Why is it so important for businesses to account for expenses at year-end? Is it not more efficient to claim the expenses in the following year when these are paid? If you claim expenses only when they are paid, would such treatment give rise to any potential tax issues in future tax audits by the BIR?
With barely a couple of weeks before the end of the year, accountants are occupied preparing their books of account and other documents for financial and tax reporting purposes.
As we take a closer look at the vulnerabilities, we can come up with strategies that will offer protection for online consumers. Yet we often see eyes rolling whenever the topic of online security and privacy comes up.
Offsetting is also common for companies with multiple transactions with the same counterparty. To cover this arrangement, in 2016, the BIR issued Revenue RMC No. 61-2016, which prescribed policies and guidelines for accounting and recording transactions involving “Netting” or “Offsetting.”
Time flies fast. Counting down to 2022, with less than 60 days left, taxpayers and employers need to gear up for their year-end adjustments or tie up loose ends before the year closes.
As another year draws to a close, employers are once again obliged to pay out the 13th month salaries and to adjust year-end payroll for compliance with withholding tax regulations.
Previously, one had to secure a confirmatory tax-free ruling to transfer legal title over certain business assets transferred via tax-free exchanges (TFEs). The requirement has been revoked with the passage of Republic Act No. 11534 or the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law, ratified on...
With the end of the year approaching, most people start preparing for the holidays. For accountants and tax practitioners, this is also the time to plan for year-end statutory obligations.
In the last four years, two major tax reform measures — the TRAIN Act and the CREATE Act — have been signed into law. TRAIN entered the statute books in December 2017 and CREATE in March 2021. The reforms reduced income tax rates for individuals and corporations.
PEZA MC 2020-011 allowed registered business enterprises (RBEs) belonging to the Information Technology-Business Process Management (IT-BPM) sector to adopt pre-emptive measures to forestall or contain the adverse effects of the COVID-19 pandemic.
One of the basic tenets to achieving a sound taxing system is theoretical justice. In principle, theoretical justice dictates that tax laws should be equitable, that is, they should be based on the taxpayer’s ability to pay.
In March 2020, only Filipinos with their children and foreign spouses, accredited foreign government/international organization officials, and foreign airline crew were allowed entry.
