- The Ease of Paying Taxes (EOPT) Act was signed into law in the Philippines
- The law introduces measures to facilitate tax compliance
- Value-added tax (VAT) will be imposed on services based on gross sales
- VAT invoices will be required for every sale of goods and services
- VAT invoices will be used to substantiate input VAT claims
- VAT refund claims will be classified into low, medium, and high-risk
- Tax base for percentage taxes will be based on gross sales or “amount billed”
- Business style is not required in VAT invoicing and registration requirements
- The annual registration fee requirement of Php500 has been removed
- BIR registration can be cancelled upon filing an application
- Books must be preserved for five years
- Micro taxpayers are not exempt from withholding taxes
- Implementing rules and regulations (IRR) must be issued within 90 days
- Taxpayers have six months to comply with the amendments on VAT and percentage taxes.
Source: kpmg.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
