Professional Documents
Culture Documents
By:
TRUE
FALSE
TRUE
TRUE
TRUE
D
B
B
D
B
D
D
B
D
B
B
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
B
C
D
D
A
B
A
D**
D
D
B
(2) P19,300,000
(3) P11,800,000
(4) P14,300,000
(P2.2)
Total Gross Estate
P78,000,000
(P2.3)
Total Gross Estate
P4,075,000
***Mean value shall be used only if the quotation price at the date of death is not determinable (RR 2-2003)
(P2.4)
(1)P230,0000; (2)P1,100,000; (3)P0; (4)P5,000,000; (5)P1M + [1M x (1M x 10% x 1.5)] = P1,150,000
MODIFIED IDENTIFICATION
EXERCISE A
1. Included
6. Excluded
2. Included
7. Excluded *
3. Excluded
8. Included **
4. Included
9. Excluded
5. Excluded
10. Included***
*Designated by the prior decedent
**Exclusions from the gross estate. Nonetheless, the tax code requires these items to be included first in the gross
estate before deducting the same from the gross estate.
*** Bequests to charitable institutions are considered exclusions from the gross estate only if the problem clearly states
that not more than 30% were used for administrative purposes. However, even if not more than 30% of the bequests
were used for administrative purposes, the tax code still require these items to be included first in the gross estate
before deducting the same for estate tax purposes.
EXERCISE B
EXERCISE C
1.
2.
1.
2.
P10M
P20M
3.
4.
5.
3.
4.
5.
TRUE OR FALSE
1. TRUE
2. TRUE
3. TRUE
4. FALSE
5. TRUE
6.
7.
8.
9.
10.
FALSE
FALSE
FALSE
TRUE
TRUE
11.
12.
13.
14.
15.
FALSE
TRUE
TRUE
FALSE
FALSE
16.
17.
18.
19.
20.
TRUE
TRUE
FALSE
TRUE
FALSE
MULTIPLE CHOICE
1. A
2. B
3. D
4. B
5. C
6. C
7. A
8. B
9. A
10. A
11. A
12. B
13. D
14. A
15. C
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
D
C
B
D
A
D
A
B
A
C
C
C
D
B
D
31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
41.
42.
43.
44.
45.
C
B
A
B
B
D
C
B
C
C
C
B
C
B
C
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
D
C
C
D
D
D
C
C
C
B
D
C
C
A
A
P5M
P10M
P0
61.
62.
63.
64.
65.
66.
67.
68.
69.
70.
71.
72.
73.
74.
75.
A
A
C
D
B
A
C
C
D
D
D
A
D
D
B
(P3.1)
(P3.2)
(Funeral Expenses)
Case A: P150,000
Case B: P200,000
Case C: P150,000
Case D: P150,000
P0
Mourning clothing (donated by the decedents employer)
Expenses paid by relatives
Telecommunication charges paid by the friends
Cost of burial plot, coffin, interment fees and other funeral charges
paid by an insurance company
DEDUCTIBLE FUNERAL EXPENSE
P-nil-
Same answer with question #1. Whether or not the estate was settled judicially is
irrelevant in the determination of allowable deduction for judicial expenses.
(P3.8)
(P3.9)
(P3.10)
(P3.11)
P500,000
P500,000
P150,000
P500,000
P0
P1,000,000
P500,000
P0
P500,000
P600,000
P750,000; [ (1M/2) + (500,000/2)]
7.
8.
9.
10.
11.
12.
TRUE
TRUE
TRUE
FALSE
FALSE
FALSE
13.
14.
15.
16.
17.
18.
FALSE
FALSE
TRUE
FALSE
TRUE
TRUE
19.
20.
21.
22.
23.
24.
TRUE
TRUE
TRUE
FALSE
TRUE
TRUE
25.
26.
27.
28.
29.
30.
TRUE
TRUE
FALSE
TRUE
FALSE
TRUE
MULTIPLE CHOICE
1. C
2. D
3. D
4. C
5. B
6. B
7. D
8. C
11.
12.
13.
14.
15.
16.
17.
18.
C
B
A
A
A
D
D
C
21.
22.
23.
24.
25.
26.
27.
28.
A
A
B
B
B
C
A
C
31.
32.
33.
34.
35.
36.
37.
38.
C
A
C
B
B
D
A
D
41.
42.
43.
44.
45.
46.
47.
48.
C
A
A
C
D
A
A
A
9.
10.
A
B
19.
20.
D
P650,000
29.
30.
D
C
39.
40.
D
D
49.
50.
B
D
P5.2
Estate tax payable after tax credit
ALLOWED TAX CREDIT
P67,500
P67,500
P5.3
(a) Net Taxable estate = P3,570,000; (b)Estate tax due after tax credit = P142,770
(c ) Net Distributable Estate = P4,427,230
P5.4
NET TAXABLE ESTATE
ESTATE TAX PAYABLE
NET DISTRIBUTABLE ESTATE
ULTIPLE CHOICE
1. B
2. C
3. D
4. C
5. C
6. C
7. C
8.
9.
10.
11.
12.
13.
14.
A
D
A
D
D
A
D
P1,325,000
P81,000
P2,994,000
15.
16.
17.
18.
19.
20.
21.
A
C
C
A
D
A
C
22.
23.
24.
25.
26.
27.
28.
C
A
C
D
C
A
B
29.
30.
31.
32.
C
D
A
B