Question
15. Mr. Luca Pacioli operates a pet shop and at the same time, offers interior design services to his clients. The following data were
15. Mr. Luca Pacioli operates a pet shop and at the same time, offers interior design services to his clients. The following data were provided by Pacioli for 2019 taxable year: Pet Shop: Gross sales Cost of sales Operating Expenses P 3,000,000 1,115,000 450,450 Annual Income Bracket R.A. No. 10963 Tax Rate (2018-2022) Tax on lower Lower Limit Upper Limit Tax on excess over limit lower limit 250,000 0% Interior design services: 250,000 400,000 20% Gross receipts P 1,150,000 400,000 800,000 30,000 25% 800,000 2,000,000 130,000 30% Cost of direct services 650,650 2,000,000 Operating Expenses 8,000,000 How much will be his income tax liability/tax due for the year?. 8,000,000 Above 490,000 32% 75,900 2,410,000 35%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started