Compute the income tax payable, if any. Relevant information: YOU are the Accountant of Pa-Mine Corporation (PMC) wh

SWFT Comprehensive Volume 2019
42nd Edition
ISBN:9780357233306
Author:Maloney
Publisher:Maloney
Chapter17: Corporations: Introduction And Operating Rules
Section: Chapter Questions
Problem 46P
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Compute the income tax payable, if any. Relevant information: YOU are the Accountant of Pa-Mine Corporation (PMC) which was established in 2015. PMC is a company engaged in the business of buying and selling merchandise. PMC is registered and is under the jurisdiction of BIR RDO No. 32-Manila with assigned Taxpayer Identification No. 123-456-789-00000. Your TIN is 987-654-321-0000. PMC’s registered address is N. Reyes St., Sampaloc, Manila. Additional information: PMC chose itemized deduction The financial records for taxable year 2021 of PMC showed the following: Gross sales – Php 10,000,000 Cost of sales – Php 5,000,000 Expenses – Salaries and wages of employees – Php 2,000,000 Depreciation – Php 500,000 Rent expense – Php 500,000 Utilities in office – Php 200,000 Gas and oil – Php 200,000 Representation expense – Php 50,000 Registration fees of car and other taxes – Php 50,000 3. Your clients withheld the following and gave you Form 2307: 1st quarter 2307 – Php 50,000 2nd quarter 2307 – Php 50,000 3rd quarter 2307 – Php 50,000 4th quarter 2307 – Php 150,000 4. Over-payment in 2020 is Php 100,000 5. Total payments during quarterly returns is Php 200,000 6. PMC chose to carry-over the excess, if any. Disregard the penalty, if any.
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