PREFERRED TUTOR IS FROM THE PHILIPPINES WHO KNOWS APPLICABLE TAX LAW (TRAIN LAW, CREATE, ETC)

Topic: Corporations

St. Matthew Hospital, a private 40-bed hospital in Bataan province, presented the following data for the taxable year, 2018:

Gross receipts from patients and laboratory 5,000,000.00 ;

Income earned from unrelated activities 1,500,000.00 ;

Total hospital expenses 2,300,000.00.

REQUIRED:

• What is the rate of unrelated activity income to St. Matthew Hospital's gross income?
• Determine the income tax liability of St. Matthew Hospital