Practice question
An export-oriented enterprise meets the current 70% threshold and all other relevant qualifications. A VAT-registered supplier provides services directly attributable to the export activity, with necessary conditions met. Which treatment follows the applicable Section 108(B)(5) route?
- Automatic exemption identical to every zero-rated sale
- Ordinary VAT solely because the service is performed here
- A rate chosen by the enterprise
- Zero percent VAT
- No tax record is permitted
Legal references
- NIRC Sections 106,108,293(D),295(D), as amended by RA 12066, Sections 6-7,16,18: https://lawphil.net/statutes/repacts/ra2024/ra_12066_2024.html
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