Practice question
A manufacturer subject to 150(b)-(c) has one principal office, one factory and a plantation in different localities. Its allocable sales base is PHP10 million. How is the factory/plantation portion allocated?
- PHP4.2 million to the factory and PHP2.8 million to the plantation.
- PHP7 million to each.
- PHP10 million to the plantation and nothing elsewhere.
- PHP3 million to each with the remainder ignored.
- All PHP10 million only to the principal office.
Legal references
- RA7160, LGC Sections139,145-146,150,157-163 and252-253: https://lawphil.net/statutes/repacts/ra1991/ra_7160_1991.html
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