Practice question
For an eligible individual electing OSD instead of itemized deductions, what maximum does Section 34(L) prescribe?
- Forty percent of gross sales or gross receipts, as applicable
- Forty percent of net income after every expense
- All personal consumption expenses
- Any percentage chosen each month
- One hundred percent of every receipt
Legal references
- RA 9504, Section 3, NIRC Section 34(L) optional standard deduction: https://lawphil.net/statutes/repacts/ra2008/ra_9504_2008.html
Answer this question in flashcards to review your response and continue practicing.