POLYTECHNIC UNIVERSITY OF THE PHILIPPINES
223 Ortega St., cor. A. Mabini St. Brgy. Addition Hills, San Juan City Metro Manila, Philippines 1500
Tel. No. (+63 2) 7738-5071
BSA 2-2 MEMBERS:
• Astillo, Shereelyn
• Biscoro, Paula Mae
• Cadion, Elieza
• Delos Reyes, Angel
• Ore, Wynnona Angela
• Sambalon, Marianne
WORD PROBLEMS:
1. A taxpayer sold part of his land for Php. 3,500,000 in 2022. The recent tax declaration
showed that the land had a total market value of Php. 4,000,000. The land has a total
historical cost of Php. 3,000,000. How much would be due for the capital gains tax?
2. Pedro, resident citizen, realized the following gains from sale of assets:
Capital gains on sale of shares of a domestic corporation Php. 110,000
sold directly to a buyer (Sales Price – Php. 1,100,000;
Cost – Php. 1,000,000)
Gain on sale of shares of a domestic corporation sold in Php. 25,000
the local stock exchange (Sales Price – Php. 115,000;
Cost – Php. 90,000)
Gain on sale of real property classified as capital asset in Php. 500,000
the Philippines (Sales Prices – Php. 2,000,000; FMV –
Php. 3,000,000; Acquisition Cost when acquired 3 years
ago – Php. 1,500,000)
Gain on sale of real property abroad (Sales Price – Php. Php. 300,000
3,000,000; FMV – Php. 2,500,000; Acquistion Cost when
acquired 3 years ago – Php. 2,700,000)
How much is the total capital gains tax?
POLYTECHNIC UNIVERSITY OF THE PHILIPPINES
223 Ortega St., cor. A. Mabini St. Brgy. Addition Hills, San Juan City Metro Manila, Philippines 1500
Tel. No. (+63 2) 7738-5071
3. The following cumulative balances on income and expenses in 2018 of Juan Dela Cruz
were given to you:
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Gross Sales Php. 1,200,000 Php. 2,100,000 Php. 3,000,000 Php. 3,700,000
Cost of Sales Php. 700,000 Php. 1,200,000 Php. 1,800,000 Php. 2,200,000
Business Php. 200,000 Php. 325,000 Php. 550,000 Php. 700,000
Expenses
Income taxes
paid on:
Interest income Php. 1,560 Php. 3,040 Php. 4,520 Php. 5,960
Sale of Land Php. 24,000 Php. 24,000 Php. 24,000 Php. 24,000
Dividend Php. 10,000 Php. 10,000 Php. 20,000 Php. 20,000
received from
domestic
corporation
Interest
income from
BPI Php. 2,000 Php. 4,000 Php. 6,000 Php. 8,000
UCPB Php. 800 Php. 1,200 Php. 1,600 Php. 1,800
Metro Bank Php. 5,000 Php. 10,000 Php.15,000 Php. 20,000
Capital gain Php. 80,000 Php. 80,000 Php. 80,000 Php. 80,000
sale of land
Selling Price:
P400,000
Cost:
P320,000
Using the above information, compute the following for 2018:
1. Income tax payable, first quarter
2. Income tax payable, second quarter
3. Income tax payable, third quarter
4. Income tax payable, fourth quarter
5. Final tax on passive income
6. Capital gains tax
