Name: Mary Claire Y.

Miser
Section & Subject: BUS3 Governance, Business Ethics, Risk Management, and Internal Control
Class Schedule: 8am - 9am M/W/F
Teacher:Ruth Munieza

1. Will you comply with what the owner tells you to do? Why or why not?

No, I will not comply when the owner of the business asks me to do something unethical or illegal, in this issue
we face one of the most challenging dilemmas in our career. There are potential negative consequences for
speaking up, as well as for complying. It can feel like a lose situation but as an accounting staff for a sole
proprietorship business we should never comply with an illegal request. If the owner of the business asks me to do
something I know I shouldn't, I should first understand the facts, know my options, and consider the potential
outcomes before giving my response. This is my career, so I have to live with my choices for a lifetime. And
depending on the situation, it might adversely affect others' lives, too. So, I will make a way or solution on that. I
will send my boss an email restating the request. Hopefully at that point, any manager would see the poor choice
they're making. If the owner of the business is insistent, then I will record that in writing to the owner and explain
why I won't comply.

2. What will you say to the owner?

I will talk to the owner about the problem and seek advice. If he/she wants to achieve income tax reduction he/she
should do the right thing. Like invest in health insurance, claim deduction on your house rent allowance, claim
deduction on your home loan interest, contribute to charity and etc. There's a lot of way to reduce taxable income
of the business subject to income tax. As a business owner you should separate business and personal finances.
One of the simplest ways to get in tax trouble is having personal expenses recorded as business expenses. The
more on top of your business and personal tax records you are, the less likely that the internal revenue service will
find anything wrong with these records. Every business owner needs to pay taxes. While the exact amount you’ll
pay varies by state and business structure, taxes are one of the biggest costs associated with running a retail store.
Along with being one of the largest business expenses, taxes are one of the most important bills. Small business
owners that file their taxes late, inaccurately, or abandon them altogether face fines or in extreme cases, criminal
prosecution. Small business taxes aren’t as complex as you might think. A certified public accountant will help
you legally reduce your tax liability so you’re not left with a huge bill to pay at year end.

3. Will you report this to the authorities?

As long as the owner of the business listen to what I've said I will not report this to the authorities. But If he/she
do what he/she wants using illegal and unethical acts I will report it. Taxation is very important to the economy
that's why governments impose charges on their citizens and businesses as a means of raising revenue, which is
then used to meet their budgetary demands. This includes financing government and public projects as well as
making the business environment in the country conducive for economic growth. So, the owner should choose
wisely to what he/she acts.

4. 4. Is it right to justify unethical acts?

For me, unethical behavior cannot be justified. But someone can decide it is not unethical, hence no justification
is needed. Justification is argument that the behavior is, in fact, ethical. People justifying one's behavior can be a
defense mechanism for dealing with their actions or how their actions impacted and hurt other people.
Accountability is something easily prescribed to others but harder to swallow for yourself. It is, of course,
important to understand why people respond the way that they do.