An individual, who is a real estate dealer, sold a residential lot in Quezon City at a gain of P100,000.00 (selling price of P900,000.00 and cost is P800,00.00). The sale is subject to income tax as follows: a) 6% capital gains tax on the gain; b) 6% capital gains tax on the gross selling price of fair market value, whichever is higher; c) Ordinary income tax at the graduated rates of net taxable income; d) 8 % income tax on net taxable income.
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An individual, who is a real estate dealer, sold a residential lot in Quezon City at a gain of P100,000.00 (selling price of P900,000.00 and cost is P800,00.00). The sale is subject to income tax as follows:
- a) 6%
capital gains tax on the gain; - b) 6% capital gains tax on the gross selling price of fair market value, whichever is higher;
- c) Ordinary income tax at the graduated rates of net taxable income;
- d) 8 % income tax on net taxable income.
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- Which of the following are subjected to Value Added Tax (VAT)? A Sale by a real estate dealer of residential lot with a selling price or P800,000. B Sale by a real estate dealer of residential lot with a selling price of P3,500,000. C Sale by a real estate dealer of commercial lot with a selling price of P2,800,000. D Sale of residential lot classified as capital asset. E Sale by a real estate dealer of residential house and lot with a selling price of P3,000,000 F Sale by a real estate dealer of condominium unit with a selling price of P3,250,000 G Sale by a real estate dealer of parking lot in a condominium unit with a selling price of P850,000. H Sale of residential house and lot classified as capital asset with a selling price of P8,000,000.A resident citizen taxpayer sold a principal residence located in the Philippines. Other data regarding the sale are as follows: Selling price - P5,500,000 Fair market value - 6,000,000 Zonal value - 5,850,000 Expenses on sale - 275,000 The individual taxpayer was able to comply all the requirements for exemption, however, the new principal residence was bought for P4,125,000. Compute for the capital gains tax.Ms. Iniwan Sa Ere owns a residential house in a municipality located in Metro Manila. The fair market value of her house is ₱12 million. The Sangguniang Bayan of the Municipality fixed the assessment levels and tax rate based on the maximum allowable rates provided in RA 7160. The real property tax of Ms. Ere would be? a. ₱168,000.00 b. ₱192,000.00 c. ₱120,000.00 d. ₱144,000.00 e. ₱96,000.00 Using the information above, the disposition of proceeds from the real property tax paid by Ms. Ere would be? a. Metropolitan Manila Authority-₱42,000.00; Municipality-₱42,000.00; Barangays-₱36,000.00 b. Metropolitan Manila Authority-₱58,800.00; Municipality-₱58,800.00; Barangays-₱50,400.00 c. Metropolitan Manila Authority-₱50,400.00; Municipality-₱50,400.00; Barangays-₱43,200.00 d. Metropolitan Manila Authority-₱33,600.00; Municipality-₱33,600.00; Barangays-₱28,800.00 e. Metropolitan Manila Authority-₱67,200.00; Municipality-₱67,200.00; Barangays-₱57,600.00
- A resident citizen taxpayer sold a vacant lot (held as investment) in the Philippines. Other data regarding the sale are as follows: Selling price - P5,500,000 Fair market value - 6,000,000 Zonal value - 5,850,000 Expenses on sale - 275,000 Compute for the capital gains tax.Wert Company, a VAT-registered taxpayer, purchased P600,000 worth of goods and sold the same for P1,200,000. 1.) Assuming that the business operation of Wert Company is limited to Philippine residents, what is the total business tax it will report on its sales?2.) Assuming the purchases were import and the sales were exports, compute the Business Tax.2.) Assuming the purchases were import and the sales were exports, compute the Total Consumption Tax.This term refers to an asset sold for more than its original value. Using taxable income, it is based on tax tables or tax rate schedules. During this transaction, you can exclude the first $250,000 ($500,000 for married taxpayers) of gain on sale. This term refers to passive income offset. This term essentially includes all income subject to federal tax.
- XYZ corporation provided the following data for calendar year ending December 31, 2021 ($ 1= P50). Use new tax rate under CREATE Law (RA 11534) Philippines Abroad Gross income P4, 000, 000 $ 40, 000 Deductions 2, 500, 000 $ 15, 000 Income Tax Paid $ 3, 000 REQUIRED: Compute for the below: A. If it opts to claim the tax paid abroad as deduction from gross income, compute for its income tax.Consider two tax systems. Tax system A has a tax rate of 5% on the first $20,000 of taxable income, then 20% on the next $30,000, then 50% on all taxable income above $50,000. Tax system A has a standard deduction of $5,000. Tax system B has a flat tax rate of 30% on all taxable income and a standard deduction of $10,000. Consider 2 individuals, the first with income of $51,000 and the second with income of $56,000. (a) Calculate the average and the marginal tax rates of both individuals under both tax systems.Jackie, a non-business taxpayer, paid for the following relevant figures (in pesos) anent his importation. Cost of Goods - 1,350,000 Arrastre Charge - 30,000 Facilitation Fee - 25,000 Freight Charge - 45,000 Wharfage Fee - 5,000 Insurance - 10,000 Customs Duties - 5% How much is the dutiable value?
- The income tax T owed in a certain state is a function of the taxable income I, both measured in dollars. The formula is given below. T = 0.13I − 300 a) Express using functional notation the tax owed on a taxable income of $12,000. T (_______) Calculate the tax owed on a taxable income of $12,000. $ (_______) b) If your taxable income increases from $12,000 to $15,000, by how much does your tax increase? $(_______) (c) If your taxable income increases from $15,000 to $18,000, by how much does your tax increase? $(_______)ABC corporation provided the following data for calendar year ending December 31, 2021 ($ 1= P50). Use new tax rate under CREATE Law (RA 11534) Philippines Abroad Gross income P4, 000, 000 $ 40, 000 Deductions 2, 500, 000 $ 15, 000 Income Tax Paid $ 3, 000 REQUIRED: Compute for the below: A. If it opts to claim the tax paid abroad as deduction from gross income, Compute for its income tax. B. If it is private educational institution, Compute for its income tax due after tax credit. C. If it is a non-profit hospital, Compute for its income tax credit.XYZ corporation provided the following data for calendar year ending December 31, 2021 ($ 1= P50). Use new tax rate under CREATE Law (RA 11534) Philippines Abroad Gross income P4, 000, 000 $ 40, 000 Deductions 2, 500, 000 $ 15, 000 Income Tax Paid $ 3, 000 REQUIRED: Compute for the below: a. If it is a domestic corporation, compute for its income tax after tax credit. b. If it is a resident corporation, compute for its income tax. c. If it is a non-resident corporation, compute for its income tax. d. If it opts to claim the tax paid abroad as deduction from gross income, compute for its income tax.