Pronunciation: [vˌiːˈe͡ɪ tˈe͡ɪbə͡l] (IPA) 
The word "VATable" is spelled with three syllables: /veɪ/ + /ti/ + /bəl/. The first syllable, "veɪ," represents the long "a" sound, while the second syllable, "ti," is pronounced with a short "i" sound. The final syllable, "bəl," has the same sound as the word "able," pronounced with a neutral vowel between the /b/ and /l/ sounds. This word is commonly used in finance to describe items that are subject to value-added tax.
VATable is an adjective that refers to goods or services that are subject to Value Added Tax (VAT). VAT is a consumption tax levied on the value added to a product at each stage of its production and distribution, ultimately borne by the final consumer.
When an item is categorized as VATable, it means that it meets the criteria for being taxed with VAT. The addition of VAT to the price of goods or services is intended to create a tax system where the consumer pays tax based on the increase in value that occurs at each stage of production and distribution.
In general, most goods and services are VATable, unless they are specifically exempted by the tax authority. The determination of whether an item is VATable or not usually depends on the regulations and laws of a particular jurisdiction. For example, in many countries, basic necessities like food, healthcare, and education may be exempt from VAT, while luxury goods and services are often subject to a higher rate of VAT.
Businesses are responsible for charging and collecting VAT on their VATable goods or services, and they usually have to register for VAT with the tax authorities. VATable transactions are typically recorded in a company's financial records for reporting and tax purposes.
Overall, the term VATable applies to items that are eligible for VAT and highlights the tax liability imposed on goods and services by the applicable VAT legislation.
The word "VATable" is derived from the acronym "VAT", which stands for Value Added Tax. "VATable" refers to an item or entity that is subject to or eligible for being taxed under a value added tax system. The term is not of etymological origin but rather a derivative of the abbreviation VAT.
