Tax base of VAT on sale of services and lease of properties

Tax base of VAT on sale of services and lease of properties

Cash received (actually and constructively) xxx
Advance payments for future projects xxx
Materials charged with the services xxx
Tax base (gross receipts, excluding VAT) xxx
Add VAT xxx
Total invoice amount xxx



Note:   Receivables, although earned, are not included.

Questions to Ponder:

In the value-added tax on sale of services, the output tax is computed:

A. On billings of the month.

B. On collections of the month on all billings made.

C. On the contract price of contracts completed during the taxable period.

D. Only and strictly on labor performed under the contract for services.

For the correct answers,  I would like to invite you to join my Facebook exclusive groups of aspiring CPAs for my upcoming project “CPA DREAM ACADEMY ” or sign up for flashcards free

CPA Mentor,



About Jonathan Ruiz CPA

Entrepreneur, CPA Mentor, Stock market Newbie Mentor, Influential Author and Master's Degree in International Business graduate in Hult International Business School, UK. A father of two lovely daughters.
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