The following are the revenue items in the Income Statement of a domestic corporation for the year 2021: Gain from sale of office equipment, P20,000 Gain from sale of land not used in business (selling price of P300,000), P100,000 Gain from sale of shares of stock directly to the buyer, P50,000 Gain from sale of shares of stock through the stock exchange (selling price, P200,000), P10,000 Bad debt recovery, P50,000 How much is the total capital gains tax? a. P21,250 b. P25,500 c. P60,000 d. P45,000

The following are the revenue items in the Income Statement of a domestic corporation for the year 2021: Gain from sale of office equipment, P20,000 Gain from sale of land not used in business (selling price of P300,000), P100,000 Gain from sale of shares of stock directly to the buyer, P50,000 Gain from sale of shares of stock through the stock exchange (selling price, P200,000), P10,000 Bad debt recovery, P50,000 How much is the total capital gains tax? a. P21,250 b. P25,500 c. P60,000 d. P45,000

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter18: Comparative Forms Of Doing Business

Section: Chapter Questions

Problem 16P

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Fisafolia Corporation has gross income from operations of $210,000 and operating expenses of $160,000 for 2019. The corporation also has $30,000 in dividends from publicly traded domestic corporations in which the ownership percentage was 45 percent. Calculate the corporation's dividends received deduction for 2019. $_____________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $135,000. Calculate the corporation's dividends received deduction for 2019. $___________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $158,000. Calculate the corporation's dividends received deduction for 2019. $_____________
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The following data are available for X Corp, a Domestic Corporation, with Total Assets of P40 million, in Q1 and Q2 of CY 2022: Quarter 1 resulted to income tax due of P20,000 (RCIT is higher under/using OSD, as signified by the corporation in its ITR for the first quarter of CY 2022). Quarter 2 shows cumulative gross income of P2,000,000 and cumulative taxable net income of 50,000 under itemized deductions. In CY 2021, total tax credits are P100,000 compared to income tax due of P90,000. What is the income tax payable in Quarter 2?
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Consider the following income statement for the Heir Jordan Corporation: HEIR JORDAN CORPORATION Income Statement Sales $ 43,500 Cost 34,100 Taxable income $ 9,400 Taxes (24%) 2,256 Net income $ 7,144 Dividends $ 2,515 Addition to retained earnings 4,629 The balance sheet for the Heir Jordan Corporation follows. HEIR JORDAN CORPORATION Balance Sheet Assets Liabilities and Owners’ Equity Current assets Current liabilities Cash $ 2,550 Accounts payable $ 2,400 Accounts receivable 3,800 Notes payable 5,100 Inventory 9,000 Total $ 7,500 Total $ 15,350 Long-term debt $ 24,000 Owners’ equity Fixed assets Common stock and paid-in surplus $ 16,000 Net plant and equipment $ 38,000 Retained earnings 5,850 Total $ 21,850 Total assets $ 53,350 Total liabilities and owners’ equity $ 53,350 Prepare a…
The following were taken from the statement of comprehensive income of a Resident Foreign Corporation for 2021: Sales P2,500,000 Cost of sales 1,500,000 Operating expenses (excluding bad debts) 500,000 Rental income (including P50,000 security deposit) 300,000 Provision for bad debts 50,000 Provision for income tax 75,000 Additional information: Accounts written off during the year P60,000 2021 recoveries on accounts receivable written off in 2020 (only P10,000 were recognized by the BIR as 20,000 reduction for 2020 income) Refunds for various local taxes paid in 2020 (50% of the amount recovered were recognized by the BIR as a 30,000 reduction for 2020 income) Refunds for overpayment of 2020 income tax 25,000 Refund of special assessment 12,000 Total assets 4,000,000 Compute the regular income tax
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