(D) Consequence of Issuing Erroneous VAT Invoice or VAT Official Receipt. — (1) If a person who is not a VAT-registered person issues an invoice or receipt showing his Taxpayer Identification Number (TIN), followed by the word ‘VAT’: (a) The issuer shall, in addition to any liability to other percentage taxes, be liable to: (i) The tax imposed in Section 106 or 108 without the benefit of any input tax credit; and (ii) A fifty percent (50%) surcharge under Section 248(B) of this Code; (b) The VAT shall, if the other requisite information required under Subsection (B) hereof is shown on the invoice or receipt, be recognized as an input tax credit to the purchaser under Section 110 of this Code. (2) If a VAT-registered person issues a VAT invoice or VAT official receipt for a VAT-exempt transaction, but fails to display prominently on the invoice or receipt the term ‘VAT-exempt sale’, the issuer shall be liable to account for the tax imposed in Section 106 or 108 as if Section 109 did not apply. (E) Transitional Period. — Notwithstanding Subsection (B) hereof, taxpayers may continue to issue VAT invoices and VAT official receipts for the period July 1, 2005 to December 31, 2005, in accordance with Bureau of Internal Revenue administrative practices that existed as of December 31, 2004. SEC. 114.  Return and Payment of Value-added Tax. — (A) In General. — Every person liable to pay the value-added tax imposed under this Title shall file a quarterly return of the amount of his gross sales or receipts within twenty-five (25) days following the close of each taxable quarter prescribed for each taxpayer: Provided, however, That VAT-registered persons shall pay the value-added tax on a monthly basis: Provided, finally, That beginning January 1, 2023, the filing and payment required under this Subsection shall be done within twenty-five (25) days following the close of each taxable quarter.85 Any person, whose registration has been cancelled in accordance with Section 236, shall file a return and pay the tax due thereon within twentyfive (25) days from the date of cancellation of registration: Provided, That 85 Introduced by Section 37 of the TRAIN Law. National Internal Revenue Code of 1997 (as amended by the TRAIN Law, RAs 11256, 11346 and 11467) 133

Select target paragraph3

Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents