(PH Income Taxation)
No need for solutions/explanation, just provide the answers thank you
1. What is the allowable regular itemized deductions for a corporation that has gross sales of 20M and operating expenses of 2M, inclusive of representation expense amounting to 300K with proper documentation. A. 2,000,000 B. 1,700,000 c. 1,900,000 D. 1,800,000 2. How much is the income tax due of a nonresident film distributor if it has the following: Derived Within Derived Without Gross receipts, 10M Gross receipts, 200M Cost of the film distributed, 6M Cost of the film distributed, 120M Operating Expenses, 3M A. 3,000,000 B. 1,000,000 c. 1,500,000 D. 2,500,000 3. Compute the taxable income of a resident taxpayer who chose OSD and has the following: Gross receipts from services, P800,000 Cost of services, P200,000 Operating expenses, P20,000 Long term capital gain, P15,000 Short term capital loss, P5,000 Interest income from bank deposits, P10,000 Dividend from a domestic corporation, P15,000 A. 482,500 B. 364,500 C. 500,000 D. 486,000 4. Compute the taxable income of a resident taxpayer that has the following: Business income, P200,000 Compensation income, P300,000 Interest income from 5/6 lending to clients, P100,000 Interest income from bank deposits, P20,000 Royalty income, P100,000 Capital gain on sale of personal car, P20,000 Capital gain on sale of shares directly to the buyer, P40,000 Ordinary gain on sale of old office furniture, P10,000 Dividend income, P50,000 A. 710,000 B. 530,000 C. 630,000 D. 670,000 5. How much is the final tax on the dividends of a nonresident alien engaged in trade or business and owns 1,000,000 shares of a corp. which declared PO.30 dividends per share? A. 60,000 B. 30,000 c. 0 D 75,000 6. Lily is a partner of Yellow Partnership, a partnership in trade, and owns 50% interest. The gross sales of the partnership amounted to P25,000,000 for the taxable year 2021. The recorded cost of sales and operating expenses were P12,500,000 in P5,250,000 respectively. How much is the net income available for distribution to partners? A. 5,437,500 B. 6,162,500 c. 5,075,000 D 5,800,000 7. Leo Corporation sold a building, which is used as its principal office, for P50,000,000. At the time of the sale, the fair market value of the building was P60,000,000. The office was constructed five years ago for P45,000,000. Within 18 months, Leo Corporation utilized the entire proceeds to construct a new building as its principal office. How much is the capital gains tax on the sale? A. 0 B. 7,500,000 c. 9,000,000 D. 3,600,000 8. Lime Corporation, a domestic corporation, owns 20% of the outstanding shares of Morris Corporation, a resident foreign corporation, since August 1, 2015. On May 1, 2021, it received dividends amounting to P5,000,000 from the said corporation, the 3-year earnings of which are 70% earned in the Philippines. On September 1, 2022, Lime Corporation utilized the proceeds for its dividend payments. How much dividend income of Lime Corporation is subject to income tax? A. 0 B. 5,000,000 c. 3,500,000 D. 1,500,000 9. A nonprofit, nonstock school, has a gross income of P4,000,000, only 40% of which was contributed by related activities and total expenses of P3,000,000, 50% of which was incurred in connection with non related activities. The school has total assets of P101 million. How much is the income tax due if the income from non-related activities is not used exclusively for educational purposes? A. 250,000 B. 600,000 C. 225,000 D 0 10. Lemon, a resident citizen, has the following cumulative data from January to June 30, 2021: Sales, P2 million; Salary, P1 million. In the 3rd quarter of 2021, he has Sales of P500,000 and a Salary of P100,000. How much Sales and Salary, respectively, shall be declared by Lemon in the 3rd quarter income tax return for the taxable year 2021? A. 2,000,000 and 1,100,000 B. 2,500,000 and 1,100,000 C. 500,000 and 100,000 D 2,500,000 and zero, respectively E None of the choices 11. Compute the taxable income of a domestic corporation that has the following: Gross income, P1,540,000 Expenses, P654,000 Dividends from a resident foreign corporation, P95,000 Royalties, Philippines, P230,000 Royalties, U.S.A, P175,000 Interest on time deposit with Metrobank, P18,000 Interest on money market placement, P25,000 A. 616,000 B. 641,000 C. 886,000 D. 1,156,000 12. Compute the taxable income of a domestic corporation who chose OSD and has the following: Gross receipts from services, P800,000 Cost of services, P200,000 Long term capital gain, P15,000 Short term capital loss, P5,000 Dividend from a domestic corporation, P15,000 Interest income from bank deposits, P10,000 Operating expenses, P120,000 A. 3 66,000 B. 3 60,000 C. 3 64,500 D. 3 80,000 13. Compute the taxable income of a resident foreign corporation that has the following: Gross income, Philippines, P15,000,000 Gross income, London, P60,000,000 Mixed Operating expenses, P30,000,000 A. 75,000,000 B. 15,000,000 C. 45,000,000 D. 9,000,000
