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Author Topic: Tips and Tricks on BIR (tax payments)  (Read 27887 times)

wedgesunlimited

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Re: Tips and Tricks on BIR (tax payments)
« Reply #15 on: September 27, 2006, 09:14:53 PM »
with assets worth P3 million or less, we could register our businesses on BMBE. Tax exempted na tayo at marami pang benefits. basta punta ka lang sa city hall ng municipality nyo at hingi ka ng registration form. now this is what i call, outsourcing the Accountants in SME level.

Requirements:

for new applicants with assets worth three hundred thousand pesos (P300,000) and less:
        1) Registration as a business entity or enterprise from the appropriate government agency (e.g., Securities and Exchange Commission (SEC) registration in the case of corporation, partnership or association; Cooperatives Development Authority (CDA) registration in case of cooperative; Department  of Trade and Industry (DTI) business name registration in the case of sole proprietorship); and

         2) Mayor's Permit or City/Municipal Business Permit.

for new applicants with assets worth three hundred thousand pesos (P300,00) up to three million pesos (P3,000,000)-

          1) Registration as a business entity or enterprise from the appropriate government agency (e.g., Securities and Exchange Commission (SEC) registration in the case of corporation, partnership or association; Cooperatives Development Authority (CDA) registration in case of cooperative; Department  of Trade and Industry (DTI) business name registration in the case of sole proprietorship);

           2) Taxpayer Identification Number (TIN);

           3) Certificate of Registration from the Bureau of Internal Revenue;

           4) Mayor's Permit or City/Municipal Business Permit;

           5) Sworn affidavit executed by the sole proprietor or the President of the enterprise, as the case may be, that the enterprise is barangay-based and micro-business in nature and scope, in substantially the form attached as Annex "A";

           6) Sworn Statement of Assets and  Liabilities showing the values of assets owned and to be used in the conduct of business, whick shall be supported by pertinent information such as the date of acquisition cost and depreciated value. I the case of asset acquiredduring the year of registration, it shall be supported by any of the following:

            6.1) invoice
            6.2) official receipt
            6.3) contract document of deed

           7) Pictures of the place of business and it's assets, other than cash, receivables and intangibles;

           8) Copy of Loan Contract/s, if any, and Duly-Notarized Certification of Amortization Payments on the loan; and

           9) Income Tax Return (ITR) with proof that it has been duly filed with the BIR, including attachments, if any, (for an existing business only).




INCENTIVES AND BENEFITS

SEC. 7. Exemption from Taxes and Fees. - All BMBEs shall be exempt from income tax for income arising from the operations of the enterprise.

The LGUs are encouraged either to reduce the amount of local taxes, fees and charges imposed or to exempt the BMBEs from local taxes, fees and charges.

SEC. 8. Exemption from the Coverage of the Minimum Wage Law. The BMBEs shall be exempt from the coverage of the Minimum Wage Law. Provided, That all employees covered under this Act shall be entitled to the same benefits given to any regular employee such as social security and healthcare benefits.

SEC. 9. Credit Delivery. - Upon the approval of this Act, the Land Bank of the Philippines (LBP), the Development Bank of the Philippines (DBP), the Small Business Guarantee and Finance Corporation (SBGFC), and the People's Credit and Finance Corporation (PCFC) shall set up a special credit window that will service the financing needs of BMBEs registered under this Act consistent with the Bangko Sentral ng Pilipinas (BSP) policies, rules and regulations. The Government Service Insurance System (GSIS) shall likewise set up a special credit window that will serve the financial needs of their respective members who wish to establish a BMBE. The concerned financial institutions (FIs) are encouraged to wholesale the funds to accredited private financial institutions including community-based organizations such as credit, cooperatives, non-government organizations (NGOs) and people's organizations, which will in turn, directly provide credit support to BMBEs.

All loans from whatever resources granted to BMBEs under this Act shall be considered as part of alternative compliance to Presidential Decree No. 717, otherwise known as the Agri-Agra Law, or to Republic Act No. 6977, known as the Magna Carta for Small and Medium Enterprises, as amended. For purposes of compliance with Presidential Decree No. 717 and Republic Act No. 6977, as amended, loans granted to BMBEs under this Act shall be computed at twice the amount of the face value of the loans.

Any existing laws to the contrary notwithstanding, interests, commissions and discounts derived from the loans by the LBP, DBP, PCFC and SBGFC granted to BMBEs as well as loans extended by the GSIS and SSS to their respective member-employees under this Act shall be exempt from gross receipts tax (GRT).

To minimize the risk in lending to the BMBEs, the SBGFC and the Quedan and Rural Credit Guarantee Corporation (QUEDANCOR) under the Department of Agriculture, in case of agribusiness activities, shall set up a special guarantee window to provide the necessary credit guarantee to BMBEs under their respective guarantee programs.

The LBP, DBP, PCFC, SBGFC, SSS, GSIS, and QUEDANCOR shall annually report to the appropriate Committees of both Houses of Congress on the status of the implementation of this provision.

The BSP shall formulate the rules for the implementation of this provision and shall likewise establish the incentive programs to encourage and improve credit delivery to the BMBEs.


*BMBE Application fee: P1,000





QUESTION! panu pag bazaar are we required to issue receipt pa lalo na kung 1 day bazaar lng???

epe212003 ipe

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Re: Tips and Tricks on BIR (tax payments)
« Reply #16 on: October 02, 2006, 01:57:19 PM »
with regards to VAT, pinasa mo lang naman yan sa Customer mo eh. Ang privilege mo dyan kapag bumili ka sa VATABLE na supplier mo. Magagamit mo yong Input VAT. Siguro, dami damihan mo yong pagbili sa VATABLE na supplier mo para wala ka nang bayaran, he! he!

Sa Income Tax naman,  kailangan marami kang anak para may deduction ka, kapag may apat na anak ka kuha mo yong maximum allowable deduction. he! he!




Jenex Enterprises

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Re: Tips and Tricks on BIR (tax payments)
« Reply #17 on: October 02, 2006, 06:54:17 PM »
Ano po ung input vat?

VTP

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Re: Tips and Tricks on BIR (tax payments)
« Reply #18 on: October 03, 2006, 08:00:39 AM »
Ang VAT po ay isang klase ng sales tax. Kung ikaw po ang nagbenta (assuming VATable entity ka) idinadagdag mo sa iyong selling price ang tax, which is called Output VAT. At kapag ikaw naman ang bumili (assuming VATable entity yung pinagbilhan mo) may tax din na idinadagdag sa presyo, ang tawag naman dun ay Input VAT.


zine

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Re: Tips and Tricks on BIR (tax payments)
« Reply #19 on: October 04, 2006, 07:07:14 PM »
Hi!

regarding tax exemptions,pag sinabi sa BIR Laws na exempted business mo, it is not automatic exemptions, GET/ACQUIRE the necessary exemption certificate or ruling para maging exempted ka talaga....kaya my mga cooperatives na napepenalized dahil sa assumption na automatic exempted sila, dapat meron kang maipakitang certificate or ruling of the exemption

free tip/advice :)

epe212003 ipe

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Re: Tips and Tricks on BIR (tax payments)
« Reply #20 on: October 05, 2006, 12:35:56 PM »
korek..................

xoom

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Re: Tips and Tricks on BIR (tax payments)
« Reply #21 on: October 06, 2006, 01:17:20 PM »
hi zine,

can you possibly pm me your contact details (phone number or email add.) coz i badly need your acounting services right now. thanks maam

byt

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Re: Tips and Tricks on BIR (tax payments)
« Reply #22 on: March 22, 2007, 10:16:52 PM »
vtp,
Are you residing at laguna? kc we need a help of a CPA and gusto po namin ung taga-laguna or kahit malapit lang.

VTP

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Re: Tips and Tricks on BIR (tax payments)
« Reply #23 on: March 27, 2007, 11:55:16 AM »
vtp,
Are you residing at laguna? kc we need a help of a CPA and gusto po namin ung taga-laguna or kahit malapit lang.

actually, nag ri rent ako dito sa parañaque. andito kasi trabaho ko (employed ako sa isang private company). sideline ko lang yung accounting services.

Every week umuuwi ako sa laguna. san ka sa laguna? baka pag saturday e madaanan kita.

o kaya naman, may mga accounting firm din dyan sa laguna. dami nila dyan. pm me your contact # para matawagan kita. kung hindi ako, mag rerefer na lang ako sayo na malapit dyan sa lugar mo.

byt

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Re: Tips and Tricks on BIR (tax payments)
« Reply #24 on: March 28, 2007, 12:11:26 PM »
mgkano po kaya penalty sa percentage tax kasi ang last payment po namin ay dec of 2003 pa at naitransfer po ung biz namin sa sis ko and binago rin ung biz name. Ung biz ala TIN kaya ung TIN ng father ko gnagmit sa percentage tax. Ano po ba kelangan gamitin na TIN? And may ngadvise po sa min na bguhin nlang ung biz name and transfer to another prop para wala penalty. possible po ba to? is it another registration as new biz?

Sherry Ann Hernandez

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Re: Tips and Tricks on BIR (tax payments)
« Reply #25 on: March 28, 2007, 08:39:19 PM »
ang alam ko 3% or 5% nung gross sales for that month plus 1,000.
Pero kung di rin kayo nag issue ng o.r. mas malaki yung penalty.

Manuel Antonio

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Re: Tips and Tricks on BIR (tax payments)
« Reply #26 on: April 03, 2007, 11:22:03 AM »
We can say wala naman trick on tax payments kasi all you need to do is to follow the law.

Basically, as a business owner, ang mga taxes na babayaran mo ay local tax at national tax.

Ang local tax ay yung binabayaran mo sa Barangay na nakakasakop sa business ninyo at sa City/Municipal Hall (also known as Mayor's Permit).

Ang national tax naman ay yung binabayaran natin sa BIR tulad ng income tax at VAT or percentage tax. Ang income tax ay binabayaran quarterly at ito ay base sa net income natin.  Ang net income ay yung difference ng gross receipts or sales natin at ng allowable deductions. Sa totoo lang madalas nagtatalo tungkol sa allowable deductions ang mga businessman at BIR kasi akala ng businessman lahat ng ginastos niya ay pwede ibawas sa gross receipts/sales niya kaso may mga limitations according sa batas (e.g. representation is 1% of gross sales).

Ang VAT naman ay yung 12% ng gross receipts/sales mo. Mapapababa mo ang VAT payable mo kapag may input tax ka. Ang input tax ay yung VAT ng mga goods and services na ginamit mo sa business mo na VATable din --- pero kailangan may receipt ka at yung receipt mo ay nakapangalan sa iyo and most of all necessary sa business mo yung expense (goods/services) na binayaran mo. Ang VAT ay binabayaran monthly (Form 2550M and 2550Q).

Aside from the above, as taxpayer ikaw ay tinatalaga rin ng batas bilang withholding tax agent kung saan lahat ng expenses mo na subject sa income tax ay kailangan mo mag-withheld ng tax. Dalawa klase ang withholding tax --- withholding tax on compensation at expanded withholding tax. Definitely yung withholding tax on compensation ay yung taxes ng mga empleyado mo. Yung expanded withholding tax ay yung mga taxes na ibabawas mo sa mga binabayaran mong expenses tulad ng bayad mo sa accountant na tulad ko. Ang anumang expense na subject sa expanded withholding tax na hindi mo binawasan ng tax ay considered "disallowed expenses" and therefore hindi tatangapin ng BIR as allowable deduction, so, tataas ang net income mo if bumaba ang allowable deduction mo di ba?

May mga annual requirement pa ang BIR tulad ng annual audited financial statement na ia-attach sa annual income tax return mo, annual registration fee of P500 na kailangan bayaran on or before January 31 of each year, pagpapatatak ng libro (general journal, general ledger, sales journal, cash receipts journal, cash disbursement book), at yung annual information sheet tulad ng alpha list of withholding taxes withheld both sa compensation at expanded.

Ang kadalasan problema ng businessman ay ang hindi pagpa-file ng mga tax returns. Malaki ang penalties sa non-filing or even late filing. Minsan sa penalties pa lang ubos na kinita ng isang businessman. And for your information, the moment na nabigyan ka ng Certificate of Registration ng BIR, yung negosyo mo ay considered na agad na in operation kaya dapat makapagpa-print ka na agad ng receipts kung saan binabase ng BIR ang iyong gross receipts/sales (Official Receipts if you're a Service Entity while Invoice if you're either a Trading or Manufacturer).

By the way, kung naguguluhan na kayo sa mga pinagsasabi ko, kaya ko gawin yan para sa inyo at minimal service fee. May mga clients ako sa Metro Manila (Makati, Pasig and Paranaque) at sa Rizal (Cainta and Tayta) at plano ko mag-expand sa Cavite and Laguna area. Nagbibigay din ako ng one-on-one tutorial if ang gusto ninyo ay matutuhan ninyo lahat ng ito hands-on with your business or if gusto ninyo na turuan ko yung secretary or bookkeeper ninyo.

For inquiry you may email me at [email protected] or PM ninyo ako dito or text or call 0928-3847254.


byt

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Re: Tips and Tricks on BIR (tax payments)
« Reply #27 on: April 04, 2007, 12:19:42 PM »
paano po kung ung mga employees mo exempted sa withholding tax (personal exemption is higher than income and ung iba below 65k annual income) dba wala po kaltas yun so allowed pa ung salary nila as expenses and ung premiums sa insurance plan can it be classified as exepenses?

Manuel Antonio

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Re: Tips and Tricks on BIR (tax payments)
« Reply #28 on: April 04, 2007, 01:05:11 PM »
paano po kung ung mga employees mo exempted sa withholding tax (personal exemption is higher than income and ung iba below 65k annual income) dba wala po kaltas yun so allowed pa ung salary nila as expenses and ung premiums sa insurance plan can it be classified as exepenses?


Yes basta monthly mag-file ka ng BIR Form 1601-C, check mo lang yung "NO" sa upper part (Item 4-Any Taxes Withheld?) tapos lagyan mo lang ng "NO PAYMENT" sa Line 18 (Total Amount Still Due). In case hindi ka mag-file ipepenalty ka ng BIR for non-filing (or late filing).

Also, mag-file ka ng AlphaList every January ilagay mo dun yung total salary binayad mo sa employee/s mo and yung comp*tation of taxable income... definitely, zero ang taxable income.  If hindi ka mag-file, penalty ka uli.

To avoid penalties, lahat ng nakalagay sa tax type mo i-file mo on or before due dates.

byt

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Re: Tips and Tricks on BIR (tax payments)
« Reply #29 on: April 05, 2007, 08:30:03 PM »
kelangan pa po ba talaga mgfile kahit exempted sa withholdingtax and is it every employee? About dun sa percentage tax po is it really 3% of GROSS SALES kasi may chance na madala ung capital mo kung mahina ang sales mo. How about the operational expenses hindi po ba dapat less na un before multiply it by 3% or dun sa net.