O-P

• Export sales


  Sales by persons who are not VAT-registered
• VAT-exempt real property sales


  • Sale of real properties not for sale to customers or held for lease in the ordinary course of trade or business
  • Sale of real properties utilized for low-cost housing and socialized housing as defined by R.A. No. 7279, and other related laws
  • Sale of house and lot, and other residential dwellings with a selling price of not more than 3,199,200
• Even if the real property is not primarily held for sale to customers or held for lease in the ordinary course of trade or business, but the same is used in the trade or business of the seller, the sale thereof shall be subject to VAT being a transaction incidental to the taxpayer's main business (VATABLE)
• Prior to January 1, 2021, VAT-exempt residential real property sales


  • Sale of residential lot valued at 1,919,500 and below
  • Sale of house and lot and other residential dwellings valued at 3,199,200 and below

  For purposes of the residential lot threshold above, if two (2) or more adjacent residential lots are sold or disposed in favor of one buyer from the same seller, for the purpose of utilizing the same as one residential lot, the sale shall be exempt from VAT only if the aggregate value of the properties do not exceed 1,919,500