1.) Asta, a resident of Manila, the sole proprietor, of ABC Company engaged in selling of goods...

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1.) Asta, a resident of Manila, the sole proprietor, of ABC Company engaged in selling of goods in Manila. In October 2019, Asta sold goods to customers for total sales of 1,000,000 (50% was on credit). The 50% on credit was collected only in January 2020. On January 2020, Asta sold goods worth 500,000 for cash. The cost of sales ratio is 60% and OPEX is 20% of sales. What will be the taxable net income of Asta for Annual ITR that he must submitted to BIR on April 2020?

2.) Asta lives in Manila in 2003. He is a Japanese national and later on, became a Filipino in 2005 under RA Xxxx. He acquired lands worth 1M in 2006. Another land in Cebu worth 2M. In 2019, due to increase in value of lands, all of his lands had a fair value of 10M. Asta did not file an Income Tax return in 2020 despite of increase in value of his wealth / properties. BIR sued Asta for tax evasion and demanding from him to pay 3M pesos for taxes and surcharges. Asta hired a lawyer to defend him. If you are the lawyer of Asta, what will you do? Explain