LETTER OF AUTHORITY (LOA) A LOA IS VALIDLY SERVED TO A PERSON WHO CUSTOMARILY RECEIVES CORRESPONDENCES FROM THE BIR. A LOA is intended to inform the taxpayers of the revenue officers (RO) who are duly authorized to conduct the examination and assessment. Where it was admitted that the person
ASSESSMENT THE REVENUE OFFICER (RO) TASKED TO AUDIT OR EXAMINE THE BOOKS OF ACCOUNTS OF TAXPAYER MUST BE CLOTHED WITH A PROPER LETTER OF AUTHORITY (LOA). An RO must be armed with authority, through an LOA, to conduct the audit or investigation of the taxpayer. Absent such grant of authority
A MEMORANDUM OF ASSIGNMENT (MOA) CANNOT REPLACE A LETTER OF AUTHORITY (LOA). The Deputy Commissioner and other BIR officials authorized by the CIR himself are permitted to issue an LOA. Among the BIR officials expressly authorized by the Commissioner of Internal Revenue (CIR) to issue the LOA are the Assistant
TAX ASSESSMENTS A LETTER OF AUTHORITY (LOA) IS NOT INVALIDATED BY A BUREAU OF INTERNAL REVENUE (BIR) LETTER ADDING ADDITIONAL EXAMINERS. It is presumed that the BIR regularly performed its official duty. The taxpayer must present proof to the contrary. Here, the BIR issued a letter without LOA adding additional examiners,
ON VAT AND PERCENTAGE TAX PROVISIONS (RR No. 3-2024) The EOPT adopts the accrual basis of recognizing sales for both sales of goods and services, including transactions to government or any of its political subdivisions, instrumentalities or agencies, and government-owned or -controlled corporations (GOCCs). All references to “gross selling price”, “gross value in
THE BIR CLARIFIES THE TREATMENT OF FOREIGN CURRENCY TRANSACTIONS FOR FINANCIAL REPORTING AND INTERNAL REVENUE TAX PURPOSES. RMC No. 12-2024, January 22, 2024 Particulars PFRS Current Tax Treatment Initial measurement of foreign currency transactions Recorded in functional currency using spot rate of exchange at transaction date Philippine Peso
SALE OR IMPORTATION OF COVID-19 EQUIPMENT AND DRUGS ARE SUBJECT TO VAT STARTING JANUARY 1, 2024. RMC No. 7-2024, January 11, 2024 The BIR reverses the Value-Added Tax exemption of transactions specified under Section 109 (BB) of the National Internal Revenue Code (Tax Code) of 1997, as amended. Sale or importation
NEW PRICE THRESHOLD FOR THE SALE OF HOUSE AND LOT AND OTHER RESIDENTIAL DWELLINGS FOR VAT-EXEMPT PURPOSES IS P3,600,000 RR NO. 1-2024, JANUARY15, 2024 INCOME PAYMENTS MADE BY JV TO SUPPLIERS ARE SUBJECT TO WITHHOLDING TAX (1%/2%); SHARE OF CO-VENTURE FROM JV NOT TAXABLE AS CORPORATION IS SUBJECT TO
DIGEST OF 2023 SUPREME COURT TAX DECISIONS ASSOCIATION DUES, MEMBERSHIP FEES, AND OTHER ASSESSMENTS/CHARGES ARE NOT SUBJECT TO INCOME TAX, VALUE- ADDED TAX AND WITHHOLDING TAX. They only constitute contributions to and/or replenishment of the funds for the maintenance and operations of the facilities offered by recreational clubs to their
GAIN FROM MANDATED FINANCIAL RESTRUCTURING IS NOT SUBJECT TO INCOME TAX. Section 19 of R.A. No. 10142 states that taxes and fees due to the national government imposed upon the issuance of the commencement order and until the approval of the rehabilitation plan or dismissal of the petition, whichever is
