I’ve been approached by numerous solopreneurs and home-based businesses for advice on how to sort out their bookkeeping. The three most common hiccups are: mixing personal and business-related funds; having trouble segregating or splitting personal and business expenditures; and ultimately, not having a clear picture of how much profit… Read MoreBefore You Start a Business, Focus on the Most Important Thing
Without divulging my age, let’s just say I was once a patron of prepaid internet ISP cards during the dark ages where people back then would have freaked out if someone had showed them the IPhone. Anyone remember anticipating that fax sound to end so we could finally start surfing, only to have your sibling pick up the phone extension in the other room? Oh that was so annoying…
But technology and the internet has come a long way. It has even disrupted the very employment landscape and allowed Filipinos to compete for virtually any job in the world, right at the comfort of home. Graphic design, bookkeeping, virtual assistants – the list is endless, and out of this technological revolution an ever growing community of online freelancers has emerged. Some describe online freelancing to be a bit similar to working abroad, only this time you get to do it even in pajamas.
It therefore is not surprising for some online freelancers to think they enjoy the same “tax exempt” status as OFWs, and if not, why not? Why not us too?
Is your business VAT registered? Maybe it’s time to change that. There’s been this clamor for years to have the income tax table indexed to inflation. The last time it happened? Never. It was never adjusted for inflation since the revised tax code took effect more than 20 years ago.… Read MoreShould my business pay VAT? A guide for Filipino small business owners