Compute the claimable input VAT in 2020. Compute the claimable input VAT in 2021. Mang Nanakaw, a

Compute the claimable input VAT in 2020. Compute the claimable input VAT in 2021.

Transcribed Image Text:

Mang Nanakaw, a VAT registered taxpayer, entered a contract with a government agency to be the sole supplier of paper products for 5 years. The following data were made available to you by Mang Nanakaw: Sales to the government Related purchases 2020 P8,000,000 3,000,000 2021 P8,000,000 3,000,000 Assume that all amounts are VAT-inclusive. Assume further that all related purchases were purchased from VAT registered-taxpayers. Mang Nanakaw, a VAT registered taxpayer, entered a contract with a government agency to be the sole supplier of paper products for 5 years. The following data were made available to you by Mang Nanakaw: Sales to the government Related purchases 2020 P8,000,000 3,000,000 2021 P8,000,000 3,000,000 Assume that all amounts are VAT-inclusive. Assume further that all related purchases were purchased from VAT registered-taxpayers.

Answer rating: 100% (QA)

To calculate the valueadded tax VAT payable by Mang Nanakaw we first need to determine the output VA... View the full answer