Mr. Arturo is in a quandary and approached you to help him identify which of thefollowing is considered as gross income for taxation purposes:Proceeds of loan from a bank @ 7% interest per annumBasic salaryEmployee allowances and honorariaIndebtedness to employer which was cancelled by thelatter because of their budding friendshipSelling price of crops harvested for saleCosts and expenses incurred in relation to the harvestedP90,000300,00020,00050,000400,000crops150,000a. P710,000b. P660,000c. P570,000d. P320,000

GROSS INCOME FOR TAXATION PURPOSE: Gross income refers to the total income earned by an individual…

Answered: following is considered as gross income…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter16: Accounting Periods And Methods

Section: Chapter Questions

Problem 33P

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Bernabe reports the following business transactions: Gross sales Sales discounts Cost of sales Operating expenses Interest income on bank deposits- BPI P840,000 25,000 250,000 190,000 10,000 Bernabe also earned a total compensation of P410,000 from a part-time employment of which, P105,000 is excluded from taxation. Compute the taxable income of Bernabe which is subject to regular income tax:
Michelle Puxton has the following Bourcer of income and payroll deductions: Employment income $39,400 Interest income 7,000 Taxable capital gain Allowable capital lose 8,000 13,000 RRSP contribution 4,000 Alimony paid 6,600 Requirement: 1. What is Michelle's Net Income for Tax Purposes (in good form, copy the appropriate description of accounts in your anewer)? 2. Determine if there are losses that can be carried back and forward.
Ms. Cumacaliua is concurrently employed at Cumanan Corporation and Paatras Company. She received the following during the month: Cumanan 50,000 P Paatras 40,000 Professional fees P Less: 6,000 12,000 Creditable withholding tax Loan repayment SSS, PhilHealth, HDMF Net pay 7,000 3.000 40.000 P P. 22,000 ist Compute the amount subject to business tax. c. P 77,000 d. P 90,000 a. PO Her b. P 62,000 combare tue smonur
Problem Solving Directions: 1. Compute for the gross taxable income and tax due of Ms. Myra dela Torre, supervisor of the telecommunication company. Basic salary of P1,401,148.83, 13th-month pay, and other benefits P90,000.00, de minimis benefits of P40,000.00, SSS/GSIS/, PHIC, and Pag-ibig contributions P16,570.60. 2. Explain the procedure of how you computed the gross taxable income and tax due of Ms. dela Torre.
20. Which of the following is subject to tax? P6,000 representing his unused vacation ieave credits of ninë working days; b. Traveling expenses of P15,000 received by an employee who was sent on a business trip to Davao City; C. Representation expenses of P5,000 a month which are not subject to liquidation; d. Tips received by waitresses which are remitted to their employer. а. С. CS Scanned with CamScanner
What is the taxpayer's gross income in each of the following situations? Do not type a dollar sign. Use commas when appropriate as in 3,500. If the answer is zero, type a 0. a. Myra received a salary of $80,000 from her employer, Green Construction. b. In July, Green Construction gave Myra an all-expense-paid trip to Las Vegas (value of $3,200) for exceeding her sales goals. c. Darrin received $9,000 from his employer to help him pay his medical expenses not covered by insurance, this payment is not available to all employees. d. Blake received $5,000 from his deceased wife's employer to help him in his time of greatest need." e. Austin collected $50,000 as the beneficiary of a group term life insurance policy when his wife died. The premiums on the policy were paid by his deceased wife's employer.
Mr. Borbon had the following data for his income tax return for the current year: Php 490, 000 150, 000 200, 000 120, 000 70, 000 320,000 Sales Personal Exemption Cost of Sales Administrative and Selling Expenses Personal Expenses Professional Income Graduated Income Tax Rate Effective January 1, 2018 Initial Basis 0-250,000 Over 250, 000 but not over 400, 000 Over 400,000 but not over 800,000 Over 800, 000 but not over 2,000, 000 Over 2, 000, 000 but not over 8, 000, 000 Over 8, 000, 000 Tax due In Excess -0- -0- |-0- +20% of the excess over 250,000 30,000 130,000 490, 000 2, 410, 000 +25% of the excess over 400,000 +30% of the excess over 800, 000 +32% of the excess over 2, 000, 000 +35% of the excess over 8, 000, 000 How much is the income tax due is he uses itemized deduction? O Php 24,000 O Php 52,500 O Php 42,500 O Php 10,000
Mr. Borbon had the following data for his income tax return for the current year: Php 490, 000 150, 000 200, 000 120, 000 70, 000 320,000 Sales Personal Exemption Cost of Sales Administrative and Selling Expenses Personal Expenses Professional Income Graduated Income Tax Rate Effective January 1, 2018 Initial Basis 0-250,000 Over 250, 000 but not over 400, 000 Over 400,000 but not over 800,000 Over 800, 000 but not over 2,000, 000 Over 2, 000, 000 but not over 8, 000, 000 Over 8, 000, 000 Tax due In Excess |-0- -0- -0- +20% of the excess over 250,000 30,000 +25% of the excess over 400,000 |+30% of the excess over 800, 000 |+32% of the excess over 2, 000, 000 +35% of the excess over 8, 000, 000 130,000 490, 000 2, 410, 000 If he opted to be taxed by 8%, how much is the tax due? O P70,000 O P64,800 O P44,800 O P133,000
Gross Income Compute how much will be included and excluded in the gross income given the following scenarios. 1. A call center agent receiving a monthly salary of P21,000 with mandatory annual deductions of P15,166, which includes SSS, PhilHealth, and Pag-Ibig contributions. What will be the amount for his annual gross income?
Franklin Stewart arrived at the following tax information: Gross salary Interest earnings Eligible dividend income Basic personal amount Union dues Moving expense (58 km for employment) $ 52,00€ 330 128 3,650 8,470 2,950 What amount will Franklin report as taxable income? (Round your answer to the nearest dollar amount. Omit the "S" sign in your response) Taxable income
Compute for the Income Tax for the below data: MRS. MR. Gross Sales of the Business P4,000,000 Cost of Sales and expenses of the business 1,900,000 Gross Receipts from profession P300,000 Cost and Expenses in the practice of profession 120,000
The employer paid the P30,000 monthly rental of the residential house used by M, the Manager of the corporation for the current year. The total rental expenses of M for the year paid by the employer is P360,000. Compute the following: 1) Monetary Value of the fringe benefits; 2) Grossed Up Monetary Value 3) Fringe Benefits Tax Payable. Upload your solutions in Spreadsheet Format.

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