Practice question
What does an allowable income-tax credit ordinarily offset?
- Gross sales before income computation
- The computed tax liability, subject to applicable limits
- The taxpayer's inventory quantity
- Only gross profit before deductions
- The number of taxable months
Legal references
- NIRC Section 31, as amended by RA 10963 Section 8; https://lawphil.net/statutes/repacts/ra2017/ra_10963_2017.html
- NIRC Section 34(C), distinction between deduction and credit for qualifying foreign taxes; https://lawphil.net/statutes/repacts/ra1997/ra_8424_1997.html
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