ILLUSTRATION 1

Received Nontaxable Taxable

Salary 540,000.00 540,000.00
Overtime 5,000.00 5,000.00
13th month pay 45,000.00 45,000.00
Other benefits 20,000.00 20,000.00
Laundry allowance 4,200.00 4,200.00
Total 614,200.00 69,200.00 545,000.00

Although the laundry allowance exceeds 300, the maximum other benefits is 90,000
and he only has 65,000, so the excess can still be covered

Tax on first 400,000 30,000.00

Excess of 400,000 36,250.00
Tax due 66,250.00

ILLUSTRATION 2
Received Nontaxable Taxable
Salary 960,000.00 960,000.00
Overtime 5,000.00 5,000.00
13th month pay 80,000.00 80,000.00
Other benefits 20,000.00 10,000.00 10,000.00
Laundry allowance 4,200.00 3,600.00 600.00
Total 1,069,200.00 93,600.00 975,600.00

Tax on first 800,000 130,000.00

Excess of 800,000 52,680.00
Tax due 182,680.00

ILLUSTRATION 3
Annual rent 100,000.00
Lease improvement
(1M*2/10)/8 25,000.00
Mario's Annual income 125,000.00

ILLUSTRATION 4
Mario's Annual income 100,000.00
Lease improvement 1,000,000.00
Mario's 2018 income 1,100,000.00

ILLUSTRATION 5
Mario's Annual income 100,000.00
Lease improvement
1M - (((1M*2/10)/8)*2) 950,000.00
Security deposit 200,000.00
Mario's 2020 income 1,250,000.00