The sale of real property classified as capital asset shall be taxed at 6% of

Group of answer choices

1. selling price, where the zonal value is 80% of the selling price.
2. zonal value, where the zonal value is 80% of the selling price.
3. zonal value, where the selling price is 110% of the zonal value.
4. selling price, where the zonal value is 110% of the selling price.

Who may avail of the 8% income tax rate?

Group of answer choices

1. An employee whose compensation income amounted to less than P3 million.
2. A Non-VAT domestic corporation with sales not more than P3 million.
3. A VAT domestic corporation with sales exceeding P3 million.
4. A Non-VAT mixed income earner whose business income amounted to less than P3 million.

12. Which is subject to ordinary income tax?

Group of answer choices

1. Dividends received from a foreign corporation by a non-resident citizen
2. Royalties earned by a non-resident citizen from abroad
3. Rentals earned by a resident citizen from a real property located outside the Philippines.
4. Dividends received from a domestic corporation by a resident alien

12. Which one of the following items is a taxable fringe benefit?

Group of answer choices

1. P10,000 actual medical benefits received during the taxable year.
2. Daily meal allowance of P100. The basic minimum wage is P500.
3. Cost of employees' group insurance paid by the employer.
4. Cost of the educational assistance to the employee's children.

12. Which of the following is not subject to personal income tax using graduated rates?

Group of answer choices

1. Non-resident alien engaged in trade or business
2. Estate
3. Non-resident alien not engaged in trade or business.
4. Trust

12. Which among the following is a non-resident alien?

Group of answer choices

1. An alien who comes to the Philippines for a definite purpose which in its nature would require an extended stay.
2. An alien who lives in the Philippines with no definite intention as to his/her stay.
3. An alien who has acquired residence in the Philippines.
4. An alien who comes to the Philippines for a definite purpose which in its nature may be promptly accomplished.

12. Which statement is correct regarding final income tax?

Group of answer choices

1. Final income tax applies to all passive income from Philippines sources.
2. Items of income subjected to final tax can still be subjected to regular tax.
3. Items of income exempt from final tax are subject to regular tax.
4. Final tax applies only on certain passive income earned within the Philippines.

12. Cloud, the trustee or grantor, created a revocable trust over a certain parcel land, designating Noctis and Vaan as trustee and beneficiary, respectively. In this case, the income of the trust property is taxable to:

Group of answer choices

1. Noctis.
2. Vaan.
3. the trust.
4. Cloud.

12. Mr. Cruz, a non-resident citizen and a non-dealer, sold domestic stocks for P10 million directly to Mr. Kobayashi, a resident alien. The transaction resulted in a capital gain in the amount of P3 million. Which of the following is correct?

Group of answer choices

1. The stock transaction tax is P450,000.
2. The stock transaction tax is P60,000.
3. The capital gains tax is P450,000.
4. The capital gains tax is P60,000.

12. In September 2018, Gary sold his principal residence in Shaw Boulevard. The selling price agreed upon was P5,000,0000 while the zonal value was P8,000,000. He bought his old residence for P4,000,000. In August 2020, Gary bought a new residence amounting to P4,500,000. The capital gains tax paid on the sale of the old principal residence was:

Group of answer choices

1. P270,000
2. P48,000
3. P480,000
4. P300,000

12. A self-employed resident citizen taxpayer, who is married, has gross profit from sales of goods of P800,000, operating expenses of P200,000, cost of goods sold of P300,000, and personal expenses amounting to P30,000. If the taxpayer chooses to be taxed using the graduated rates, his income tax will be:

Group of answer choices

1. P80,000
2. P10,000
3. P88,000
4. P66,900

12. A self-employed resident citizen taxpayer, who is married, has gross profit from sales of goods of P800,000, operating expenses of P200,000, cost of goods sold of P300,000 and personal expenses amounting to P30,000. If the taxpayer chooses to be taxed at 8%, his income tax will be:

Group of answer choices

1. P44,000
2. P24,000
3. P68,000
4. P64,000

12. Mr. Cruz is a minimum wage earner and a part-time real estate agent for a real estate broker. In addition to the statutory minimum wage of P180,000, he likewise earned P100,000 as commission from his real estate dealings for the year 2019. If he opted to be taxed at 8%, how much would be his income tax?

Group of answer choices

1. P2,400
2. P6,000
3. P0
4. P8,000

12. The following are the royalties received as passive income by a taxpayer for the period:

Source USA Philippines

Books P1,200,000 P1,500,000

Literary Works 2,000,000 1,000,000

Patents 1,500,000 2,000,000

Musical Compositions 5,000,000 1,800,000

The final tax on royalties if the taxpayer is a resident alien is:

Group of answer choices

1. P1,260,000
2. P930,000
3. P3,200,000
4. P830,000

12. The income and expenses of Mr. Sy for taxable year 2021 are shown below:

Within Outside

Gross income from operations P8,000,000 P7,000,000

Capital gain on sale of land (Cost - P2 million) 5,000,000 0

Prizes 30,000 70,000

Interests from US$ bank deposits (in Pesos) 50,000 100,000

Operating expenses 8,500,000 6,000,000

How much is the taxable income (subject to ordinary income tax) if Mr. Sy is a resident citizen?

Group of answer choices

1. P670,000
2. P500,000
3. P5,750,000
4. P4,500,000

12. The income and expenses of Mr. Sy for taxable year 2021 are shown below:

Within Outside

Gross income from operations P8,000,000 P7,000,000

Capital gain on sale of land (Cost - P2 million) 5,000,000 0

Prizes 30,000 70,000

Interests from US$ bank deposits (in Pesos) 50,000 100,000

Operating expenses 8,500,000 6,000,000

How much is the taxable income/(loss) if Mr. Sy is a resident alien?

Group of answer choices

1. P4,580,000
2. (P420,000)
3. P500,000
4. (P500,000)

12. ABC Corporation gave the following fringe benefits to the following employees:

Rank-and-File Employee

Mr. Cruz (resident citizen) P80,000

Supervisory Employees

Mr. Van Damme (non-resident alien not engaged in business) 200,000

Mr. Nakamura (non-resident alien engaged in business) 300,000

Managerial Employee

Mr. Singh (resident alien) 400,000

How much is the total fringe benefit tax?

Group of answer choices

1. P484,615
2. P382,051
3. P443,590
4. P492,052

12. Mr. Santos received the following yearly benefits from his employer, ABC Corporation:

13th-month pay P85,000

Rice subsidy 36,000

Clothing allowance 10,000

How much is the taxable 13th month pay and other benefits?

Group of answer choices

1. P131,000
2. P41,000
3. P0
4. P11,000