uan dela Cruz, a newly hired operations manager of ABC Company, wondered how much would be his withholding tax on compensation per month. Due to lack of technical knowledge on taxation, he consulted you and presented the following information:
uan dela Cruz, a newly hired operations manager of ABC Company, wondered how much would be his withholding tax on compensation per month. Due to lack of technical knowledge on taxation, he consulted you and presented the following information:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Juan dela Cruz, a newly hired operations manager of ABC Company, wondered how much would be his withholding tax on compensation per month. Due to lack of technical knowledge on
Basic monthly pay, P45,500.00
Monthly gas allowance, P1,000.00
Monthly rice subsidy, P2,500.00
Mobile load and internet allowance, P1,200.00
Monthly contributions:
SSS Contribution, P1,125.00
Pag-IBIG Contribution, P300.00
Philhealth Contribution, P1,800.00
Compute the withholding tax on compensation income of Juan dela Cruz using this formula: 2,500 + (Excess of 33,333 * 25%)
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