The Manila Times opinion piece explains how the Supreme Court’s February 4 2025 ruling in the Subic Bay Freeport case clarified that domestic market enterprises (DMEs) are entitled to VAT zero‑rating under the Create Act, overturning earlier BIR issuances that excluded them. It also outlines the conditions under which DMEs can still claim the benefit under the newer Create More law, namely high‑value DMEs with significant investment capital or export sales, and stresses that purchases must be directly attributable to the registered project. The article advises businesses in freeports and ecozones to update their ERP systems, document eligibility, and align procurement processes to avoid disputes.
The Court held that DMEs are entitled to VAT zero‑rating under the Create Act, and the exclusion of DMEs in earlier BIR issuances was void.
High‑value DMEs—those with investment capital over P15 billion in import‑substituting sectors or prior‑year export sales of at least $100 million—can still avail of the benefit under Create More.
Purchases must be “directly attributable” to the registered project or activity, requiring operational evidence of usage.
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Grant Thornton · 11 days ago
The Philippine Bureau of Internal Revenue’s RMC 108-2025, issued on 8 January 2026, expands the list of VAT‑exempt drugs under the TRAIN and CREATE Acts. The new list now covers 675 cancer drugs, 542 hypertension drugs, 323 diabetes drugs, 300 mental‑illness drugs, 173 high‑cholesterol drugs, 154 kidney‑disease drugs and 75 tuberculosis drugs, significantly broadening patient access to essential medicines.
BhaskarEnglish · about 6 hours ago
The 2025 GST exemption for individual health and term insurance in India has not led to significant premium reductions because insurers cannot claim input tax credit on operating expenses. The article explains how insurers absorb costs or adjust premiums, and outlines industry demands for partial ITC restoration and other reforms.
Comarch · 2 days ago
Sri Lanka has launched a national electronic invoicing framework to modernize its tax administration and curb tax evasion. The system, integrated with the existing Revenue Administration Management Information System (RAMIS) via a secure Web API, will roll out in stages, starting with a pilot phase expected to be fully deployed by the end of 2025 and eventually becoming mandatory for all VAT‑registered businesses and B2C POS transactions.
Rödl · 3 days ago
China’s new Value‑Added Tax Law and its Implementing Regulations entered force on 1 January 2026, bringing significant changes to taxable transaction definitions, VAT rates, and taxpayer status thresholds. The law retains the 13 %, 9 %, and 6 % rates, introduces a 3 % levying rate for the simplified tax method, and adjusts the real‑estate VAT rate for individuals to 3 %. Enterprises exceeding RMB 5 million in annual taxable sales must switch to the general taxation method, and the definition of taxable services and intangible assets now focuses on consumption within China or domestic sellers.
Stripe · 4 days ago
This guide explains Australia's e-invoicing landscape, including the Peppol network, current compliance requirements, and projected market growth. It highlights that while private businesses are not yet mandated to use e-invoicing, government entities must, with deadlines set for 2026, and outlines funding and efficiency gains. The article also details the standard format and benefits such as faster payments and reduced errors.
IRAS · 4 days ago
This IRAS guidance outlines the steps for GST registration in Singapore, including e‑learning requirements, GIRO processing, effective dates, and special provisions for overseas entities. It details processing timelines, backdating rules for compulsory registration, and agent appointment obligations for foreign suppliers.
