Value added tax (VAT)
Requirement
Most countries in the world have implemented VAT as the most common tax system for consumption.
In the Philippines, the VAT is a broad-based consumption tax that is levied on the sale, barter, exchange or lease of goods or properties and services in the Philippines and on importation of goods into the Philippines. The current rate is 12%.
Businesses that have paid for goods and services inclusive of VAT can claim a credit. The VAT credit, also referred to as input tax credit, is a credit for the tax that is included in the price of business inputs.
M3 solution
These requirements are supported:
- VAT on sales of goods and services
- VAT on purchases of goods and services
- VAT for supplier self-billing
- Required VAT information on invoices
- VAT reporting
- VAT reconciliation
- VAT payments and refunds