UNDER Republic Act 10963 or the Tax Reform for Acceleration and Inclusion (Train) Law, a taxpayer may file an application for value-added tax (VAT) refund when there is excess input VAT within two years after the close of the taxable quarter when such sales were made.
The time frame to grant or deny such application is 90 days from the date of submission of complete documents such as, but not limited to, tax returns, official receipts and sales invoices. Prior to the Train Law, the Bureau of Internal Revenue had 120 days to process the application.
For all pending VAT refund applications filed prior to 2018, the BIR recently issued Revenue Memorandum Circular 102-2018 last Dec. 5, extending the deadline for processing and approving claims from Dec. 14 until March 29.
Please be guided accordingly.
P&A GRANT THORNTON
Certified Public Accountants
Punongbayan & Araullo (P&A) is the Philippine member firm of Grant Thornton International Ltd.