Practice question
A taxpayer declares PHP1 million income but omits PHP400,000. For 248(B)'s stated numerical test, how does the omitted amount compare with declared income?
- It is 4% and necessarily below 30%.
- It is exactly 30%.
- The denominator must always be total worldwide population.
- It is 40% of declared income and exceeds the 30% threshold.
- The comparison is legally impossible despite the stipulated figures.
Legal references
- NIRC Sections204,206-208,222-223 and248-249, as applicable and amended: https://lawphil.net/statutes/repacts/ra1997/ra_8424_1997.html
- RA11976 Sections41 and45, EOPT surcharge and specified concessions: https://lawphil.net/statutes/repacts/ra2024/ra_11976_2024.html
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