VALUE-ADDED TAX

TRANSACTION DEEMED SALE

1. Transfer, use or consumption not in the

course of business of goods or property originally
intended for sale or for the use in the course of
business.
2. Distribution of transfer to:
 shareholders or investors as share in the
profit of VAT- registered persons
 Creditors in payment of debts or obligation
3. Consignment of goods if actual sale is not
made within 60 days following the date such
goods were consigned.
4. Retirement from or cessation of business,
with respect to the inventories of taxable goods
existing as of such retirement or cessations.
 SALE OF REAL PROPERTIES

1. Sale of residential lot with gross selling price

exceeding Php 1,919,500 .
2. Sale of residential house and lot or other
residential dwellings gross selling price
exceeding Php 1,919,500
3. Installment sale of residential house and lot or
other residential dwellings with the gross
selling price exceeding Php 1,000,000
4. Real estate investment plan.
GROSS SELLING PRICE
Actual collection(exclusive of the VAT) x Zonal Value x 12%
Agreed consideration (exclusive of the VAT)

SALE ON INSTALLMENT OR ON DEFERRED

PAYMENT
- sale of real property by a real dealer, the
initial payments of which in the year of sale do not
exceed 25% of the gross selling price
INITIAL PAYMENTS

The payments which the seller receives before or

upon execution of the instruments of sale and
payment which the seller is scheduled to receive
in cash or property during the taxable year when
the sale or disposition of the real property was
made.
ADVANCE VAT
1. On transport of naturally grown and planted
timber products.
2. Sale of refined sugar:
 Raw cane sugar

 Refined sugar

3. Sale of Flour Milled from imported wheat

4. Sale of jewelry, gold and other metallic minerals
VAT ON SALE OF
SERVICES AND USE OR
LEASE OF PROPERTY
“SALE OF EXCHANGE”
MEANS THE PERFORMANCE OF
ALL KINDS OF SERVICES IN THE
PHILIPPINES FOR OTHERS FOR A FEE,
REMUNERATION OR CONSIDERATION,
INCLUDING THOSE PERFORMED OR
RENDERED BY:
1. CONSTRUCTION AND SERVICE
CONTRACTOR
2. STOCK, REAL ESTATE,
COMMERCIAL, CUSTOMS AND
IMMIGRATION BROKER
3. LESSOR OF PROPERTY, WHETHER
PERSONAL OR REAL
4. WAREHOUSING SERVICE
5. LESSORS OR DISTRIBUTORS OF
CINEMATOGRAPHIC FILMS