Assignment

Prepare the income tax return (2316) of the following employees. Encode your data in the Alphalist Data Entry V5.1.

Instruction:
1. Assume that you are the employer / withholding agent. Fill up the withholding agent information form.
2. Click 1604 Annual Icon
3. For each schedule, click the Add/Update icon to encode additional data
4. Note that the maximum 13th mo & other benefits allowed in the alphalist is P82,000. This is based on the old tax code. The
current allowed deduction is P90,000 based on the TRAIN law. Encode 82,000 for now. Just add the difference (P90,000 –
P82,000) of P8,000 to De Minimis Benefits
5. In the exemption portion, choose Z (zero exemption). Amount of exemption is P0. We don’t need to compute for exemptions
under the TRAIN law.
6. Under Substitute Filing click Yes.
7. Click Save
8. Click Form 2316
9. Print Form 2316

Schedule 7.1
Joe Dimaculangan Santos retired last June 30, 2018. Provided below is his annual income tax computation for 2018.

Not
Taxable Taxable Total
Basic salary 292,612.20 292,612.20
SSS, Philhealth & HDMF 7,387.80 7,387.80
Overtime pay 10,000.00 10,000.00
Retirement pay 750,000.00 750,000.00
De
13th month pay and other benefits Minimis Taxable Total
13th month pay 25,000.00 25,000.00
Rice subsidy 18,000.00 7,200.00
Uniform allowance 5,000.00 2,000.00
Monetized sick leave (for 15 days) 0.00 25,000.00 25,000.00
Monetized vacation leave (for 15 days) 16,666.67 8,333.33 25,000.00
Medical benefits to dependents 1,500.00 3,500.00 5,000.00
Actual medical benefits 10,000.00 70,000.00 80,000.00
Laundry allowance 3,600.00 1,200.00
Subtotal 131,833.33
Less: Maximum exempt amount (90,000.00)
Total 41,833.33 41,833.33 41,833.33
Total 757,387.80 344,445.53 1,101,833.33
Annual income tax
Flat amount 0.00
In excess 18,889.11
Total 18,889.11
Less: Withholding tax (January - November) (38,154.00)
Income tax refund upon retirement (19,264.89)
Schedule 7.3
Flor Cruz de Luna is a fresh graduate and started working in February 2018. Provided below is her annual income tax computation in
2018.

Not
Taxable Taxable Total
Basic salary 346,044.00 346,044.00
SSS, Philhealth & HDMF 13,956.00 13,956.00
Overtime pay 50,000.00 50,000.00
Profit sharing 50,000.00 50,000.00
De
13th month pay and other benefits Minimis Taxable Total
13th month pay 30,000.00 30,000.00
Christmas bonus 30,000.00 30,000.00
Rice subsidy 18,000.00 2,400.00 20,400.00
Uniform allowance 5,000.00 5,000.00 10,000.00
Monetized vacation leave 10,000.00 5,000.00 15,000.00
Subtotal 72,400.00
Less: Maximum exempt amount (90,000.00)
Total 0.00 0.00 0.00
Total 13,956.00 446,044.00 460,000.00
Annual income tax
Flat amount 30,000.00
In excess 11,511.00
Total 41,511.00
Less: Withholding tax (January - November) (17,610.00)
Income tax due on December 23,901.00

Katherine Marcial Mendoza began working in your company in 2000. Information related to her annual income tax for 2018 are as follows:

Not
Taxable Taxable Total
Basic salary 705,224.40 705,224.40
SSS, Philhealth & HDMF 14,775.60 14,775.60
Overtime pay 216,000.00 216,000.00
Fixed allowance 20,000.00 20,000.00
De
13th month pay and other benefits Minimis Taxable Total
13th month pay 60,000.00 60,000.00
14th month pay 60,000.00 60,000.00
Rice subsidy 18,000.00 6,000.00 24,000.00
Uniform allowance 5,000.00 5,000.00 10,000.00
Monetized sick leave 0.00 30,000.00 30,000.00
Actual medical benefits 10,000.00 40,000.00 50,000.00
Subtotal 201,000.00
Less: Maximum exempt amount (90,000.00)
Total 111,000.00 111,000.00 111,000.00
Total 14,775.60 1,052,224.40 1,067,000.00

Annual income tax

Flat amount 130,000.00
In excess 75,667.32
Total 205,667.32
Less: Withholding tax (January - November) (97,449.00)
Income tax due on December 108,218.32
Schedule 7.5
Agapito Florencio Dimagiba is a minimum wage employee. During the year, his compensation and income tax due are as follows:

Not
Taxable Taxable Total
Basic salary 125,910.00 125,910.00
SSS, Philhealth & HDMF 7,210.00 7,210.00
Overtime pay 10,240.00 10,240.00
Not
13th month pay and other benefits taxable Taxable Total
13th month pay 11,000.00 11,000.00
18,000.0
Rice subsidy 0 18,000.00
Uniform allowance 5,000.00 2,000.00 7,000.00
Monetized sick leave (for 15 days) 0.00 7,680.00 7,680.00
Monetized vacation leave (for 15 days) 5,120.00 2,560.00 7,680.00
Overtime meal allowance (10 days) 1,280.00 1,000.00
10,000.0
CBA benefits 0 2,000.00 12,000.00
Laundry allowance 3,600.00 3,600.00
Subtotal 25,240.00
Less: Maximum exempt amount (90,000.00)
Total 0.00 0.00 0.00
Total 143,360.00 0.00 143,360.00
Annual income tax
Flat amount 0.00
In excess 0.00
Total 0.00
Less: Withholding tax (January - November) 0.00
Income tax due on December 0.00