Nicanor was employed by ABC Corp. from April 1, 2020. He receives basic pay of Php 20,000 per month as compensation. During annualization of compensation in November, it was determined that he will also receive the following:

• Additional compensation allowance Php 5,000
• Cash gift Php 5,000
• Christmas bonus Php 5,000
• Loyalty award Php 5,000
• Performance bonus/productivity incentive Php 10,000

How much is the 13^th month pay?

Group of answer choices

Php 20,000

Php 15,000

Php 0

Php 45,000

A taxpayer earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)

Dividends from ABC Corp. a domestic corp Php 1,000,000

Dividends from XYZ Corp. a foreign corp* (dominant income is abroad) Php 1,000,000

Interest income from long-term investments (6^th year) Php 1,000,000

Interest income from short-term deposits Php 1,000,000

Raffle Prize (car) Php 1,000,000

Royalty Php 1,000,000

*Assuming tax treaty rate is 10%

Compute the ordinary/active income if taxpayer is a domestic corporation:

Group of answer choices

Php 3,000,000

Php 5,000,000

Php 6,000,000

Php 4,000,000

ABC Corp., a DC, registered in 2010 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 100,000,000

Cost of sales Php 60,000,000

Operating Expenses - Php 30,000,000

How much is the excess MCIT which can be carried forward in 2022? Consider CREATE Law

Group of answer choices

Php 400,000

Php 800,000

Php 2,100,000

Php 0

A taxpayer made available the following financial information:

Gross sales - Php 10,000,000

Cost of sales Php 6,000,000

Expenses:

Salaries and wages Php 1,000,000

Transportation and travel Php 20,000

Rental - Php 240,000

Representation expense Php 200,000

Depreciation expense Php 200,000

Office supplies Php 20,000

Miscellaneous expenses Php 10,000

How much is the taxable income if the taxpayer is a domestic corporation and opted for OSD?

Group of answer choices

Php 4,000,000

Php 0

Php 2,400,000

Php 6,000,000

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 3,000,000

Operating Expenses - Php 1,000,000

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

Group of answer choices

Php 1,800,000

Php 1,200,000

Php 1,500,000

Php 70,000