Practice question
An eligible individual professional validly elects a full 40% OSD on P1 million qualifying gross receipts, with no other income or adjustment. What deduction does that produce?
- P1 million
- P400,000
- P600,000
- P40,000
- Zero solely because the person is professional
Legal references
- RA 9504, Section 3, NIRC Section 34(L) optional standard deduction: https://lawphil.net/statutes/repacts/ra2008/ra_9504_2008.html
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