XYZ Corporation, a manufacturer, has a gross sales of P190M for CY 2021, its 2nd year of operation. Its total assets amounted to P50M, net of the value of the land of P6M where its manufacturing plant and business operations are situated. Its cost of sales and allowable operating expenses amounted to P100M and P50M, respectively. Compute for its Income Tax Due for CY 2021.

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Q: XYZ Corporation, a manufacturer, has a gross sales of P190M for CY 2021, its 2nd year of operation.…

A: Below is the computation of the Income tax for CY 2021

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Q: Mr. Sanchez, a sole proprietor, shows the following: Sales P800,000 Interest income, net of final…

A:

Q: The Stone Inn earned $167,284 in taxable income for the year. How much tax does the company owe on…

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Q: s of P150,000 November 2021. It: porate Tax Rate is 25%. If the co ecember 2021, what is the poss

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Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.