CORPORATIONS

TAXABLE DOMESTIC RESIDENT FOREIGN NON-RESIDENT FOREIGN

PARTNERSHIPS CORPORATIONS CORPORATIONS CORPORATIONS
y- Regional Operating HQ,
ORDINARY tax base is Taxable
DEDUCTIONS APPLICABLE APPLICABLE Income. -Not Applicable, tax base is
(SEC. 34 A- x- Regional or Area HQ, tax Gross Income.
J)* base is Gross Income.
OPTIONAL y- Regional Operating HQ,
STANDARD -40% of gross -40% of gross 40% of Gross Income -Not applicable
DEDUCTIONS income. income. x-Regional or Area HQ
(OSD)**
DEDUCTIONS

*Section 34 A-J: Ordinary expenses, Interest, Taxes, Losses, Bad debts, Depreciation, Depletion of Oil and Gas
Wells and Mines, Charitable and Other Contributions, Research and Development, Pension Trusts

**Gross income shall mean gross sales less sales returns, discounts and allowances and cost of goods sold (for
trading/merchandising) or gross receipts less sales returns, allowances, discounts and cost of services (for sellers
of services).