Mr. Pol is a resident citizen with an income of Php50,000 per month. He has no dependents and is still single and available. His total SSS, Paag-IBIG, PhilHealth and other contributions is Php1,000. What is the income tax withheld? Answer: Tax withheld = Php 6,416.75 Step-by-step explanation: Monthly income: Php 50,000 Contributions, monthly: Php 1,000 Compute the net taxable income, monthly: Net taxable income = 50,000 - 1,000 Net taxable income = 49,000 For monthly taxable income for bracket Php 33,333 to Php 66,000, compute the monthly withholding tax as follows: Tax Withheld = 2,500 + 25% (x - 33,333) Where: x = taxable income above 33,000 x = Php 49,000 Compute the income tax withheld for the month: Tax withheld = 2,500 + 0.25 (49,000 - 33,333) Tax withheld = 2,500 + 0.25 (15,667) Tax withheld = 2,500 + 3,916.75 Tax withheld = Php 6,416.75 Please see attached actual BIR tax schedule beginning 2018.
Comments
Post a Comment