A taxpayer forgot to register his book of accounts on time. Which of the following penalties will be charged to him for the violation? * a. 25% surcharge penalty b. 12% annual interest penalty c. P1,000 compromise penalty d. All of these penalties

A taxpayer forgot to register his book of accounts on time. Which of the following penalties will be charged to him for the violation? * a. 25% surcharge penalty b. 12% annual interest penalty c. P1,000 compromise penalty d. All of these penalties

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter18: Accounting Periods And Methods

Section: Chapter Questions

Problem 8DQ: LO.2 In 2019, the taxpayer became ineligible to use the cash method of accounting. At the beginning...

See similar textbooks

Related questions

Q: Clyde is a cash-method taxpayer who reports on a calendar-year basis. This year Paylate Corporation…

A: Income tax is the tax imposed by the government on the income earned by an individual or company.…

Q: A taxpayer received a notice from the BIR to file his 2020 income tax return not later than January…

A: solution concept provision The interest penalty is levied @ 20% pa of the tax due after April 15 of…

Q: A taxpayer filed his income tax return in October 28, 2018. The deadline for the return was April…

A: solution concept as per the income tax provision stated by BIR In case if a person fails to file…

Q: Disregarding interest, calculate the total penalty that John will be required to pay, assuming the…

A: Given information is: John filed his individual income tax return 3½months after it was due. He had…

Q: When Lowes Home Improvements sells a new $223 air compressor to a customer, the sale is subDject to…

A: 223

Q: On November 1, 2020 Mr. Raul Ferrer a VAT registered taxpayer made the following purchases from VAT…

A: VAT is the value added tax. Vat rate in Philippines is 12%. Input vat of capital goods should be…

Q: Ashley received a civil judgement against Sales Associate Betsy. The judge awarded Ashley $10,000 in…

A: The commissioner establishes and maintains a recovery fund for the benefit of any person aggrieved…

Q: A taxpayer filed his income tax return in October 28, 2022. The deadline for the return was April…

A: solution concept as per the income tax provision stated by BIR in event when a person fails to file…

Q: f an amount is zero, enter "0". If required, round your answers to two decimal places. a.…

A: A) Due amount = $ 7720 Duration of Due months = 11 As per IRS: Penalty is calculated 0.5% of unpaid…

Q: . Jack filed his tax return 8 months and 27 days late and did not request an extension of time for…

A: Workings: Jack filed his tax return 8 months and 27 days late Jack to Receive $ 9695 as refund in…

Q: . The taxpayer is VAT-registered. He purchased goods from a VAT-supplier for 200,000 price exclusive…

A: 1) In the given goods are purchased for 200,000 ( exclusive of VAT) VAT = 12% ( 200000 x 12%) The…

Q: Rita files her income tax return 35 days after the due date of the return without obtaining an…

A: Solution:- Calculation of the balance of the tax she owes as follows under:- Basic information:-…

Q: Joan filed her tax return 4 1/2 months late no extension was requested a check for 750.00 was…

A: Workings: Amount x percent of late fee x Number of months.

Q: A taxpayer received a notice from the BIR to file his 2020 income tax return not later than January…

A: Surcharge- Surcharge refers to an addition of extra charge on the decided or identified price. In…

Q: Compute the penalty described for the following taxpayers. If an amount is zero, enter "0". If…

A: As per IRS, if any assessee fails to pay taxes till due date, then late payment penalty called…

Q: A person who owes total federal income taxes of $4,420 but had total withholdings of $3,980 would:…

A: Total Federal Taxes = $4420 Total withholdings = $3980

Q: Which of the following liabilities would be considered nonrecourse? A bank loan for which the…

A: Lets understand basics. Non recourse liabilities are liabilities which are secured by the…

Q: A taxpayer made available the following financial information: Gross receipts - Php…

A: Total allowable deduction if the taxpayer is a resident citizen = Cost of service + Depreciation…

Q: Identify which scenario is an appropriate tax planning strategy. A taxpayer choosing to exclude cash…

A: Tax planning is to be considered important part . tax planning help to take advantage of…

Q: Until the time of the examination of its book, the taxpayer failed to withhold 10% withholding tax…

A: Withholding tax is aliability tobe fullfilled by the…

Q: What are Lou’s allowable current-year deductions?

A: Penalty for breach of business contract $3,200 State sales tax penalty for late remittance $2,500…

Q: Find the amount returned to a single taxpayer who made $17000 last year and can deduct $12000. The…

Q: Taxpayer started a calendar-year business on 1 August 2020. On that date, Taxpayer paid $9,600 in…

A: Calendar year: Ca lender year start from 1st January and end on 31st December. Cash System of…

Q: A taxpayer made available the following financial information: Gross receipts - Php…

A: Answer: Gross receipts - Php 10,000,000 Minus: Cost of service – Php 6,000,000 Gross Income –…

Q: A taxpayer acquires office equipment for $10,000. Which one of the following choices is not an…

A: Depreciation is the decline in the value of assets at the end of every year.

Q: ta owes Christopher PHP80,000 which is due on April 20. On the other hand, Christopher owes Dakota…

A: Payment due on the day of the payment should be considered only and payment due before that is…

Q: Lorna Hall’s real estate tax of $2,010.88 was due on December 14, 2019. Lorna lost her job and could…

A: Penalty is some sort of punishment which is levied by the tax department on an individual for not…

Q: Mark Smythe, 53, quit his job at Servicetronics Corporation and did not arrange a direct rollover of…

A: Since there is no rollover, the entire $100,000 would be received by him as a distribution check.…

Q: taxpayer received a notice from the BIR to file his 2019 income tax return not later than January…

A: Taxpayers are allowed for deductions of investment expenses and miscellaneous itemized deductions…

Q: Clyde is a cash-method taxpayer who reports on a calendar-year basis. This year Paylate Corporation…

A: Gross income is the amount paid before deduction of taxes or other deductions and is inclusive of…

Q: Clyde is a cash-method taxpayer who reports on a calendar-year basis. This year Paylate Corporation…

A: Taxation refers to the imposition of compulsory financial obligation by the government on…

Q: 1. Deductible transportation expenses: a.Do not include the normal costs of commuting. b.Do not…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: . A taxpayer forgot to file and pay his annual income tax return for the year 2019. He only recalled…

A: For computing interest the days of delinquency begin from the date when the tax return is to be…

Q: Determine the total amount that will qualify for itemized deduction by the taxpayer. Rita needed…

A: Interest is a finance charge paid on the borrowed funds. The deduction is largely based upon the…

Q: John has an auto which is covered for collision losses subject to a $250 deductible. Kate's auto…

A: Collision insurance or coverage is described as an amount which is paid by the insurance company to…

Q: Alexi files her tax return 29 days after the due date. Along with the return, she remits a check for…

A: If any individual files after 29 days of the due date so the penalty will be applicable for 1 month,…

Q: Calculate the amount of Geoffrey's penalty for failure to file his tax return on time, assuming the…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: QUESTION This in the first year a taxpayer has used a vehicde for business. They drive 0,000…

A: Total Expenses: It would be an aggregate of all the operation expenses incurred during the period.…

Q: b. Joan filed her individual income tax return 3 months after it was due. She did not request an…

A: Taxable income is the measurement of income which is used to calculate the amount of tax that needs…

Q: 1. The taxpayer is VAT-registered. He purchased goods from a VAT-supplier for 200,000 price…

A: VAT means the value added tax which is levied on sale and purchase . Vat paid on purchases is booked…

Q: Joan filed her individual income tax return 4½ months after it was due. She did not request an…

A: SOLUTION- THERE ARE A RULE THAT IF THE RETURN HAS BEEN FILED MORE THAN 60 DAYS AFTER THE DUE DATE ,…

Q: 20. Which of the following is subject to tax? a. P6,000 representing his unused vacation ieave…

A: Travelling expenses reimbursement is not subject to tax.

Q: a. Wilson filed his individual tax return on the original due date, but failed to pay $270 in taxes…

A: A penalty is a fee levied by the IRS for failing to pay taxes by the yearly deadline or for failing…

Question

A taxpayer forgot to register his book of accounts on time. Which of the following penalties will be charged to him for the violation? *

a. 25% surcharge penalty

b. 12% annual interest penalty

c. P1,000 compromise penalty

d. All of these penalties

e. Answer not given

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

LO.2 In 2019, the taxpayer became ineligible to use the cash method of accounting. At the beginning of the year, accounts receivable totaled 240,000, accounts payable for merchandise totaled 80,000, and the inventory on hand totaled 320,000. What is the amount of the adjustment due to the change in accounting method?
Which of the following liabilities would be considered nonrecourse? A bank loan for which the taxpayer is personally liable. b.A $20,000 real estate loan which allows the bank to take the real estate if the taxpayer stops making payments on the loan. c.Credit card debt. d.All of these choices are non-recourse liabilities.
A taxpayer received a notice from the BIR to file his 2019 income tax return not later than January 15, 2021. The tax due per his return is P80,000. How much is the surcharge penalty? a. P9,600 b. P20,000 c. P40,000 d. P16,000 e. Answer not given
the answer for a) sholud be either 0,25,75 or 100% b) Yes, because this causes Saturday, Sunday and Monday to be nonbusiness days or No, because this causes Saturday and Sunday to be business day c) Under part a) and b) what percentage of the airfare is deductible either 25, 50, 80, all or none
Determine the amount of the late filing and late payment penalties that apply for the following taxpayers. Show Transcribed Text Required A Required B Required C Wilfred, attempting to evade his taxes, did not file a tax return or pay his $13,400 in taxes for several years. Late filing and late payment penalties $ 10,050
Discussion Question 1-42 (Algorithmic) (LO. 5) Rita files her income tax return 120 days after the due date of the return without obtaining an extension from the IRS. Along with the return, she remits a check for $98,000, which is the balance of the tax she owes. Note: Assume 30 days in a month. Disregarding the interest element, enter Rita's failure to file penalty and failure to pay penalty. Failure to pay penalty $ Failure to file penalty X X
Problem 4-35 (LO. 2) Determine the effects of the following on a cash basis taxpayer's gross income for 2021 and 2022. If an amount is zero, enter "0". Gross Income Gross Income 2021 2022 On the morning of December 31, 2021, the taxpayer received a $1,500 a. check from a customer. The taxpayer did not cash the check until January 3, 2022. b. On the morning of December 31, 2021, the taxpayer received a $1,500 $4 $4 check from a customer. The customer asked the taxpayer not to cash the check until January 3, 2022, after the customer's salary check could be deposited. C. On December 31, 2021, the taxpayer received a $1,500 check from a $4 customer. The check was not received until after the bank had closed on December 31, 2021. The taxpayer did not cash the check until January 3, 2022.
1. A taxpayer forgot to file and pay his annual income tax return for the year 2019. He only recalled it when he received a notice of assessment from the BIR on June 15, 2020 obliging him to pay on June 30, 2020. He filed it only on August 15, 2020. In computing the interest, when should he start counting the number of days of delinquency? A. December 31, 2019 B. April 15, 2020 C. June 15, 2020 D. June 30, 2020 2. X died leaving his surviving spouse, legitimate child, recognized illegitimate child, and parents. Who inherits from X? a. Surviving spouse and legitimate child only b. Surviving spouse, legitimate child, and parents c. Surviving spouse, legitimate child, and recognized illegitimate child d. Legitimate child only 3. In donor’s taxation, which is not considered in determining the taxability of donation? A. Tax classification of the donor B. Location of the property C. Relationship of the donee to the donor D.…
Determine the effects of the following on a cash basis taxpayer’s gross income for 2020 and 2021: a) On the morning of December 31, 2020, the taxpayer received a $1,500 check from a customer. The taxpayer did not cash the check until January 3, 2021. b)The same as part (a), except that the customer asked the taxpayer not to cash the check until January 3, 2021, after the customer’s salary check could be deposited. c) The same as part (a), except that the check was not received until after the bank had closed on December 31, 2020.
Accounting Problem 9. A taxpayer deducted P500 interest expense in 2017 but failed to pay the same due to financial difficulty. The lender condoned the interest in 2021. Data are as follows: 2017 2018 2019 2020 2021 Income before interest P100 (P130) P80 (P160) P300 (Interest Expense)/ Condonation of interest (500) 500 Q1. What is the taxable income in 2021? Q2. What is last year to apply P160 NOLCO incurred in 2020?
b. Joan filed her individual income tax return 4(1)/(2) months after it was due. She did not request an extension of time for filing. Along with her return, Joan remitted a check for $750, which was the balance of the taxes she owed with her return. Disregarding interest, calculate the total penalty that Joan will be required to pay, assuming the failure to file was not fraudulent.
b. Joan filed her individual income tax return 3 months after it was due. She did not request an extension of time for filing. Along with her return, Joan remitted a check for $11,510, which was the balance of the taxes she owed with her return. Disregarding interest, calculate the total penalties that Joan will be required to pay, assuming the failure to file was not fraudulent.$