COMPENSATION INCOME EXERCISES

1. A resident citizen occupying a supervisory position in a multinational corporation located

in Bonifacio Global City received the following income in CY 2018:

Basic Salary 360,000.00

13th Month Pay 30,000.00
Christmas Gift 25,000.00
Uniform and Clothing Allowance 5,000.00
Actual Medical Assistance 35,000.00
Attendance Bonus 24,000.00
Grocery Allowance 24,000.00
Sickleave Monetization (15 days) 20,689.65
Vacation Leave Monetization (15 days) 20,689.65
Other Bonuses 50,000.00

Social Security System Contribution 6,975.60

PHIC Membership Contribution 6,600.00
HDMF Membership Contribution 6,000.00

Requirements: Compute the following:

a. Gross Taxable Compensation Income
b. Supplementary compensation.
c. Total exempt benefits including Deminimis Benefit
d. Net Taxable Compensation Income
e. Tax Due

2. A resident citizen employed in the government with Salary Grade 22, received the
following income in CY 2018:

Basic Salary 704,604.00

13th Month Pay 58,717.00
Peformance Based Bonus 29,358.50
14th Month Pay 58,717.00
Uniform and Clothing Allowance 6,000.00
Leave Monetization (20 days) 38,608.44
Medical Assistance Allowance 10,000.00
PERA/ACA 24,000.00
Grocery Allowance 60,000.00
Rice Allowance 12,000.00
Longevity Pay (Cash) 5,000.00
GSIS Membership Contribution 63,414.36
HDMF Membership Contribution 1,200.00
Pag-ibig MP 2 (Salary Deduction) 12,000.00
Cooperative Membership Contribution 6,000.00

Requirements: Compute the following:

f. Gross Taxable Compensation Income
g. Supplementary compensation.
h. Total exempt benefits including Deminimis Benefit
i. Net Taxable Compensation Income
j. Tax Due