False, beginning Jan. 1, 2021, the sale of residential a lot alone is no longer VAT exempt.

Question 13

True or false:

Sale of drugs and medicines of pharmacy run by the hospitals to outpatients are subject to VAT

Answer 13

True

Question 14

True or false:

Monthly VAT declaration is filed on or before the 25th day from the end of each month

Answer 14

False: 20th day from the end of each month

Question 15

True or false:

Quarterly VAT return shall be filed on or before the 25th day from the end of each quarter

Answer 15

True

Question 16

True or false:

Sale of marinated fish is exempt from VAT

Answer 16

False

Answer 17

False. Only prizes over PHP10k is subject to 20% final tax, while prizes PHP10k or more are subject to graduated rates.