ACC 311 Sample Problem

General Instructions: You are going to fill out BIR Forms for each of the problems given. You
will be graded according to the following criteria.

Correctness of tax computation - 50%

Completeness - 20%
Accuracy - 20%
Neatness - 10%
Total 100%

Please compile all the BIR Forms with BIR Form 1701Q as the first form,
followed by 1701 and 1702-RT. Please use LONG BOND PAPER for
uniformity.
PROBLEM 1
You are engaged in a small business. You signified your intention to be taxed at 8% income tax rate on
gross receipts in your 1st Quarter Income Tax Return for the year 2019. The following are the data on gross
receipts, cost of services and operating expenses.

1st Quarter 2nd Quarter 3rd Quarter 4th Quarter

Gross Receipts P 400,000 P 400,000 P 750,000 P 1,500,000
Less: Cost of Service 75,000 150,000 400,000 1,000,000
Gross Income 325,000 250,000 350,000 500,000
Less: Operating Expenses 50,000 70,000 230,000 270,000
Taxable Income 275,000 180,000 120,000 230,000

Required:
1. Compute for the income tax payable for the 1st three quarters and for the annual income tax.
2. Please use BIR Form 1701Q for the 1st three quarters and 1701 for the annual income tax.
3. Please use the following for the general information.
• TIN: 489-203-895
• Taxpayer’s Name: Your Name (Observe proper filling out of name)
• Registered Address: Your Address
• RDO Code: 113
• Date of Birth: Your Birthday
• Email Address: Your Address
• Citizenship: Filipino
PROBLEM 2
The income statement of your corporation for the year ended 2019 is shown below:
Sales P 3,000,000
Less: Cost of Sales 1,850,000
Gross Profit 1,150,000
Less: Allowable Deductions 1,000,000
Net income P 150,000

Required:
1. Compute for the income tax payable of the corporation for the calendar year ended 2019.
2. Please use BIR Form 1702-RT for this problem.
3. Please use the following for the general information.
• TIN: 285-094-823
• RDO Code: 113
• Registered Name: (Your Family Name) Corporation
• Registered Address: Your Address
• Date of Incorporation: August 5, 2013
• Contact Number: 09235739631
• Email Address: (your family name)corporation@gmail.com