Ms. Sherry is working in a private company as a treasury assistant. She earns P360,000 basic salaries annually net of P60,000 mandatory contributions. For the taxable year 2020, she also earned a mandatory 13th-month pay of P30,000, and bonus and allowances amounting to P120,000. She also owned a milk tea house and for the same taxable year, the business had gross sales of P1 500 000 for which the cost of sales is P600,000. Compute for Ms. Sherry’s tax due if:

a. She opted to be taxed at 8%

b. She opted to be taxed using graduated rates, the itemized deduction

Answer rating: 100% (QA)

Taxation Taxation is the means of income for the government of a country it is t... View the full answer