1. VAT Entities

2. Objectives After this presentation, you should be able to: Determine taxpayers required to register under the VAT system Identify the tax consequence of failing to register as VAT entity Identify entities exempt from VAT Discuss optional registration in VAT

3. Required Registration

4. Natural or Artificial Beings

5. Required Registration Natural or Artificial Beings

6. Required Registration Natural or Artificial Beings

7. Required Registration Natural or Artificial Beings > P 1,919,500.00

8. Required Registration Natural or Artificial Beings > P 1,919,500.00

9. Required Registration Natural or Artificial Beings > P 1,919,500.00

10. Required Registration

14. > P 10 Million

15. Required Registration > P 10 Million

16. Required Registration > P 10 Million

17. Required Registration

18. Existing Business

19. Required Registration Existing Business > P 1,919,500.00

20. Required Registration Existing Business > P 1,919,500.00 Any 12-month period

21. Required Registration Existing Business > P 1,919,500.00 Any 12-month period

22. Required Registration Existing Business > P 1,919,500.00 Any 12-month period

23. Required Registration

24. Register within 10 days after the end of the month when the threshold was met

25. Required Registration Register within 10 days after the end of the month when the threshold was met Liable to VAT on the first day of the month after registration

26. Failure to Register Under VAT

27. Pay VAT on Gross Sales or Receipts

28. Failure to Register Under VAT Pay VAT on Gross Sales or Receipts Input tax cannot be claimed

29. Failure to Register Under VAT

30. Charging of VAT to customers is not allowed

31. Failure to Register Under VAT Charging of VAT to customers is not allowed Fines and penalties will be imposed

32. VAT-Exempt Entities

33. P 100,000 Gross Sales/ Receipts

34. VAT-Exempt Entities P 1,919,500 Threshold P 100,000 Gross Sales/ Receipts

35. VAT-Exempt Entities P 1,919,500 Threshold P 100,000 Gross Sales/ Receipts

36. VAT-Exempt Entities

37. Cooperatives other than electric cooperatives

38. VAT-Exempt Entities P 10 Million Threshold Cooperatives other than electric cooperatives

39. VAT-Exempt Entities P 10 Million Threshold Cooperatives other than electric cooperatives

40. VAT-Exempt Entities

41. Regional Area Headquarters of Multinationals

42. VAT-Exempt Entities Businesses in eco-zones and free port zones Regional Area Headquarters of Multinationals

43. VAT-Exempt Entities

44. Register as Non-Vat Entities

45. VAT-Exempt Entities Register as Non-Vat Entities Pay P500 Registration Pay Except for:

46. VAT-Exempt Entities Register as Non-Vat Entities Pay P500 Registration Pay Except for:

47. VAT-Exempt Entities Register as Non-Vat Entities Pay P500 Registration Pay Except for:

48. Optional Registration as VAT Entity

49. P 1,919,500 Threshold

50. Optional Registration as VAT Entity P 1,919,500 Threshold P 10 Million Threshold

51. Optional Registration as VAT Entity P 1,919,500 Threshold P 10 Million Threshold

52. Optional Registration as VAT Entity

53. P 1,919,500 Threshold

54. Optional Registration as VAT Entity P 1,919,500 Threshold Irrevocable for a THREE YEAR Period

55. Optional Registration as VAT Entity P 1,919,500 Threshold Irrevocable for a THREE YEAR Period

56. Optional Registration as VAT Entity P 1,919,500 Threshold Irrevocable for a THREE YEAR Period

57. Optional Registration as VAT Entity

58. P 10 Million Threshold

59. Optional Registration as VAT Entity Irrevocable PERPETUALLY P 10 Million Threshold

60. Optional Registration as VAT Entity Irrevocable PERPETUALLY P 10 Million Threshold

61. Optional Registration as VAT Entity Irrevocable PERPETUALLY P 10 Million Threshold

63. Thank You!