Count according to agreed service-cons or received (methods of accounting)

The taxable business may deduct the VAT from the Federal Tax Administration on the basis

of incoming payments (cons-benefit received)

or

of invoices for clients (cons-service agreed).

Most companies are subject to one count quarterly based on performance against agreed-because this system is based on their accounts in debtor-creditor. The disadvantage is that the tax on the value added tax on the basis of invoices, even if the payment is late (eg after 120 days from issuance of invoice). Furthermore, it should correct it after the bad debt losses and returns.

Count as cons-received performance is best suited for all small businesses do not take their accounts receivable or accounts that do not perform at open positions. Warning: this method of calculation of cons-service requires authorization from the AFC / VAT.