- CREATE MORE law clarifies VAT treatment of local sales by registered business enterprises (RBEs).
- Local sales are subject to 12 percent VAT.
- Local sales include sales to domestic market enterprises or non-registered business enterprises.
- Buyers are responsible for remitting VAT due on local sales.
- Implementing rules for VAT remittance on local sales are complex.
- Revenue Regulations No. 09-2025 distinguishes VAT remittance responsibility based on business-to-business (B2B) or business-to-consumer (B2C) transactions.
- For B2B transactions, buyers are responsible for remitting VAT.
- For B2C transactions, the buyer is responsible for remitting VAT.
Source: businessmirror.com.ph
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.
