Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 216 views

    Salient Features of The TRAIN Law: Atty. Richard M. Fulleros, Cpa, Mba

    Uploaded by

    dhettsooh
    The TRAIN law introduces reforms to the personal income tax, VAT, excise taxes on fuel, tobacco and sugar-sweetened beverages, as well as new taxes on automobiles, cosmetic procedures, donations, estates, and mineral products. It raises the minimum taxable income to P250,000 and removes exemptions. VAT thresholds are increased and more items are exempted. Excise taxes on fuel, tobacco, and sweetened beverages are increased annually until 2023.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd

    Salient Features of The TRAIN Law: Atty. Richard M. Fulleros, Cpa, Mba

    Uploaded by

    dhettsooh
    216 views11 pages
    The TRAIN law introduces reforms to the personal income tax, VAT, excise taxes on fuel, tobacco and sugar-sweetened beverages, as well as new taxes on automobiles, cosmetic procedures, donations, estates, and mineral products. It raises the minimum taxable income to P250,000 and removes exemptions. VAT thresholds are increased and more items are exempted. Excise taxes on fuel, tobacco, and sweetened beverages are increased annually until 2023.

    Original Title

    1581581103316436.pptx

    Copyright

    © © All Rights Reserved

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The TRAIN law introduces reforms to the personal income tax, VAT, excise taxes on fuel, tobacco and sugar-sweetened beverages, as well as new taxes on automobiles, cosmetic procedures, donations, estates, and mineral products. It raises the minimum taxable income to P250,000 and removes exemptions. VAT thresholds are increased and more items are exempted. Excise taxes on fuel, tobacco, and sweetened beverages are increased annually until 2023.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    216 views11 pages

    Salient Features of The TRAIN Law: Atty. Richard M. Fulleros, Cpa, Mba

    Uploaded by

    dhettsooh
    The TRAIN law introduces reforms to the personal income tax, VAT, excise taxes on fuel, tobacco and sugar-sweetened beverages, as well as new taxes on automobiles, cosmetic procedures, donations, estates, and mineral products. It raises the minimum taxable income to P250,000 and removes exemptions. VAT thresholds are increased and more items are exempted. Excise taxes on fuel, tobacco, and sweetened beverages are increased annually until 2023.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 11

    Salient features of the

    TRAIN law
    ATTY. RICHARD M. FULLEROS, CPA, MBA
    INCOME TAXATION
    1. Starting January 1, 2018, the minimum amount for taxation in the
    graduated scale is P250,000.00
    2. There will be no more basic personal as well as additional exemptions
    3. The exempt 13th month pay shall be P90,000.00
    4. Self employed and professionals (SEPs) whose gross receipts is less than
    P3,000,000.00 may elect to pay the flat rate of 8% or the new graduated rates of
    the TRAIN law
    5. SEPs whose annual sales is P500,000.00 or below are exempt from the 3%
    percentage tax
    New graduated scales
    Bracket Taxable Income per Year Income Tax Rate
    1 P250,000 and below 0%
    2 Above P250,000 to P400,000 20% of the excess over P250,000

    3 Above P400,000 to P800,000 P30,000 + 25% of the excess over


    P400,000
    4 Above P800,000 to P2,000,000 P130,000 + 30% of the excess over
    P800,000
    5 Above P2,000,000 to P8,000,000 P490,000 + 32% of the excess over
    P2,000,000
    6 Above P8,000,000 P2,410,000 + 35% of the excess
    over P8,000,000
    VALUE ADDED TAX
    1. Under the old law, the threshold for the VAT is P1,919,501.00. Under the TRAIN law, the
    threshold is P3,000,000.00
    2. Under the TRAIN law, the following are also exempted from VAT:
    a. Senior Citizens
    b. PWDs
    c. Renewable energy
    d. Tourism enterprises
    e. BPOs in economic zones
    f. Socialized housing, condominium, leases below P15,000.00 per month
    VALUE ADDED TAX
    Starting 2019
    sale of drugs for diabetes, high cholesterol and hypertension are VAT free RR
    25-2018

    Starting 2021
    Socialized housing projects of 2M and below are also VAT free
    SUGAR SWEETENED BEVERAGES
    1. P6 per liter for drinks using sugar and artificial sweeteners
    2. P12 per liter for drinks using high fructose

    Exempted from this provision are the following:


    A. all kinds of milk
    B. 3-in-1 coffee
    C. Natural fruit and vegetable juices
    PETROLEUM AND EXCISE TAX
    FUEL (per liter) 2018 2019 2020

    Diesel P2.50 P4.50 P6.00

    LPG P1 per kg P2 per kg P3 per kg

    Regular and Unleaded P7 per liter P9 per liter P10 per liter
    Premium Gasoline
    AUTOMOBILE EXCISE TAX
    PRICE ON HYBRID CARS HYBRID CARS
    UP TO P600,000 4% 2%
    Over 600,000 to 1M 10% 5%
    Over 1M to 4M 20% 10%
    Over 4M 50% 25%
    TOBACCO EXCISE TAX
    TAX IMPOSED SCHEDULE

    P32.50 January 1 to June 30, 2018

    35.00 July 1 to December 31, 2018

    37.50 2020 – 2021

    40 2022 – 2023

    Annual 4% increase 2024 onwards


    MINERAL PRODUCTS
    Excise Tax 2018 2019 2020

    COAL P50.00 P100.00 P150.00

    Copper and other 4% 4% 4%


    metallic minerals
    Gold and Chromite 4% 4% 4%

    Indigenous petroleum 6% 6% 6%
    COSMETICS TAX DONOR’S TAX ESTATE TAX

    A 5% Tax will be imposed on A single tax rate of 6% of net A single tax rate of 6% based on
    cosmetic surgery or medical donations will be imposed for the net value of the estate with a
    procedures for purely aesthetic gifts above P250,000.00 yearly, standard deduction of
    purposes regardless of relationship to the P5,000,000.00 will be imposed
    donor
    Family home – if FMV is more
    than 10M, it is subject to Estate
    Tax. Deductible up to 10M

    You might also like