DISALLOWED DEPRECIATION & INPUT TAX, MAGNET TO FRINGE BENEFIT TAX

Disallowed Depreciation & Input Tax, FBT Magnet

Emelino T Maestro, Father of Tax Accounting, Tax Guru

According to the BIR Commissioner, if you would purchase a 2.4 million-peso vehicle which is not to be used for the delivery of goods but for the use of a certain personnel, even if you would charge portion of its wear and tear, knowingly called 'depreciation' to your taxable income, it shall not be allowed. This means that you shall have an income tax disadvantage of 720,000 pesos for the duration of the useful life of the said vehicle. Or, in other language, your income tax payments is more than 720,000 pesos than the usual. Furthermore, if you paid 12% VAT for the said vehicle which is more or less 288,000 pesos, this input VAT shall not be allowed as a deduction from your output tax which means that you would shell out an additional amount similar to the VAT attributable to the purchase of the said vehicle. Finally, if you would allow your employee to use the said vehicle for his/her personal use, you are deemed to pay fringe benefit tax.

If you want to know how to get around with these stringent rules, please buy any book of ETM and he would email to you the ways to get around with the same.. Only the buying that is done within November 16 - 30, 2013 (8a - 6p) shall be entitled to receive the answer/solution.

For details, please coordinate with Len

email … jocelyn@maestrotaxation.org

mobile … 0922 862 0922

phone … 02 439 3918

office … Unit 419, Corporate 101, Mother Ignacia, QC

Declaration of Loss Due to Yolanda

To all victims of Super Typhoon Yolanda
Our prayers are for your safety and immediate recovery
by Emelino T Maestro, et. al.

To help and assist taxpayers and businesspeople who were greatly affected by Yolanda, ETM and his group would help them comply with the BIR requirements of reporting the lost of their inventories, properties, records and books so that if they are under BIR investigation or would be investigated by BIR for the 2013 and prior years, they would have a proper and complete papers to show the devastating financial effects of Yolanda to their lives and livelihoods.

Our President, Divine Grace Fresco and our Action Man, Jose Filomar Bas, would gladly help and assist you in documenting your losses. Please be reminded that the BIR-rule requires those who are affected in anyway to file the said documents within 30 days from the date the disaster. Thus, you have until December 11, 2013 to comply with the mandate of the law of the State.

Our telephones are 02-9216107, 02-4393918, 0998-9793922 and 0922-8010922. Our assistance is free of charge.

We felt so sorry for the tragedy that our fellow Filipino and residents of the areas being damaged by Yolanda experienced. Again, we pray for your safety and immediate recovery.

Thanks for reading this and passing this message to those who are in need.