Under Section 145 of the Tax Code, as amended, cigars shall be subject to an excise tax in accordance with the following schedule: 1/1/2017 2018 onwards 1. Ad valorem tax rate based on the net retail price *per cigar 20% 20% 2. Specific tax (per cigar) P5.85 per cigar Specific tax shall be increased by 4% every year Action Cigar Company manufactured cigars and removed them from the place of production on October 2018. The retail selling price per box, net of VAT and excise tax, was P3,000, and 1 box of cigars contained 25 cigars. *Net retail price (excluding excise tax and VAT) per cigar (Sec. 145, NIRC) Round your answer to the nearest peso. (e.g. 734.5 = 735) Compute the total excise tax due on a box of cigars.

Under Section 145 of the Tax Code, as amended, cigars shall be subject to an excise tax in accordance with the following schedule: 1/1/2017 2018 onwards 1. Ad valorem tax rate based on the net retail price per cigar 20% 20% 2. Specific tax (per cigar) P5.85 per cigar Specific tax shall be increased by 4% every year Action Cigar Company manufactured cigars and removed them from the place of production on October 2018. The retail selling price per box, net of VAT and excise tax, was P3,000, and 1 box of cigars contained 25 cigars. Net retail price (excluding excise tax and VAT) per cigar (Sec. 145, NIRC) Round your answer to the nearest peso. (e.g. 734.5 = 735) Compute the total excise tax due on a box of cigars.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 6RE: Smith Company is required to charge customers an 8% sales tax on all goods it sells. At the time of...

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Rainy-day Ltd is a company registered for Value Added Tax (VAT) in the United Kingdom. The following information is available in respect of Rainy-day Ltd’s VAT for the quarter ended 31 March 2021: Invoices were issued for sales to VAT registered customers of £16,200 in respect of exempt sales, £5,650 in respect of reduced rate sales and £205,250 in respect of standard rated sales. The reduced rate and standard rated sales figures are exclusive of VAT. Invoices were issued for sales to non-VAT registered customers of £32,350in respect of exempt sales and £25,670 in respect of standard rated sales. The standard rated sales figure is inclusive of VAT. On 25 March 2021 Rainy-day Ltd received a deposit for standard rated services to be supplied to a VAT registered customer on 31 March 2021. The customer paid the balancing payment on 31 March 2019. Rainy-day Ltd issued an invoice on 2 April 2021. The sales manager of Rainy-day Ltd is provided with free fuel for both business and private…

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	1/1/2017	2018 onwards
1. Ad valorem tax rate based on the net retail price *per cigar	20%	20%
2. Specific tax (per cigar)	P5.85 per cigar	Specific tax shall be increased by 4% every year