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16 A taxpayer earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)             Dividends from ABC Corp. a domestic corp – Php 1,000,000             Dividends from XYZ Corp. a foreign corp* (dominant income is abroad) – Php 1,000,000             Interest income from long-term investments (6th year) – Php 1,000,000             Interest income from short-term deposits – Php 1,000,000             Raffle Prize (car)  – Php 1,000,000             Royalty – Php 1,000,000 *Assuming tax treaty rate is 10%   Compute the ordinary/active income if taxpayer is a resident citizen:

16 A taxpayer earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)             Dividends from ABC Corp. a domestic corp – Php 1,000,000             Dividends from XYZ Corp. a foreign corp* (dominant income is abroad) – Php 1,000,000             Interest income from long-term investments (6th year) – Php 1,000,000             Interest income from short-term deposits – Php 1,000,000             Raffle Prize (car)  – Php 1,000,000             Royalty – Php 1,000,000 *Assuming tax treaty rate is 10%   Compute the ordinary/active income if taxpayer is a resident citizen:

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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16

A taxpayer earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)

            Dividends from ABC Corp. a domestic corp – Php 1,000,000

            Dividends from XYZ Corp. a foreign corp* (dominant income is abroad) – Php 1,000,000

            Interest income from long-term investments (6th year) – Php 1,000,000

            Interest income from short-term deposits – Php 1,000,000

            Raffle Prize (car)  – Php 1,000,000

            Royalty – Php 1,000,000

*Assuming tax treaty rate is 10%

 

Compute the ordinary/active income if taxpayer is a resident citizen:

 

Group of answer choices
Php 3,000,000
Php 2,000,000
Php 6,000,000
Php 1,000,000
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