The following tax expenses related to business were paid by Palmyra Trading in 2022: Business taxes, other than VAT, P20,000 Documentary stamp taxes, P1,000 Automobile registration fees, P3,000 Import duty taxes, P50,000 Postage stamp taxes, P500 Stock transaction tax, P2,500 Income tax, P600,000 Value-added tax, P240,000 Donor’s tax, P8,000 How much is the amount of taxes deductible from gross income?
The following tax expenses related to business were paid by Palmyra Trading in 2022: Business taxes, other than VAT, P20,000 Documentary stamp taxes, P1,000 Automobile registration fees, P3,000 Import duty taxes, P50,000 Postage stamp taxes, P500 Stock transaction tax, P2,500 Income tax, P600,000 Value-added tax, P240,000 Donor’s tax, P8,000 How much is the amount of taxes deductible from gross income?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The following tax expenses related to business were paid by Palmyra Trading in 2022:
Business taxes, other than VAT, P20,000
Documentary stamp taxes, P1,000
Automobile registration fees, P3,000
Import duty taxes, P50,000
Postage stamp taxes, P500
Stock transaction tax, P2,500
Income tax, P600,000
Value-added tax, P240,000
Donor’s tax, P8,000
How much is the amount of taxes deductible from gross income?
a. P73,500
b. P73,000
c. P74,500
d. P76,000
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