Specific tax (SPT) | VAT | PIT for Mix goods and entertainment services– Example 3
ABC is entertainment company, the following sales included any taxes for KTV and SKY BAR are as follows.
- Room fee = $33
- Drinking water = $1.1
- Food and meal = $55
Required
Calculate any taxes if any
Solution
1.Valued Added Tax (VAT)
VAT base = (33+1.1+55)/1.1=$81
VAT output = 81 x 10%=$8.1
2. Prepayment of Income Tax ( PIT)
PIT base = $81
PIT = $81 xx 1%=$0.81
3. Specific Tax (SPT)
SPT base = (33+1.1+55)/1.1/1.1=$73.64
SPT = $73.64=$7.36