Nicanor was employed by ABC Corp. from April 1, 2020. He receives basic pay of Php 20,000
Question:
Nicanor was employed by ABC Corp. from April 1, 2020. He receives basic pay of Php 20,000 per month as compensation. During annualization of compensation in November, it was determined that he will also receive the following:
- Additional compensation allowance – Php 5,000
- Cash gift – Php 5,000
- Christmas bonus – Php 5,000
- Loyalty award – Php 5,000
- Performance bonus/productivity incentive – Php 10,000
How much is the 13th month pay?
Group of answer choices
Php 20,000
Php 15,000
Php 0
Php 45,000
A taxpayer earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)
Dividends from ABC Corp. a domestic corp – Php 1,000,000
Dividends from XYZ Corp. a foreign corp* (dominant income is abroad) – Php 1,000,000
Interest income from long-term investments (6th year) – Php 1,000,000
Interest income from short-term deposits – Php 1,000,000
Raffle Prize (car) – Php 1,000,000
Royalty – Php 1,000,000
*Assuming tax treaty rate is 10%
Compute the ordinary/active income if taxpayer is a domestic corporation:
Group of answer choices
Php 3,000,000
Php 5,000,000
Php 6,000,000
Php 4,000,000
ABC Corp., a DC, registered in 2010 made available the following financial information for TY2021:
Balance Sheet:
Asset - Php 500,000
Liability - Php 100,000
Stockholders' Equity - Php 400,000
Income Statement:
Gross sales - Php 100,000,000
Cost of sales – Php 60,000,000
Operating Expenses - Php 30,000,000
How much is the excess MCIT which can be carried forward in 2022? Consider CREATE Law
Group of answer choices
Php 400,000
Php 800,000
Php 2,100,000
Php 0
A taxpayer made available the following financial information:
Gross sales - Php 10,000,000
Cost of sales – Php 6,000,000
Expenses:
Salaries and wages – Php 1,000,000
Transportation and travel – Php 20,000
Rental - Php 240,000
Representation expense – Php 200,000
Depreciation expense – Php 200,000
Office supplies – Php 20,000
Miscellaneous expenses – Php 10,000
How much is the taxable income if the taxpayer is a domestic corporation and opted for OSD?
Group of answer choices
Php 4,000,000
Php 0
Php 2,400,000
Php 6,000,000
A taxpayer registered in 2020 made available the following financial information for TY2021:
Balance Sheet:
Asset - Php 500,000
Liability - Php 100,000
Stockholders' Equity - Php 400,000
Income Statement:
Gross sales - Php 10,000,000
Cost of sales – Php 3,000,000
Operating Expenses - Php 1,000,000
How much is the income tax due under CREATE Law if the taxpayer is a domestic corporation?
Group of answer choices
Php 1,800,000
Php 1,200,000
Php 1,500,000
Php 70,000
