Other indexed document · DOC
RA12023
To amend the National Internal Revenue Code of 1997 to subject digital services, including those supplied by nonresident digital service providers, to value-added tax, and to establish the liability of digital service providers to assess, collect, and remit VAT on digital services consumed in the Philippines.
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Document text
Reference copy · verify against the official sourceRepublic Act No. 12023 amends the National Internal Revenue Code of 1997 to bring digital services within the scope of the 12% value-added tax (VAT). The law expands the persons liable for VAT to include those rendering digital services, and provides that digital services delivered by nonresident digital service providers are deemed performed or rendered in the Philippines if consumed in the Philippines. New Sections 108-A and 108-B make resident and nonresident digital service providers liable for assessing, collecting, and remitting VAT on digital services consumed in the Philippines, with Section 114(D) withholding applying when consumers are VAT-registered. Nonresident providers must register for VAT under Section 236(F). The provided text is truncated mid-sentence in Section 108-B, so the remaining amendments are not fully visible.