Question: Read and analyze the problem. Provide what is asked and show your solution. Mega Construction Corporation, a domestic corporation, has the following data for the
Read and analyze the problem. Provide what is asked and show your solution. Mega Construction Corporation, a domestic corporation, has the following data for the 2021 taxable year: Gross Income, Philippines P100,000,000 Gross Income, USA 50,000,000 Gross Income, Japan 50,000,000 Expenses, Philippines 30,000,000 Expenses, USA 20,000,000 Expenses, Japan 10,000,000 Other income: Dividend from San Miguel Corp. (a domestic corp.) 7,000,000 Dividend from Ford Motors (RFC; income within) 12,000,000 Gain on sale of shares of a domestic corporation sold to buyers 15,000,000 Royalty income, Philippines 5,000,000 Royalty income, USA 10,000,000 Interest income on peso bank deposit 8,000,000 Interest income on FCDS deposit 3,000,000 Interest from receivables in the Philippines 6,000,000 Rent income, land in the USA 25,000,000 Rent income, building in the Philippines 10,000,000 The company also sold a condominium classified as a capital asset for P200,000,000. The cost of the Condominium is P100,000,000, while its zonal value is P300,000,000. The company's total assets amounted to P680,000,000, excluding the condominium sold and the land on which the business office building is situated. Determine the following: (3 items x 10 points) 1. How much is the income tax due in 2021? 2. How much is the final withholding tax on passive income
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