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3M-2M(OS)-200K(TS)=800000*10%=
P80,000.
TAX.0023
SOLUTION
SOLUTION
The regular income tax is higher,
[(20k.02)- 900k] x 30% = 30,000. The answer is P21,000. Gross taxable CI is
(P11,000 x 12 regular CI, plus P1,000
Thus, P14,000 (30-5-11) is the tax still due
supplemental CI) less P1,000 x 12 non-
taxable CI (SSS, HDMF, etc.) LESS P100K
personal exemptions. NOTE: 13th month &
other benefits do not include performance
bonus. Note also that it does not exceed Mr. A won a one way ticket to the
P82,000.
moon. Mr. A sells his house and lot,
located in the Philippines, to a buyer
for 1,000,000. Mr. A acquired the
TAX.0022
property two years ago for
20,000,000. The property is
Mr. A owns 1,000 shares of ABC Co., considered a capital asset. Compute
a domestic corporation. If ABC Co. for the tax liability of Mr. A.
pays 20 cash dividends per share,
SOLUTION
how much cash, net of tax, will Mr. A
receive? (Note: Mr. A is a natural Answer: 60K (1M x 6%)
born, full-blooded Filipino and he is
my neighbor) - P.S. he never went
abroad because he is afraid to ride TAX.0019
on an airplane, ship, bus, jeep, taxi,
horse, etc.) Mr. A acquires shares of stock of a
SOLUTION domestic corporation for 100,000.
Mr. A pays 2,000 commission to
The answer is 18,000 P20x1,000 x 90% (net
broker. The shares are considered
of 10% final tax).
capital asset of Mr. A. A year later,
Mr. A sells the shares for their fair
value of 206,000. Mr. A pays 4,000
TAX.0021
commission to broker. Compute for
the tax liability of Mr. A.
Mr. A sells his house and lot, located
SOLUTION
in the Philippines, to a buyer for
1,050,000. Mr. A pays the real Answer: 5,000; (206K 4K) (100K + 2K) =
estate broker 50,000 commission. 100K x 5%
Mr. A acquired the property before at
200,000 and paid commission to
broker of 10,000. The property is a TAX.0018
capital asset. Compute for the tax Mr. A sells shares of stocks of ABC
liability of Mr. A. Co., a domestic corporation, directly
SOLUTION to a buyer for 100,000. Mr. A
acquired the shares earlier at
The answer is P 78,750 [7.5% x P1,050,000
120,000. At the date of sale, the
(6% for CGT + 1.5% for DST)]
shares have fair value of 240,000.
Compute for the tax liability of Mr. A.
TAX.0020 SOLUTION
Answer: 7,000; Capital gain based on fair
value = 120,000 (240K FV 120 Cost) =
120,000; tax on capital gain = (100,000 x (TAX.0015)
5%) + (20,000 x 10%)
Answer: 0 (no tax because no capital gain) Income tax paid by employer in favor of an
employee is taxable on the part of the
employee. The tax paid is considered
additional compensation of the employee.
TAX.0017
Answer is 380.
(20*6)+(10*6)+200 = 380
TAX.0006
Compensation received in the form of
property, the basis for taxation is fair value of
property received.
Which of the following is not one of
the powers or authorities of the BIR
TAX.0008 Commissioner?
TAX.0007)
Which of the following is incorrect? TAX.0004
a. A person or a business subject to
any internal revenue tax shall
register with the BIR only once. Which is not an income taxpayer?
b. A person subject to any internal a. General professional partnerships
revenue tax may be required to file b. Government-owned and controlled
and pay taxes more than once in a corporations
given tax period. c. Special aliens
c. A taxpayer engaged in more than d. Irrevocable trusts
one business or is employed in more Answer A
TAX.0003
Answer D
TAX.0002
a. P 0 c. P25,000
b. P 15,000 d. P35,000
Answer C
TAX.0001
Answer B