Jolens Company reported pre-tax financial income of P6,200,000 for the calendar year 2019. Included in the other income section of the income statement was P200,000 of interest revenue from government bonds held by the entity which is non-taxable. The income statement also included depreciation expense of P500,000 for a machine that cost P3,000,000. For tax purposes, the depreciation for this machine is P600,000. The tax rate is 30% for 2019. How much is the current tax expense for 2019?

Q: Cullumber, Inc. had pre-tax accounting income of $3900000 and a tax rate of 20% in 2021, its first…

A: Pre-tax Accounting Income 3,900,000   Add: Received rent from Jane, Co. for 2022 to be taxed in…

Q: The books of Angry Men Company for the year ended December 31, 2023, showed pretax GAAP (book)…

A: Timing differences occur when certain transactions or events are recognized differently for…

Q: At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability $18,000…

A: Bad debts also called Uncollectible accounts expense is monetary expense which is due on creditor of…

Q: For the year ended 30 June 2022, Chilli Ltd had a taxable profit of $460 000. The following…

A: The journal entry for the difference in the deferred tax assets over year are debited, whereas,…

Q: ounting profit before tax of Lindfield Ltd for the year as $150,000, including the following items…

A: Journal entries are those entries that include daily transactions or events and are stated in the…

Q: Piper Corp. had a taxable net income of P5,500,000 and total assets of P100 million. It had the…

A: We are taking itemized deductions instead of optional deduction of 40% of Net income.   For interest…

Q: Oriole, Inc. had pre-tax accounting income of $3000000 and a tax rate of 20% in 2025, its first year…

A: In order to help pay for government programs and services, the government may impose taxes or levies…

Q: amount should Munoz report as its current income tax liability on its December 31, 2022 statement of…

A: Income tax liability refers to the amount which is required to pay to the authorities of taxation.…

Q: Pretax financial statement income for the year ended December 31, 2024 was $180 million for Wilton…

A: The objective of the question is to calculate the current portion of income tax expense for Wilton…

Q: Prepare the income tax section of the 2020 income statement beginning with the line "Operating loss…

A: Income statement also known as a profit and loss statement is a financial report that shows a…

Q: Ayres Services acquired an asset for $64 million in 2021. The asset is depreciated for financial…

A: Deferred tax liability  is created when a tax obligation is accumulated in one financial year but…

Q: At the beginning of 2018, FECC Corporation had discovered that the depreciation expense in the years…

A: Depreciation expense refers to the depreciation amount, that is, the amount of cost of assets that…

Q: During 2021, Raines Umbrella Corporation had sales of $860,000. Cost of goods sold, administrative…

A: Net Income = Sales - Cost of goods sold - administrative and selling expenses -  depreciation…

Q: Sheridan, Inc. had pre-tax accounting income of $3200000 and a tax rate of 20% in 2021, its first…

A: To determine the deferred tax accounts and balances at the end of 2021, we need to identify…

Q: For the year ended December 31, 2023, Crane Ltd. reported income before income taxes of $180,000.…

A: Net deferred tax liability for Crane Ltd. for the year ended December 31, 2023, is…

Q: Sandhill Corp. follows IFRS and began operations in 2023 and reported accounting income of $273,000…

A: Deferred tax asset: The deferred tax asset is created when the taxes to be paid as per income tax…

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.