1. b.

LBJ may not register under the VAT system because his sales from
VAT taxable and zero-rated transactions did not exceed
P1,919,500.
2. c. Common carriers transporting passengers by land within the
Philippines
3. b. May be due even if the goods or properties were not actually
sold;
4. d. Sale of goods to an export oriented enterprise
5. c. VAT exempt transactions **3,199,000 each is the threshold
6. c. Transitional input tax credit
7. c. Both (a) and (b)
8. b. On collections of the month on all billings made
9. b. There is a transitional input tax from purchases of
services;
10. a. Balance, net of input taxes
11. b. P216,000

Cash sales P200,000

Open account sales 500,000
Consignment:
0 to 30 days old (on which there were
remittances from consignees of P200,000) 200,000
61 days old and above 900,000
Total VATABLE SALES 1,800,000
VAT RATE 12%
OUTPUT VAT 216,000

12. a. P2,800,000

Local sales to private entities 1,500,000

Export Sales 500,000
Local sales to government 800,000
Total VATABLE SALES 2,800,000

13. d. P63,000

Sales, gross of VAT P 784,000

Output TAX 84,000
Purchases of Corn & Coconut (330,000 x4%) (13,200)
Purchases from VAT suppliers, VAT included:
Packaging Materials 56,000
Supplies 16,800 72,800 x3/28 (7,800)
VAT PAYABLE 63,000

14. a. P20,580

Sales P200,000 Output Tax 24,000

Purchases:
Fresh Fruits 30,000
Raw sugarcane 12,000
Tin Can, gross of VAT 12,320 Input Tax (1,320)
Paper Labels, net of VAT 5,000 Input Tax ( 600)
Cardboard for boxes, net of VAT 8,000 Input Tax ( 960)
Freight, gross of VAT
(50% still unpaid) 10,080 Input Tax ( 540)
VAT PAYABLE 20,580

15. c. P249,600

**Zonal Value 5,200,000 x 12% = 624,000 x 2M/5M =

249,600 Output Tax for 2018

16. a. P0

Zero as in 0 for the sale will no longer qualify as Installment

Sales.

17. a. P414,000

Final Payment on Contracts 2,850,000

Retention 100,000
Materials 500,000
TOTAL Receipts 3,450,000
VAT Rate 12%
Output VAT 414,000

18. b. P9,000

Light Equipment 300,000/36 x 12% 1,000

Heavy Equipment 4,000,000/60 x 12% 8,000
Total Input VAT 9,000

19. b. P80,400

Materials from VAT Supplier 500,000

On contractor’s billing in June 100,000
On contractor’s billing in July 70,000
Total 670,000
VAT Rate 12%
Output Tax 80,400

20. d. P174,000
Output Tax (2,000,000 x 12%) 240,000
Input Tax on Domestic Sales (690,000 x 12%) (82,800)
Input Tax on Zero Rated (2,760,000 x 12%) (331,200)
Refundable VAT (174,000)