MIDTERMS -TAX

9.

The following income was obtained by Scooby Doo, a resident citizen in the year 2019:

All are converted in peso and in gross amounts.

Interest Income from bank deposits, Philippines 30,000- 20% = 6000

Interest Income from bank deposits, USA 50,000

Interest Income from domestic depository banks under the FCDU 70,000 - 15% =10,500

Interest income from debt instruments within the coverage

of deposit substitute 60,000 - 20% =12,000

Interest income from loans 12%, Philippines 50,000

Interest Income from loans 5%, USA 40,000

How much is the Final withholding tax on interests? 28,500

Using the preceding number, how much is the interest income subject to the graduated tax?

50k + 50k +40k =140

10. The following Royalty income were earned by DJ Squammy in the year

13. The following income were earned by Tokmol from Philippines Sources during the taxable year 2019.

Royalty on Published book 100,000 -10% = 10,000

Prizes 300,000 – 150,000 = 150,000*20% = 30,000

PCSO winnings 150,000 – 20% = 30,000

Gain from sale of shares of stocks not traded in the Stock Exchange Ph200,000

Share in the Net Income after tax of a Joint Venture        40,000 X 10% = 4,000

Included in the prizes is Ph150,000 received for his nomination as Gawad Kalinga Ulirang Mamamayan
award. No future services are required as a condition to receive the award.

Dividends Include

How much is the Total Final Tax (FWT) on Passive Income?