1.Mariang is a Pilipinas Got Talent champion. She won P2million as cash prize, a house and lot at ABC Homes in Baguio City with the total fair value of P5 million, and a recording contract with Sony Music Inc. for P10 million in two years. How much his income tax, if any?

Q: Nicanor, a Non-Resident Alien residing in Canada, bought 20,000 (@par value of Php 100) shares of…

A: As per the provisions of BIR .  a non-resident alien is charged for…

Q: Carl received the following passive income in 2019: (in Peso) Interest, peso deposit, BPI…

A: The term "passive income" refers to money earned without active participation. Cash flow from rental…

Q: Clara had a business net income of P300,000. She also earned P5,000 commission from selling cellular…

A:

Q: How much is the tax basis of the old car?

A: Donation is the amount of money or the property which has been received by the donee which has been…

Q: Andrew has ben soll employed as a builder for several years and generated taxable trading profit of…

A: Since tax rates not given,  Taken from official sites,  Since profits are above £9,569,therefore…

Q: PPP is a Filipino residing in Muntinlupa City. Aside from being employed as an accounting supervisor…

A: Optional Standard deduction is a standard deduction of 40% which is allowed to be deducted from the…

Q: 2. Warren owns a marketing business. He travels to Maryland in May 2020 to discuss acquiring an…

A: Tax return: The form under which the tax payer reports its taxable income and the tax liability is…

Q: Manny, a resident citizen, made the following donations in 2021: To Mercy, a land worth P450,000 in…

A: The answer is stated below:

Q: Mr. Leody, a resident citizen, is working for a large real estate development company in the country…

A:

Q: The sole proprietor of the FM2 Financial Services, Bondo, receives all accounting profits earned by…

A: Economic Profit Economic Profit and accounting profit are different.  The calculation of economic…

Q: John and his wife, Maggie, have lived in Hong Kong for over 30 years. John runs a sole…

A: In Hongkong the taxation system is userfriendly.  A fullfledged tax calculator…

Q: Leni was an incorporator in Dilaw Corporation (Dilaw for brevity), a corporation which Leni and her…

A: Stockholder means the investor invest their money in the corporation for long term prospective for…

Q: Enrique Requiestas, resident citizen, widower, with a dependent minor brother, had the following…

A: The answer is stated below:

Q: Sandra, a non-VAT taxpayer sold to Kyle, a VAT taxpayer, his goods for P50,000. The next day, Kyle…

A: $1 = Php 45 Cost paid by PCSI = P123,200 Received by PCSI = $70

Q: The Value-added tax payable of Kyle is:

A: VAT is an acronym of the value added tax. It is a type of tax but falls under indirect tax category.…

Q: Lorna is a mixed income earner. She is a self-employed resident citizen and currently the Finance…

A: Taxes are the charges levied by the state and central government on total income generate by an…

Q: Blue is the owner of all of the shares of Blue Bell, an S corporation. Blue is considering receiving…

A: Salary- Salary refers to the remuneration paid by an employer to its employee as a reward against…

Q: Mr. Jerico, a nonresident Filipino actor, shot his movie under Star Cinema, Inc. (domestic…

A: The taxability of an income is based on the residential status of the individual. The ordinary…

Q: Marie had a good year. She received the following prizes and awards: - an iPad from The Famous…

A: SOLUTION- THE AWARD FROM HER JOB EXCLUDED PLAQUE WORTH $25 PLUS $100 OF GODIVA CHOCOLATE IN…

Q: Nancy, a non-VAT taxpayer sold to Kyle, a VAT taxpayer, his goods for P50,000. The next day, Kyle…

A: The VAT rate in Phillipines is 12% for the year 2021.…

Q: Dakota, a self-employeed resident citizen provided the following data for 2018 taxable year sales…

A: Computation of tax due:   Amount Gross sales P2,800,000 (Tax exempt income) (250,000)…

Q: Three years ago, Kenesha purchased $10,000 worth of stock in major U.S. corporations. She spent…

A: Capital gains or losses arise when an investment is sold by the investor. If the investment is sold…

Q: Nancy, a non-VAT taxpayer sold to Kyle, a VAT taxpayer, his goods for P50,000. The next day, Kyle…

A: ANSWER(1): Calculation of Value-added tax payable of Bimbie Note: The Q Currency is Php hence we are…

Q: Jose obtained a loan from Pedro amounting to PhP1 Million. As a security, Jose mortgaged his land…

A: Here in this context Jose obtained loan from Pedro amounting to Php 1 Million as a security of…

Q: Samuel's tuition and fees for the past year totaled $12,000. Of these costs, $9,000 were paid by a…

A: Here in this situation Samuel incurred the tuition fees for $12000.  Out of this $12000 Parents…

Q: Sherborne sold his rental house in California, for a sales price of $750,000. He recognized a…

A: Capital Gains When the asset is sold and the realizable value is more than the capital asset’s value…

Q: 38 PPP is a Filipino residing in Muntinlupa City. Aside from being employed as an accounting…

A: Taxable Income Taxable Income means the part of income that is subject to taxes. It is calculated by…

Q: How much is his final withholding tax?

A: Hey there since you have posted multiple questions, we can answer only first question, please…

Q: Maki is a stockholder in both Agrix Corporation (domestic corporation) and Atlanta corporation…

A: Dividend is defined as the distribution of the profits through the company to their shareholders.…

Q: 2. Jerson, married, 15 dependents, had the following income within and outside the Philippines:…

A: The Philippines taxes its resident citizens on their income from worldwide whereas the non- resident…

Q: Juan bought a certain piece of lot for P300,000. After 2 years, when its fair value was P500,000, he…

A: The sale consideration for a transfer of property shall be considered as higher of - 1) Fair Value…

Q: Juliet, a Filipina made the following donations. a. To Nick, a land worth P450,000 in Manila. b.…

A: The gift tax is a federal tax applied to an individual giving money or valuable items such as…

Q: D, E, and F are partners in DEF Enterprises. They want to obtain a loan from X, but X does not know…

A: The loan is outstanding in the books of DEF enterprise and hence the partners of DEF are first…

Q: 6, With the amount he received from the government's aid during the pandemic, Mike ventured into…

A:

Q: While he was traveling with friends, Mr. Juan, resident Filipino citizen, died on January20, 2021 in…

A: At the event of the death of a Filipino citizen, his gross estate will have to be estimated for the…

Q: Nicanor, a Non-Resident Alien residing in Canada, bought 20,000 (@par value of Php 100) shares of…

A: Cost of securities = 20000 shares x 100 = P2000000 Sales price = P 4000000

Q: Matti won a gold medal and P50,000 cash prize for chess competition in the4. Palarong Pambansa. How…

A: Tax is the compulsory payment made by the individual to his country's government.

Q: Mariang is a Pilipinas Got Talent champion. She won P2million as cash prize, a house and lot at ABC…

A: Tax: A tax is a compulsory charge or a levy imposed upon a taxpayer by a government organization to…

Q: Courtney is a well-known singer-composer in the Philippines. She was able to earn P250,000 royalties…

A: The question is based on the concept of Taxation

Q: Tacurong, a resident citizen, won $1,000,000 from the US lottery. Is the lottery winning subject to…

A: Tax is the amount which a person is required to pay. It is a compulsory payment and nobody can deny…

Q: Ana, a self-employed resident citizen provided the following data for 2018 taxable year: Sales…

A: Ana, a self employed resident citizen for year 2018 are : Sales = P3800000 Cost of sales = P1125000…

Q: The CPALE was able to push through after several postponements due to COVID-19. Inday, who really…

A: As per the TRAN Law of Philippians It does not distinguish between gifts made to relative or…

Q: Mr. Joshie, a Filipino citizen and a resident of Baguio City, won P10,000 in a PCSO draw last May 8,…

A: in case of PCSO draw starting from January 1st, 2018 the lottery winnings of at least 10,000 PHP are…

Q: Pepa Madrigal has operated a very successful bakery for 30 years, and has accumulated investment…

A: Rate of tax = 12% Single taxpayer from 10276 to 41775 is taxed at the rate of 12%.

Q: Jhaeron is a stockholder in both Agrix Corporation (domestic corporation) and Atlanta corporation…

A: Dividend income can be defined as the distribution of the taxable income of the company to its…

Q: During the year, Mina earned the following. • Rent received during trip in Macau for properties in…

A: Total income liable to income tax -If Resident citizen Particulars   Amount Rent received…

Q: The real property tax of Ms. Ere would be?

A: As per our protocol we provide solution to the one question only but as you have asked two multiple…

Q: Mr. Omagana, a resident Japanese, owned 2,000 common shares of San Miguel Corporation with book…

A:

Q: EEE, Filipino, residing in Toronto, made the following donations during the calendar year 2020:…

A: Answer:-  Donation tax definition:- Donation can be defined as something that is given to charity to…

Q: ence of P1.2 Millio

A: Donation is the amount of money or the property which has been received by the done which has been…

Tax Deferred Retirement Benefits

It stands for Simplified Employee Pension Individual Retirement Account. This savings plan is for self-employed persons such as independent contractors, freelancers, entrepreneurs, etc. The tax rules of SEP IRA are the same as traditional IRA. Entrepreneurs can also open SEP IRA accounts for their employees and gain a tax advantage. The employees cannot make contributions to these accounts by themselves however they will be taxed upon withdrawal.