Rules on VAT refund for foreigners to be released next year
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Rules on VAT refund for foreigners to be released next year
MANILA -- The Bureau of Internal Revenue said the newly enacted law allowing VAT refunds for goods and services purchased by foreigners will take effect next year.
MANILA -- The Bureau of Internal Revenue said the newly enacted law allowing VAT refunds for goods and services purchased by foreigners will take effect next year.
On Dec. 9, Pres. Ferdinand Marcos Jr. signed a law that allows non-resident tourists to claim a 12 percent VAT refund for products and goods worth at least P3,000 purchased locally from accredited stores. The items should be taken out of the country within 60 days.
On Dec. 9, Pres. Ferdinand Marcos Jr. signed a law that allows non-resident tourists to claim a 12 percent VAT refund for products and goods worth at least P3,000 purchased locally from accredited stores. The items should be taken out of the country within 60 days.
The Palace said the law "aims to stimulate tourism spending, promote Filipino craftsmanship, and position the Philippines as a premier global destination".
The Palace said the law "aims to stimulate tourism spending, promote Filipino craftsmanship, and position the Philippines as a premier global destination".
BIR Commissioner Romeo Lumagui Jr. said they will craft the implementing rules and regulations of the law in cooperation with the Department of Finance and may be released by the first quarter of 2025.
BIR Commissioner Romeo Lumagui Jr. said they will craft the implementing rules and regulations of the law in cooperation with the Department of Finance and may be released by the first quarter of 2025.
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The details of the refund mechanism will be laid out in the IRR.
The details of the refund mechanism will be laid out in the IRR.
"Dahil minsan iyong sa ibang bansa minsan iyong gobyerno nila 'yung naggagawa ng refund, iyong iba may private contractor na gumagawa. So, iba-iba ang sistema," he explained.
"Dahil minsan iyong sa ibang bansa minsan iyong gobyerno nila 'yung naggagawa ng refund, iyong iba may private contractor na gumagawa. So, iba-iba ang sistema," he explained.
"Next year na 'yan dahil marami pang gagawin na pagbabago sa systems natin," Lumagui added.
"Next year na 'yan dahil marami pang gagawin na pagbabago sa systems natin," Lumagui added.
(In some other countries, the government handles the refund, but other countries have a private contractor handling these. So there are different systems available. We'll deal with those next year because we still have a lot of changes to make in our systems.)
(In some other countries, the government handles the refund, but other countries have a private contractor handling these. So there are different systems available. We'll deal with those next year because we still have a lot of changes to make in our systems.)
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