Which purchases count

3 quick questions. Pick an answer to see why.

1. Kuting Kitchen pays ₱30,000 rent to a landlord who isn't VAT-registered. How much input VAT can it claim?

₱3,214.29 (the VAT inside ₱30,000) ₱3,600 (12% of ₱30,000) None

A non-VAT seller charges no VAT, so there's no input VAT to claim. The rent is still a business expense, listed as a purchase with no input tax.

2. A VAT-registered supplier sold Kuting Kitchen ₱3,360 of boxes, but the invoice is lost. What can it claim?

₱360, the bank transfer proves it Nothing until there's a valid invoice on file Half of the VAT

Input VAT needs a valid VAT invoice. A bank transfer shows payment, not the VAT.

3. Which purchase gives claimable input VAT?

Household groceries on the company card, with a VAT invoice Lazada's seller fees, with Lazada's VAT invoice for them Treats from a home baker who isn't VAT-registered

Only the Lazada fees meet all three conditions: VAT-registered seller, for the business, valid VAT invoice.

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