if you purchase abroad, how can you put them in the purchase journal?

7.29.2025  

if you purchase abroad, how can you put them in the purchase journal?

ChatGPT said:

If you purchase goods from abroad (international/import purchases), you must still record them in your Purchases Journal for BIR compliance. Here's how:

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✅ How to Record Imported Purchases in the Purchases Journal (Philippines)

Even if your supplier is overseas, you must treat the transaction as an import, and record it accordingly. Here's what to include:

📌 Typical Entry in Purchases Journal (for imports):

Date	Supplier	OR/Invoice #	Description	Amount (PHP)	VAT Input	Remarks
07/29/2025	Alibaba	N/A	Imported Soldering Tools	₱10,000.00	₱0.00*	Import – BOC paid

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🔍 What to consider when recording:

Aspect	What to Do
Supplier Name	Indicate the foreign supplier (e.g. Alibaba, Amazon, etc.)
Invoice No.	Use the commercial invoice number (or indicate “N/A” if none)
Amount	Use landed cost (including shipping, insurance, duties, VAT at Customs)
Input VAT	Input VAT is claimed only if paid to BOC during importation
Remarks	Note that it’s an import purchase

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💡 Notes on Input VAT for Imports

• You can claim input VAT if:

  • You are VAT-registered.

  • You paid 12% VAT to the Bureau of Customs (BOC) during import.

  • You have a BOC Official Receipt or Import Entry & Internal Revenue Declaration (IEIRD).

⚠️ You cannot claim input VAT on foreign invoices alone—only if the VAT was paid to BOC.

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📦 Example: You import $150 of soldering tools from China

Let’s say:

• $150 × ₱56 = ₱8,400

• Shipping = ₱2,000

• Import duties + VAT (paid to BOC) = ₱2,500

• Total Landed Cost = ₱12,900

Your Purchase Journal entry:

Date	Supplier	OR/Invoice #	Description	Amount	VAT Input	Remarks
07/29/2025	Shenzhen Tools	1001CN	Imported soldering tools	12,900.00	1,200.00*	VAT paid to BOC (import)

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🧾 Supporting Documents You Should Keep

1. Commercial invoice from the foreign supplier

2. Airway bill or Bill of Lading

3. Import Entry (IEIRD) from BOC

4. BOC receipt showing 12% VAT paid

5. Proof of payment to supplier (bank transfer, PayPal, etc.)

These are important for both BIR and customs audits.

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Summary

Step	Action
1. Include in Purchases Journal	Yes, even for imports
2. Use landed cost	Include freight, insurance, duties, taxes
3. Claim input VAT only if eligible	If VAT was paid at BOC and you’re VAT-registered
4. Use proper documentation	Keep invoices, BOC docs, shipping records