RR No. 04-2004: Supplements the rules on the advance payment of Value-Added Tax on sale of refined sugar

Key points

1. Advance VAT payment. The owner or seller pays the advance VAT to the BIR before any refined sugar can be withdrawn from a refinery or mill.
2. Release to a cooperative. When a duly accredited and registered agricultural cooperative of good standing owns or withdraws the sugar and presents the Authorization Allowing the Release of Refined Sugar, the mill or refinery may release it. It first notifies the Revenue District Officer or assigned duty officer with jurisdiction over the mill of the time and date of release and the names and plate numbers of the carrying trucks.
3. Mill or refinery duty. The proprietor or operator allows no withdrawal of refined sugar without advance payment of VAT and proof of payment. The exception is sugar owned and withdrawn by the cooperative.

Who is affected

• Owners and sellers of refined sugar
• Sugar mills and refineries
• Accredited and registered agricultural cooperatives of good standing

Deadlines and effectivity

• Advance VAT paid before withdrawal from the refinery or mill