A taxpayer registered in 2020 made available the following financial information for TY2021 :  Balance Sheet:  Asset - Php 500.000  Liability - Php 100.000 Stockholders' Equity - Php 400,000 Income Statement : Gross sales - Php 10.000.000 Cost of sales - Php 8.000.000 Operating Expenses - Php 5,000,000 How much is the income tax due under CREATE Law if the taxpayer is a domestic corporation ? Php 300.000 Php0 Php 600,000  Php 200.000

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization
Section: Chapter Questions
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 A taxpayer registered in 2020 made available the following financial information for TY2021 :

 Balance Sheet:

 Asset - Php 500.000 

Liability - Php 100.000

Stockholders' Equity - Php 400,000

Income Statement :

Gross sales - Php 10.000.000

Cost of sales - Php 8.000.000

Operating Expenses - Php 5,000,000

How much is the income tax due under CREATE Law if the taxpayer is a domestic corporation ?

  1. Php 300.000
  2. Php0
  3. Php 600,000 
  4. Php 200.000
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