Question
1.Ms. El surrendered her life insurance policy and received a cash surrender value of P800,000 after contributing P700,000 in annual premiums. Determine the total exclusion
1.Ms. El surrendered her life insurance policy and received a cash surrender value of P800,000 after contributing P700,000 in annual premiums. Determine the total exclusion in gross income and the inclusion in gross income,respectively.__________
2.Mr. John died. His heirs collected the P2,000,000 proceeds of his life insurance policy. Mr. John previously paid a total payment of P500,000 in premiums. What is the exclusion in gross income and inclusion in gross income, respectively?_________________
3.Mr. Zara collected the P1,000,000 insurance proceeds of Mr. Pantuk which he bought from the latter for P400,000. Before the death of Mr. Pantuk, Mr, Zara paid a total premiums of P200,000. What is the exclusion in gross income and inclusion in gross income, respectively?_______________
4.Mr. Bean collected the P5,000,000 fire insurance proceeds of his building which was destroyed by fire. The building had a tax basis of P4,500,000 at the occurrence of the fire. What is the total exclusion in gross income and inclusion in gross income, respectively?______________
5.Mr. K insured his crops for a P1,000,000 insurance cover against calamities. He paid P100,000 insurance premium. What is the amount to be included in gross income?_____________
6. Ms. Henrieta retired from her job after 25 years of service. She joined the company at the age of 23 and was promoted from an accounting clerk to VP Finance. She was paid P2,000,000 total retirement pay from the employer's contributory pension plan which was duly registered with the BIR. Out of the total proceeds, Ms. Henrieta contributed P600,000. This was her first retirement from employment. How much is excluded in gross income?______________
7.The following relates to the compensation income of Ms. Eva in 2018:
CompensationP900,000
Contributions to SSS, Philhealth and HDMF:
-mandatory contributions125,000
-voluntary contributions150,000
Creditable withholding taxes190,000
Employer's share in SSS, Philhealth and HDMF105,000
What is the total exclusion in gross income?____________
8.In 2017, Ms. Dinah invested in the 10-year bonds of Compostela Mining Corp. P8,000,000. She disposed the investment in 2019 for a total consideration of P8,500,000 inclusive of the P400,000 accrued interest. What is the inclusion in gross income and exclusion in gross income, repectively?_____________
9.Mr. Uso is a minimum wage earner. He was paid the following benefits in 2018;
Minimum wageP200,000
Holiday pay10,000
Overtime pay20,000
Night shift differential pay12,000
Hazard pay12,000
What is the total exclusion in gross income?________________
10. The following income relates to a proprietorship registered as BMBE:
Gross income from salesP400,000
Dividend income-domestic9,000
Interest on deposits6,800
Compute the total exclusion in gross income subject to regular tax.____________
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