Sales - P1,000,000 Cost of sales - P500,000 Interest income from bank deposit, Philippines - P40,000 Yield from deposit substitute, Philippines - P80,000 Interest income received from depository bank under EFCDS, Philippines - P60,000 Interest income from bank deposit, USA - P400,000 Interest on notes receivable- trade, Philippines - P30,000 Royalties, Philippines - P70,000 Royalties, USA - P300,000 Cash dividend received from domestic corporation - P150,000 Prize and winnings, Philippines - P400,000 Refund of Philippine value added tax - P100,000 Bad debt recovery (tax benefit rule) - P50,000 Required: 1. How much was total exempted/excluded from gross income? 2. How much was the total gross income subject to 25% corporate income tax?
Sales - P1,000,000
Cost of sales - P500,000
Interest income from bank deposit, Philippines - P40,000
Yield from deposit substitute, Philippines - P80,000
Interest income received from depository bank under EFCDS, Philippines - P60,000
Interest income from bank deposit, USA - P400,000
Interest on notes receivable- trade, Philippines - P30,000
Royalties, Philippines - P70,000
Royalties, USA - P300,000
Cash dividend received from domestic corporation - P150,000
Prize and winnings, Philippines - P400,000
Refund of Philippine value added tax - P100,000
Required:
1. How much was total exempted/excluded from gross income?
2. How much was the total gross income subject to 25% corporate income tax?
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