1.Calvin, employed, derives the following income during the year:

Gross salariesP400,000

13^th month pay and other benefits 40,000

SSS, Philhealth, Pag-ibig Contributions20,000

Deductions for loan repayments50,000

Deductions for withholding tax60,000

Compute the compensation income to be reported in the annual income tax return?__________

2.Cora resigned in 2018 after 12 years of service. She had the following income during the year:

Salary, net of P80,000 withholding tax

P20,000 SSS, P18,000 philhealthP480,000

Separation pay1,000,000

Compute the gross income subject to regular tax?_________________

3.Mr. Blue, a supervisory employee, received the following income in 2018:

Gross compensation income, before contributions

Of SSS, Philhealth ad HDMF totaling P124,000P800,000

Fringe benefits200,000

Gain from redemption of shares in a mutual fund100,000

Commission income150,000

Gain on sale of stocks through PSE400,000

Determine the total income to be reported by Mr. Blue in gross income.____________

4.Israel Corporation, engaged in the sales of goods, reported the following summarized financial statements:

SalesP3,500,000

Cost of sales2,000,000

Gross profitP1,500,000

Commission income on consignment200,000

Interest income from customers20,000

Interest income, net of final tax10,000

Dividend income50,000

Total incomeP1,780,000

Admin and Selling Expenses1,000,000

Net incomeP780,000

Compute the total gross income subject to regular tax._______________

5.Percy Corp., a domestic Corporation, reported the following income in 2018:

PhilippinesAbroad

Service feesP400,000P300,000

Interest income-bank40,00070,000

Royalties-franchise80,00030,000

Compute the total gross income subject to RIT?_______

6.If Percy Corp. is an RFC, compute the gross income subject to RIT.____________

7.Andy leases a building to a client. During the year, he received the following remittance from the lessee:

Rental, net of 5% creditable withholding taxP1,900,000

Real property tax of the leased building50,000

Reimbursement for utilities used by the lessee paid by Andy200,000

How much will be included ingross income subject to RIT?___________

8.Ms. Villar, a professional practitioner, received the following from his clients:

Advances for future services to be renderedP30,000

Collections for past services rendered70,000

Reimbursements for client expenses40,000

Reimbursements for out-of-pocket expenses10,000

How much will be included in the gross income subject to regular tax?__________

9.Shown below is a compilation of the gain on the sale of real properties:

Real properties classified asPhilippinesAbroad

Ordinary assetsP300,000P800,000

Capital400,000200,000

What is the amount of income to be included in gross income subject to regular tax assuming the taxpayer is a domestic corporation?______________

10.What is the gain to be included in gross income subject to regular income tax if the taxpayer is a resident foreign corporation?_________

11.What is the gain to be included in gross income if the taxpayer is a resident alien?___________