A taxpayer made available the following financial information: Gross receipts - Php 10,000,000 Cost of service - Php 6,000,000 Expenses: Depreciation expense – Php 200,000 Miscellaneous expenses – Php 10,000 Office supplies – Php 20,000 Rental - Php 240,000 Representation expense - Php 100,000 Salaries and wages – Php 1,000,000 Transportation and travel – Php 20,000 How much is the total allowable deduction if the taxpayer is a domestic corporation? Choices Php 7,590,000 Php 1,590,000 Php 1,570,000 Php 1,500,000
A taxpayer made available the following financial information: Gross receipts - Php 10,000,000 Cost of service - Php 6,000,000 Expenses: Depreciation expense – Php 200,000 Miscellaneous expenses – Php 10,000 Office supplies – Php 20,000 Rental - Php 240,000 Representation expense - Php 100,000 Salaries and wages – Php 1,000,000 Transportation and travel – Php 20,000 How much is the total allowable deduction if the taxpayer is a domestic corporation? Choices Php 7,590,000 Php 1,590,000 Php 1,570,000 Php 1,500,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:GRADUATED TAX TABLE UNDER TRAIN LAW (January 1, 2018 to December 31, 2022)
Over
But not over The Tax shall be
Plus of Excess Over
250,000
250,000
400,000
20%
250,000
400,000
800,000
30,000
25%
400,000
800,000
2,000,000
130,000
30%
800,000
2,000,000 8,000,000
490,000
32%
2,000,000
8,000,000
2,410,000
35%
8,000,000
Transcribed Image Text:A taxpayer made available the following financial information:
Gross receipts - Php 10,000,000
Cost of service – Php 6,000,000
Expenses:
Depreciation expense – Php 200,000
Miscellaneous expenses – Php 10,000
Office supplies - Php 20,000
Rental - Php 240,000
Representation expense – Php 100,000
Salaries and wages - Php 1,000,000
Transportation and travel – Php 20,000
How much is the total allowable deduction if the taxpayer is a domestic corporation?
Choices
Php 7,590,000
Php 1,590,000
Php 1,570,000
Php 1,500,000
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