What is the consequence of the purchases of a OPT-taxpayer from a VAT taxpayer?

Q: S1 - Individual taxpayers can be entitled to 1% (old rate 3%) percentage tax if their registration…

A: Correct option: B

Q: How does the cash basis method of accounting benefit small business owners, if at all?   Under…

A: "Since you have asked three independent questions, the first question was answered for you. If you…

Q: TRUE OR FALSE? 1st statement: Interest income must be included in the computation of gross income if…

A: Gross Income: The entire earnings a person obtains before taxes and other deductions are referred to…

Q: the income is derived solely and exclusively from emoluments, from which tax at source is deducted…

A: Tax at source refers to the system in which taxes are withheld or deducted by the payer of income…

Q: If an individual purchases property insurance on business equipment, the premiums are deductible,…

A: The tax treatment of insurance premiums is determined by the kind of insurance and the purpose of…

Q: Please answer with reason for all why the option is correct and why the other options are incorrect…

A: Adjusted gross income refers to the income earned after deducting the operating expenses including…

Q: The employees of Ethereal Bank are paid on a semimonthly basis. All employees are single. Required:…

A: The FICA taxes are the Social Security and Medicare taxes. These taxes are reduced from the…

Q: Identify a false statement:  a. If taxpayer derives income from employment only, any other income…

A: Taxable income refers to the income on which the taxpayer is liable to pay tax to the collecting…

Q: Which of the following taxpayers is required to file a form 8862 to claim certain credits after…

A: An exemption known as a withholding allowance lowers the amount of income tax that an employer…

Q: It is a tax on a person's income, payments, profits arising from property, the practice of the…

A: The government imposes different types of taxes on people. Some taxes are in the form of direct…

Q: Which of the follwing types of tax may not be shifted a. Percentage Tax b. Excise Tax c. Income Tax

A: The answer is Option c. Income Tax Income tax cannot be shifted.

Q: What happens when a qualified exempt importer subsequently sells what was imported to a taxable…

A: when a qualified exempt importer subsequently sells to non exempt person, the purchaser shall be…

Q: The use of the earned income credit could result in a taxpayer receiving a refund even though the…

A: Earned Income Credit(EIC) is a type of tax credit available to U.S. Citizens that earn low income…

Q: Taxes are:  Retroactive Prospective Only proportional Personal to the taxpayer

A: Taxes are only proportional

Q: a. Define the term constructive receipt. Explain its importance. b. Explain three restrictions on…

A: Receipts - The act of transferring anything of value from one party to another is acknowledged in…

Q: Which of the following refunds is not subject to income tax a, Local tax expense b.Special…

A: Answer: Th refund which is not subject to income tax are those amount for which earlier deduction…

Q: Quarterly income tax payments made by a non-resident citizen taxpaye nay be claimed as O neither a…

A: Tax credit means amount can be substrate from total payable tax and offset overall liabilities.

Q: Personal income taxes are paid on all of your income. a. true b. false

A: Personal income tax is paid on taxable income of an individual. Taxable income is calculated as…

Q: The registered taxpayer is required to prepare an own invoice to report the output tax on imported…

A: In the context of Value Added Tax (VAT) or Goods and Services Tax (GST), the output tax is the tax…

Q: Ordinary and necessary trade or business expenses used to generate tax-exempt income would be…

A: Deductible business expenses are expenses that a business incurs in order to earn income or conduct…

Q: Which of the following statements about credits is false? A. Credits reduce a taxpayer's liability…

A: Tax credit is compared to an incentive received by the tax payer so that the taxpayer can utilize…

Q: at income be recognized when it is made available to the cash basis taxpayer even though there are…

A: The correct answer is  True    Explanation:  ruling is applicable only to the taxpayer who would…

Q: True or false: After calculating your income taxes, you may find yourself owing to the IRS instead…

A: A tax is a governmental organization's mandatory financial obligation or another form of levy…

Q: Which of the following should not be claimed as deductions from gross income?   A. Interest payment…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Which of the following is an adjustment that will generally result in lower tax liability for an…

A: A tax is a charge which is levied by the government on the taxable income of a taxpayer. A tax…

Q: Louis spent $200 playing bingo at his church. Since the profits went to the church, Louis can deduct…

A: Games are generally organised by charitable institutions. Bingo is a game and which is organised by…

Q: Taxable income differs from financial accounting income in that It requires a change in the…

A: Taxable Income The base income used to calculate taxes is known as taxable income. It may include…

Q: In terms of the tax formula applicable to individual taxpayers, which, if any, of the following…

A: Deductions for AGI means above the line deduction which a taxpayer can deduct from his gross income…

Q: C) Adjusted gross income is decreased by any tax preference and adjustment items.

A: Minimum tax refers to the separate system that is required by some taxpayers for calculating the…

Q: It has been suggested that tax policy favors deductions for AGI compared to deductions from AGI…

A: Deductions for Adjusted Gross Income (AGI):Deductions for AGI, often referred to as "above-the-line"…

Q: n situations where there is no requirement for the taxpayer to provide documentation to substantiate…

A: The EIC is a tax benefit for low to moderate-income individuals and families, and it's meant to…

Q: Describe some reasons why it is a good idea to file a tax return if you have earned income, even if…

A: If there is no tax liability, even then the Income-tax return (ITR) is mandatory to file if the…

Q: Which of the following set of taxes are prohibited? I. Imposition at the same time of income tax and…

A: Income tax is direct tax and value added tax is indirect tax so direct and indirect tax can be…

Q: Which of the following is correct?    a. A person with vatable sales or receipts not exceeding the…

A: Value-added tax: The value-added tax refers to an indirect tax or sales tax that lived on the…

Q: For each item listed below, indicate whether it involves a:                            a. permanent…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS  The items should be matched as follows:   b  1…

Q: Under the cash method of tax accounting, tax deductions are taken when: a, Expenditures are made…

A: Answer: Under the cash method of tax accounting, tax deductions are taken when expenditures are…

Q: the registered taxpayer is required to prepare an own invoice to report the output tax on imported…

A: In the context of Value Added Tax (VAT) or Goods and Services Tax (GST), output tax refers to the…

Q: For an accrual basis taxpayer, which of the following statements is TRUE  regarding prepaid income?…

A: In accrual basis of accounting, when any amount is received against a service which has not yet been…

Q: A taxpayer with which of the following incomes is eligible to claim the Foreign Tax Credit? 1.…

A: A taxpayer who has paid or accumulated income taxes to a foreign nation on income with a foreign…

Q: Which of the following is NOT a valid use of Form 990-1? O Request credit for certain excise taxes…

A: Filling out Form 990-T is how exempt organizations:declare any unrelated business revenue.Determine…

Q: Define the term constructive receipt. Explain its importance. Explain three restrictions on the…

A: Constructive receipt- Under this concept, it is assumed that a taxpayer has received income, even if…

Q: As You Read QUESTION What could happen if your employer did not deduct federal income taxes from…

A: Introduction:- A paycheck, also known as a paycheck is a paper document issued by an employer as…

Q: It is the exploitation by the taxpayer of legally permissible alternative tax rates or methods of…

A: Tax is referred as the financial charges which is imposed by government on an individual’s income or…

Q: Will you be imprisoned for non-payment of tax? Is it absolute?

A: Income Tax- Income tax is a tax levied on a person's or a company's earnings for the previous year.…