The following data are taken from the records of Loki, not VAT-registered, who owns 

various businesses for the current year 2019:

Gross sales from sale of shoes and clothes

P800,000

Gross sales from his boutique

900,000

Gross receipts from his parlor

500,000

During the month of January , the following data are presented:

Gross sales from sale of shoes and clothes

P80,000

Gross sales from his boutique

100,000

Gross receipts from his parlor

40,000

1. Is Loki subject to VAT? Support your answer.

2. To what percentage tax, if any, will he be subject?

3. Referring to item 2, how much, if any, is his percentage tax?

4. Can Princess register his transactions under the VAT system?

Answer rating: 100% (QA)

Is Loki subject to VAT To determine if Loki is subject to Value Added Tax VAT we need to consider th... View the full answer