The taxpayer started operating a grocery store during 2015. He submits the following data:Merchandise Inventory P 469,000Gross sales 2,814,000Purchases from VAT registered entities (net) 1,563,000Purchases from non-VAT registered entities 312,000 Determine the following:What is the applicable business tax for the taxpayer?How much is the correct business tax due?Assume the taxpayer is non-VAT registered, how much is the VAT payable for the year?Assume the taxpayer is VAT registered, how much is the VAT payable for the year?

Given: The tax player includes the grocery store that is operated in 2015 as follows, Merchandise…

The taxpayer started operating a grocery store during 2015. He submits the following data: Merchandise Inventory P 469,000 Gross sales 2,814,000 Purchases from VAT registered entities (net) 1,563,000 Purchases from non-VAT registered entities 312,000

The taxpayer started operating a grocery store during 2015. He submits the following data: Merchandise Inventory P 469,000 Gross sales 2,814,000 Purchases from VAT registered entities (net) 1,563,000 Purchases from non-VAT registered entities 312,000

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter26: Tax Practice And Ethics

Section: Chapter Questions

Problem 18CE

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Question

The taxpayer started operating a grocery store during 2015. He submits the following data:

Merchandise Inventory P 469,000

Gross sales 2,814,000

Purchases from VAT registered entities (net) 1,563,000

Purchases from non-VAT registered entities 312,000

Determine the following:

What is the applicable business tax for the taxpayer?
How much is the correct business tax due?
Assume the taxpayer is non-VAT registered, how much is the VAT payable for the year?
Assume the taxpayer is VAT registered, how much is the VAT payable for the year?

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