Mr. Adrien, Advertising Director of Binah Corporation has the following records for his income from employment...

 

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Mr. Adrien, Advertising Director of Binah Corporation has the following records for his income from employment and souvenir shop business in 2018: Annual Compensation income, including 13th month pay and other benefits Of P170,000, but net of mandatory contributions to SSS, Philhealth And HDMF Gross sales Souvenir shop Non-operating income Cost of sales Operating expenses P 2,400,000 1,700,000 85,000 700,000 300,000 Required: A. Mr. Adrien opted to be taxed at 8% income tax rate on his gross sales for his income from business. Determine Mr. Adrien's income tax due for 2018? B. Assume that Mr Adrien did not signify his intention to be taxed at the 8% income tax rate based on gross sales and other non-operating income. Compute for Mr. Adrien's income tax due for the year. C. Mr. filed his resignation from employment in March 2019. Up to that month, his total compensation income totaled P480,000 inclusive of P80,000 benefits. Assume that his business operations for 2019 were the same as the last year. For 2019, he opted for the 8% income tax rate. What will be the total income tax due of Mr. Adrien for the year 2019? Mr. Adrien, Advertising Director of Binah Corporation has the following records for his income from employment and souvenir shop business in 2018: Annual Compensation income, including 13th month pay and other benefits Of P170,000, but net of mandatory contributions to SSS, Philhealth And HDMF Gross sales Souvenir shop Non-operating income Cost of sales Operating expenses P 2,400,000 1,700,000 85,000 700,000 300,000 Required: A. Mr. Adrien opted to be taxed at 8% income tax rate on his gross sales for his income from business. Determine Mr. Adrien's income tax due for 2018? B. Assume that Mr Adrien did not signify his intention to be taxed at the 8% income tax rate based on gross sales and other non-operating income. Compute for Mr. Adrien's income tax due for the year. C. Mr. filed his resignation from employment in March 2019. Up to that month, his total compensation income totaled P480,000 inclusive of P80,000 benefits. Assume that his business operations for 2019 were the same as the last year. For 2019, he opted for the 8% income tax rate. What will be the total income tax due of Mr. Adrien for the year 2019?

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A Mr Adrien opted to be taxed at 8 income tax rate on his gross sales for his income from business D... View the full answer