BUSSTAX ACTIVITY#3
Solve for the 2 problems below as your practice exercies. Please refer to the tax table from the
powerpoint. We will discuss the solution tomorrow.
Problems:
1. Maegin Hawa, a Filipino citizen who supports his senior citizen father, reported the following
earnings and expenses during the year:
Gross Compensation income -P 2,000,000.00
Gross receipts derived from rent income-P 500,000.00
Bookkeeping fee from US clients -P 300,000.00
Personal living expenses- P 480,000.00
Expenses from her rental business- P200,000.00
a). How much is the net taxable income of Ms. Maegin by taking the best option to minimize
tax?
b). How much is the tax due if Ms. Maegin is a resident citizen?
TAX Due
c). How much is the total tax due if Ms. Hawa is Non-resident citizen? ____
Total Taxable Income:
2. Jack Collins is a resident alien with the following data for a year.
Net Income from the Phils. P 4,000,000
Net income from outside the Phils. 3,000,000
Capital gain on direct sale to buyer of shares of stock of
a domestic corporation 90,000
a). How much is his total income subject to income tax?
b). How much amount of tax due from his income? Refer to table:
First
Excess x
Total Tax Due
c). How much is the final tax amount due?
