VAT-Exempt and OPT-Exempt
BUSINESS TRANSACTIONS
VAT Transactions
Allowed w/ input
vat
Includes:
-sales or gross receipts of Vat-
registered business.
-on consumptions or transfer of VAT-
Registered business, deemed sales
Not Allowed with Input
-Annual Sales/Gross Receipts exceeds P1,919,500.
-Non-Vat Franchise grantees of radio and television
broadcasting Gross Rec. of more than P10,000,000.
-Importations except under Sec. 4. 109-1
-Local payment of rent vessel or carriers owned by
NRF entity.
Gross receipts of a domestic corporation
-Transport of passengers and cargo by
air/sea vessels fr. PH to foreign
-Services are paid for in acceptance of
BSP regulations
Sale of Gold to Banko Sentral ng Pilipinas
Foreign currency denominated sale
(except automobile)
Transactions
-Importation of:
ZERO-VAT Rated
*fuel, goods, and supplies by persons engaged in int’l
Transactions transportation.
*Personal Household effects of belonging to
Export sales paid in acceptable resident of the PH returned, and NC settle in the
foreign currency PH(goods are Except from custom)
*Professional Instrument and implements, wearing
apparel, domestic animals, and personal household
SALE OF: effects (for use, not for sale)
-Goods from the Philippines to Foreign country
-Raw materials or packing materials to a nonresident buyer for delivery to
a residents in he Philippines.
Export sales of Non-Vat registered business
-Goods, Supplies, fuel, services, leases f Property to international
shipping/air transport.
-Raw materials and services performed by subcontractor to export
oriented enterprise (sales more than 70% of production) Sales of:
-Considered export sales under:
-Agricultural and marine foods products
*Article 23&77 of EO No.226(omnibus Investment code)
*Special Law Such as R.A. 7227. -Fertilizers, seeds, seedlings, fingerlngs, fish,
prawn, livestocks and poultry feeds.
Effectively Zero-rated sales Transactions with the
Printing or publishing books, magazines, review
Government Units
or bulletin.
Sale of power or fuel through
renewable sources of energy
Service of:
-Agricultural contract growers and milling.
Sale to the following people: -Medicals except:Professional rendered.
-Enterprise registered in (SBMA), -Private Schools accredited by DepEd, CHed, TESDA.
(CDA) and (PEZA) -ROHQ established in the PH
-Final VAT of 5%(VAT)
-Asian Development Bank -Transactions which are exempt from international
registered
-International Rice Research Institute agreement
-Percentage tax 3%(Non-VAT
subj to OPT 3%)
Sales or Receipts of cooperatives that are duly
Withheld the ff: registered with CDA
-1% n purchases of Goods
-2% on purchase of
ESTEVES
services
GABRIEL
GERBANO