BIR MEMORANDUM CIRCULAR NO. 4-98

: The main policy is to provide equitable relief to a greater number of taxpayers to improve their disposable income and increase economic activity.
: Any person who in the course of trade or business sells, barters, exchanges, leases goods or properties, renders services, or imports goods is subject to the payment of VAT.
: It means the regular conduct or pursuit of a commercial or economic activity, including transactions incidental thereto, by any person regardless of whether the person is a non-stock, non-profit private organization.
: It further qualifies that any business pursued by an individual where the aggregate gross sales or receipts do not exceed P100,000.00 during any 12-month period shall be considered principally for subsistence or livelihood and not in the course of business.
: Aggregate gross sales or receipts not exceeding P100,000.00 during any 12-month period.
: Yes, they are still required to register.
: Yes, they are exempted from the payment of the registration fee prescribed under Sec. 236 (B) of the Tax Code.
: They are exempt from payment of Value-Added Tax (VAT) under Title IV, Chapter I, NIRC of 1997 and Percentage Taxes under Title V, NIRC of 1997.
: A 12-month period.