Previously not paying the value-added tax because his sales in any year never exceeded P3,000,000, Mr. A opted to be a VAT taxpayer beginning January 1, 20B. From the following data: Inventory on December 31, 20A, debited to the inventory account, With a VAT component of P3,500 P200,000 VAT not included: Sales, January, 20B P2,500,000 Purchases, January 20B P1,400,000 How much is the transitional input tax? How much is the total of input taxes available for January 20B? How much is the value-added tax payable for January 20B?
Previously not paying the value-added tax because his sales in any year never exceeded P3,000,000, Mr. A opted to be a VAT taxpayer beginning January 1, 20B. From the following data: Inventory on December 31, 20A, debited to the inventory account, With a VAT component of P3,500 P200,000 VAT not included: Sales, January, 20B P2,500,000 Purchases, January 20B P1,400,000 How much is the transitional input tax? How much is the total of input taxes available for January 20B? How much is the value-added tax payable for January 20B?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Previously not paying the value-added tax because his sales in any year never exceeded P3,000,000, Mr. A opted to be a VAT taxpayer beginning January 1, 20B.
From the following data:
Inventory on December 31, 20A, debited to the inventory account,
With a VAT component of P3,500 P200,000
VAT not included:
Sales, January, 20B P2,500,000
Purchases, January 20B P1,400,000
How much is the transitional input tax?
How much is the total of input taxes available for January 20B?
How much is the value-added tax payable for January 20B?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education