VAT service equip its traders
The Adabraka branch of the Value Added Tax (VAT) has organised a two-day workshop for its newly registered traders in Accra. It was aimed at educating the newly registered traders on the operation of the VAT service.
The workshop was also meant to interact with the traders on the challenges facing them. Some of the topics discussed included record keeping and filing of returns.
Mr. Akwesi Nkrumah of the VAT Service urged the traders to keep records for the effectiveness of their business and that of the VAT Service.
He said after the audit report, they found out that most of the traders had done the wrong thing owing to their inadequate knowledge on VAT operations. He hoped that the compliance level would increase after the workshop.
Source: accra-mail.com
It’s final: VAT law legal
ORE THAN TWO months after it froze the 10-percent expanded value-added tax law, the Supreme Court yesterday denied “with finality” all five motions for reconsideration of the administration’s centerpiece tax reform program, paving the way for its implementation.
“The law is supposed to take effect immediately. There is no second motion (for reconsideration) to be allowed,” said Ismael Khan Jr., head of the Supreme Court Public Information Office, following the issuance of the order at 4:30 p.m.
But Assistant Finance Undersecretary Emmanuel Bonoan said the VAT law, or Republic Act No. 9337, would take effect on Nov. 1 after the Department of Finance (DoF) shall have published the “revenue regulation.”
Implementation of the law will further jack up the prices of petroleum products and electricity and other goods and services at a time when Filipino consumers are struggling to cope with record fuel prices.
More: news.inq7.net
VAT Frauds Cost Bulgaria Up to BGN 1.2 B Yearly
Bulgaria’s yearly budget suffers losses of between BGN 600 M and 1.2 B a year, because of tax frauds, the Center for the Study of Democracy (CSD) announced in a report.
According to the General Tax Directorate (GTD), the established losses for the period between 2000 and 2004 are about BGN 300 M per year, but their actual size is much bigger.
An analysis by the Financial Intelligence Agency (FIA) shows that about 30 % of the foul money signals they receive from the financial system are for VAT-related frauds.
As FIA director Vasil Kirov announced, the main obstacle before the effective counteraction of corruption was the reaction of the police and legal system. He expressed his discontent with the fact that out of a hundred tax crimes solved, only eleven had been punished and warned that the lack of proper punishment could be an incentive for more corruption practices.
VAT Frauds Cost Bulgaria Up to BGN 1.2 B Yearly
Bulgaria’s yearly budget suffers losses of between BGN 600 M and 1.2 B a year, because of tax frauds, the Center for the Study of Democracy (CSD) announced in a report.
According to the General Tax Directorate (GTD), the established losses for the period between 2000 and 2004 are about BGN 300 M per year, but their actual size is much bigger.
An analysis by the Financial Intelligence Agency (FIA) shows that about 30 % of the foul money signals they receive from the financial system are for VAT-related frauds.
As FIA director Vasil Kirov announced, the main obstacle before the effective counteraction of corruption was the reaction of the police and legal system. He expressed his discontent with the fact that out of a hundred tax crimes solved, only eleven had been punished and warned that the lack of proper punishment could be an incentive for more corruption practices.
It’s final: VAT law legal
ORE THAN TWO months after it froze the 10-percent expanded value-added tax law, the Supreme Court yesterday denied “with finality” all five motions for reconsideration of the administration’s centerpiece tax reform program, paving the way for its implementation.
“The law is supposed to take effect immediately. There is no second motion (for reconsideration) to be allowed,” said Ismael Khan Jr., head of the Supreme Court Public Information Office, following the issuance of the order at 4:30 p.m.
But Assistant Finance Undersecretary Emmanuel Bonoan said the VAT law, or Republic Act No. 9337, would take effect on Nov. 1 after the Department of Finance (DoF) shall have published the “revenue regulation.”
Implementation of the law will further jack up the prices of petroleum products and electricity and other goods and services at a time when Filipino consumers are struggling to cope with record fuel prices.
More: news.inq7.net
VAT Frauds Cost Bulgaria Up to BGN 1.2 B Yearly
Bulgaria’s yearly budget suffers losses of between BGN 600 M and 1.2 B a year, because of tax frauds, the Center for the Study of Democracy (CSD) announced in a report.
According to the General Tax Directorate (GTD), the established losses for the period between 2000 and 2004 are about BGN 300 M per year, but their actual size is much bigger.
An analysis by the Financial Intelligence Agency (FIA) shows that about 30 % of the foul money signals they receive from the financial system are for VAT-related frauds.
As FIA director Vasil Kirov announced, the main obstacle before the effective counteraction of corruption was the reaction of the police and legal system. He expressed his discontent with the fact that out of a hundred tax crimes solved, only eleven had been punished and warned that the lack of proper punishment could be an incentive for more corruption practices.
Presidential adviser says VAT could be lowered to 15%-16%
VAT could be reduced to a flat 15%-16%, a Russian presidential adviser told reporters Tuesday.
Arkady Dvorkovich, head of the Kremlin’s board of experts, said it would be realistic to lower the VAT rate, currently at 18%, two or three percentage points in 2007, arguing that even such a minor tax cut would result in tangible benefits for companies.
Dvorkovich also said the 10% concession rate for socially important goods should be scrapped but that the government would have to take additional measures to prevent price spikes.
The presidential adviser said a resultant short-term upsurge in inflation would be hard to avoid, but that “as practice shows, the prices will begin to fall again in three months.” He said there were no economic prerequisites for price hikes and that prices would be leveled by competition and retail markups.
Power coop rates to hike because of e-VAT
IF YOU are a Ceneco (Central Negros Electric Cooperative) consumer and paying an average of P100 per month on power consumption, be prepared to see an increase in your bill, maybe starting next month’s.
An increase of 10 percent or about P10/month would show if and when the expanded valu-added tax (e-VAT) is implemented on Nov. 1, 2005.
Ceneco president Ed Guillem said Wednesday they are now preparing a petition to increase power rates.
They hope to submit the petition to the Energy Regulation Commission (ERC) as soon as the National Power Corporatin (Napocor), through Generation Company (Genco), adds 10 percent to its power generation charge to all electric cooperatives in the country.
Last Tuesday, the Supreme Court (SC) ruled with finality that the e-VAT Law, or Republic Act (RA) 9337, is constitutional.
The e-VAT will be imposed on sea fares, air fares, hospital services, doctor’s fee, lawyer’s fee, tolls, water rates and power rates but will exclude agricultural products.
Guillem said Ceneco hopes that a bill of three representatives under the Association of Power Electric Cooperatives (Apec) would get Congress’ approval. The bill seeks an exemption of power cooperatives from the e-VAT Law.
Exec bats for pay hike with expanded VAT implementation
DAVAO City Administrator Wendel Avisado said Thursday there is a need to increase wages and salaries of the working class to meet the soaring prices of basic commodities and the implementation of expanded Value Added Tax (VAT) law on November 1.
“There has to be balance between the government trying to fill in the gap, while also making sure that there are efforts to attain a more sound fiscal management of the government. It must also be able to respond to the needs of the lowly employees, the consumers, or the public in general,” Avisado said in an interview.
The city administrator said the law would enable the country to move forward, pay its external debt, earn more revenues, and at the same time allow the government to implement meaningful projects.
But Avisado was quick to add that the government should also do something about “the consumers’ purchasing power by way of an increase in their wages and salary.”
Shares close lower on political, VAT implementation concerns
Share prices closed lower, returning to their losing streak, as investors cashed-in Wednesday’s gains because of political concerns and worries that the government may decide not to implement a crucial tax measure, dealers said.
The composite index ended down 9.67 points or 0.49 percent at 1,944.62 after trading between 1,942.24 and 1,958.28. Volume turnover totalled 380.24 million shares valued at 951.65 million pesos.
The broader all-shares index retreated 3.84 points to 1,181.80.
Losers outnumbered gainers 38 to 32, while 46 stocks ended unchanged.
On Tuesday, the Supreme Court lifted its three-month-old order freezing the implementation of the new value-added tax (VAT) law.
The finance department said the revenue measure will be implemented from Nov 1, enabling the government to raise an additional 4 billion pesos in revenue during the last two months of the year.
However, doubts remain about whether President Gloria Macapagal-Arroyo, whose popularity has been dropping due to allegations of election-fixing and corruption, will have the political will to implement the revenue measure.
Dealers said there are concerns that higher taxes, which would lead to higher consumer prices, may dampen spending and consumption.