ow many of the abovementioned statements are correct?
On January 28, 2021, Chang Pharmaceuticals sold medicines to the Department of Health for P700,000. These medicines were previously purchased from a supplier for P448,000 (VAT-inclusive).
Here Please note that VAT Percentage in Philippines was 12% in this regard in the calculation of the VAT Payable in this regard as well. Expenses which are related to VAT registration is eligible for the deduction in the total VAT Payable calculation as well.
Statement One. The VAT payable is P1,000.
Statement Two. The standard input VAT (SIV) on sales to government is zero. Under TRAIN Law, SIV is no longer applicable.
Statement Three. The VAT withheld by the Department of Health is P35,000.
Statement Four. The VAT payable before the 5% creditable input tax is P36,000.
How many of the abovementioned statements are correct?
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