6:48 AM
philtaxation
Revenue Regulations No. 1-2012 dated December 14, 2012 and effective January 1, 2012 amended Section4.114-3 and (e)(7) of Revenue Regulations No. 16-2005 now requiring ALL VAT-registered taxpayers to submit the following:
a. Quarterly Summary List of Sales, and,
b. Quarterly Summary List of Purchases.
The said summary list of sales and purchases shall be submitted through Compact Disk Reader (CDR). This is required to be submitted not later than 25th day of the month following the close of the quarter. Failure to file the same is subject to penalty of P1,000 for each such failure, unless such failure is due to reasonable cause and not to willful neglect. For the purpose, failure to report each buyer or supplier is a single act or omission punishable but not to exceed P25,000 for the taxable year.
Comments:
This requirements used to be required only for those with sales exceeding P2,500 in a quarter and those with purchases exceeding P1,500,00 in a quarter. With the advent of the Letter Notice and Third-Party matching of the sales and purchases, tax authorities may have found it hard to verify sales and purchases of small and medium entrepreneurs. Thus, this new requirement to patch up the loophole.
Notably, this new requirement is aimed at developing a more reliant database for counter checking reciprocal sales and purchases accounts of buyers and sellers. Those attempting to under state its sales in at risk of discovery as its VAT-registered buyers will point at is as seller so tax authorities will ultimately discover its understatement. Vice-versa, the same concept applies to those buyers attempting to understate its purchases.
Read the FULL TEXT of the Regulations HERE.
"Taxes affect lives, care for taxes and save lives"
a. Quarterly Summary List of Sales, and,
b. Quarterly Summary List of Purchases.
The said summary list of sales and purchases shall be submitted through Compact Disk Reader (CDR). This is required to be submitted not later than 25th day of the month following the close of the quarter. Failure to file the same is subject to penalty of P1,000 for each such failure, unless such failure is due to reasonable cause and not to willful neglect. For the purpose, failure to report each buyer or supplier is a single act or omission punishable but not to exceed P25,000 for the taxable year.
Comments:
This requirements used to be required only for those with sales exceeding P2,500 in a quarter and those with purchases exceeding P1,500,00 in a quarter. With the advent of the Letter Notice and Third-Party matching of the sales and purchases, tax authorities may have found it hard to verify sales and purchases of small and medium entrepreneurs. Thus, this new requirement to patch up the loophole.
Notably, this new requirement is aimed at developing a more reliant database for counter checking reciprocal sales and purchases accounts of buyers and sellers. Those attempting to under state its sales in at risk of discovery as its VAT-registered buyers will point at is as seller so tax authorities will ultimately discover its understatement. Vice-versa, the same concept applies to those buyers attempting to understate its purchases.
Read the FULL TEXT of the Regulations HERE.
"Taxes affect lives, care for taxes and save lives"
