April Blues

Dear fresh graduate,

If you see your father having tax blues in April even as you are probably feeling your own graduation jitters, think of some questions your Accounting or Finance professor may have missed to ask. If you do enjoy searching for answers even if you’re not sure you found the right one, you may be good BPO firm material.

Here goes:
Having tax blues or jitters in April? Here’s something better than bottomless cups of coffee:

PDI of April 16 reports Kris Aquino, 42, paid P49M in taxes for 2011, according to the BIR website. Manny V. Pangilinan paid P26M, Henry Sy P16M, and Manny Pacquiao P6M. How much did I pay? How much do you want to pay once you find a job?

If they paid so much tax in 2011, how much were they paid or how much did they earn for the same period? What then seems to be the most profitable profession to be in? The arts? Entertainment? Shoe making? Money making? Endorsing shoes? Or endorsing money? Are you in the right profession for which you spent 4 to 5 years learning and training?

What if the four persona were financial instruments like listed stocks in the PSE or bonds in the PDEX with floor symbols KA, MVP, HS, and MP? If you run the numbers would you derive earnings of P153M for KA, P81M for MVP, P50M for HS and P19M for MP? What if a Fund Manager wanted to acquire those financial instruments at 10X earnings, at what value would he make a bid for each? At what price would you buy any of the 4? Which will be your top choice?

As a side note, if KA merged MVP, what would be the tax implications for both? What if KA acquisitioned MP (as in Mergers & Acquisitions)?

I know the answer to each of these questions! And how do I know? Simple, my BPO provider figured it out!

So there you go, no need for tax blues in April after all! Or in any other month or year for that matter. Outsource and relax. Relax and enjoy worry-free Tax, Estate or Pre-nup planning, by-products you won’t get from Starbucks.

Bob Calida