Nicanor earned the following incomes (gross amounts) in 2020:...

Nicanor earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated)

Dividends from ABC Corp. a domestic corp - Php 100,000

Dividends from XYZ Corp. a foreign corp (dominant income is abroad) - Php 100,000

Royalty from books - Php 100,000

Royalty from other brands - Php 100,000

Royalty received from abroad - Php 100,000

Prizes from raffle - Php 10,000

Prize from a TV show - Php 1,000,000

Lotto winnings - Php 10,000

Lotto winnings - Php 10,000,000

14. Compute the total passive income in the Philippines subject to final tax.

15. Compute the total passive income exempt from taxation

16. Compute the total final tax.

17. Compute the ordinary / active / regular income subject to normal/regular income tax. 

Nicanor earned the following incomes (gross amounts) in 2020: (Assume source is Phils unless stated) From Business:

Gross sales - Php 1,000,000

Cost of sales - Php 200,000

Allowable deduction - Php 300,000

Other income:

Rental - Php 100,000

Interest income - Php 100,000

Compensation:

Gross compensation income - Php 120,000

Non-taxable compensation income - Php 20,000

Passive Income:

Dividends from ABC Corp. - Php 100,000

Cash Prizes - Php 10,000

Capital gains:

Sale of real property classified as capital asset:

Selling price - Php 5 Million

Zonal value - Php 10 Million

Assessed value - Php 4 Million

Appraiser's value - Php 20 Million

Sale of shares of stocks not listed in stock exchange:

Selling price - Php 2,000,000

Acquisition Cost - Php 1,000,000

Fair market value of stocks - Php 3,000,000

18. Compute the total gross income.

19. Compute the total capital gains tax.

20. Compute the annual income tax due

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E. Nicanor is a professional Architect and at the same time an employee of ABC Corp. He made available the following information: Architecture Gross receipts Php 2,000,000 Cost of service Php 1,000,000 Other valid expenses 200,000 Gross compensation Php 1,000,000 Non-taxable compensation Php 200,000 10. Compute the annual income tax due if Nicanor will opt for graduated tax rate. 11. Compute the annual income tax due if Nicanor will opt for 8% preferential tax rate. F. Nicanor is a professional Architect and at the same time an employee of ABC Corp. He made available the following information: Architecture Gross receipts Php 4,000,000 Cost of service Php 2,000,000 Other valid expenses Php 1,000,000 Gross compensation Php 1,000,000 Non-taxable compensation Php 200,000 12. Compute the annual income tax due if Nicanor will opt for graduated tax rate. 13. Compute the annual income tax due if Nicanor will opt for 8% preferential tax rate. G.

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