TRUE OR FALSE

_______ 1. A non-resident citizen is taxable within and without the Philippines.

_______ 2. Tax Avoidance is the willful act to circumvent the law in order to illegally reduce ones tax liability.

_______ 3. Tax evasion is allowed by the law

_______ 4. Taxation is an inherent attribute of sovereignty.

_______ 5. The general rule will always be the taxability of the income.

_______ 6. An income earned in the Philippines by a non-resident alien (foreigner) shall be taxed here in the Philippines.

_______ 7. The Constitution provided a limitation to the inherent power of the State to Tax.

_______ 8. Taxes can be the subject of set-off or compensation.

_______ 9. Except when otherwise provided, gross income means all income derived from whatever source.

_______ 10. Income derived from an illegal transaction is not taxable.