Feu Lq #1 Answer Key Income Taxation Feu Makati Dec.4, 2012

8/11/2019 Feu Lq #1 Answer Key Income Taxation Feu Makati Dec.4, 2012

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FEU-MAKATI- IABF

S U B J E C T: INCOME TAXATION 1 STSEMESTER ,SY 2012-2013LONG QUIZ #1

NAME_______________________ ANSWER KEY_________________ I.D. NO.________________

DECEMBER 4, 2012

CHAPTER 1-GENERAL PRINCIPLES AND CONCEPTS OF TAXATION

I. MATCHING TYPE-PART I

W______1. INTERNATIONAL COMITY

A______2.TAXATION

V______3. EMINENT DOMAIN POWER

E______4 PERSONAL, POLL OR CAPITATION TAX

B______ .NECESSITY THEORY

!______". POLICE POWER

C.______#.BENEFIT-RECEIVED THEORY

$______%. AD VALOREM TAX

L______&. GENERAL, FISCAL OR REVEN!E TAX

O______10. M!NICIPAL OR LOCAL TAX

T______11.SIT!S OF TAXATION

S______12.INCOME TAX

D______13. NON-DIVERSION

I______14. INDIRECT TAX

M______1 . SPECIAL OR REG!LATORY TAX


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H______1". DIRECT TAX

R______1#. REGRESSIVE TAX

G______1%. EXCISE OR PRIVILEGE TAX

F______1&. PROPERTY TAX

'______20. SPECIFIC TAX

N______21. NATIONAL TAX

(______22. PROGRESSIVE OR GRAD!ATED TAX

P______23. PROPORTIONAL

A_____- IS THE PROCESS OR MEANS BY WHICH THE SOVEREIGN, THROUGH ITSLAWMA$ING BODY , RAISES INCOME TO DEFRAY THE NECESSARY EXPENSES OF THEGOVERNMENT.

B_____-THE THEORY THAT THE EXISTENCE OF GOVERNMENT IS A NECESSITY .

C_____ THE THEORY THAT STATES THAT THERE ARE RECIPROCAL DUTIES OFPROTECTION AND S!PPORT BETWEEN THE STATE AND ITS INHABITANTS .

D_____-TAX MONEY COLLECTED FOR SPECIAL P!RPOSE MUST BE APPLIED ONLY FOR THAT PURPOSE

E_____-TAX OF A FIXED AMO!NT IMPOSED ON INDIVID!ALS RESIDING WITHIN ASPECIFIED TERRITORY WITHOUT REGARD TO THEIR PROPERTY OR THE OCCUPATION INWHICH THEY MAY BE ENGAGED. EXAMPLE: COMMUNITY TAX (FORMERLY RESIDENCE TAX)OR CEDULA.

F_____-TAX IMPOSED ON PROPERTY , WHETHER REAL OR PERSONAL , IN PROPORTIONEITHER TO ITS VAL!E OR WITH SOME OTHER REASONABLE METHOD OFAPPORTIONMENT. EXAMPLE: REAL ESTATE TAX

G_____-TAX IMPOSED UPON THE PERFORMANCE OF AN ACT , THE EN'OYMENT OFPRIVILEGE OR THE ENGAGING IN OCC!PATION. EXAMPLES: INCOME TAX, VALUE-ADDED TAX , PERCENTAGE TAX

H_____-TAX WHICH IS DEMANDED FROM THE PERSON WHO IS INTENDED TO PAY IT.EXAMPLES: COMMUNITY TAX, INCOME TAX


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I_____-TAX WHICH THE TAXPAYER CAN SHIFT TO ANOTHER EXAMPLES: BUSINESS TAXES, CUSTOMS DUTIES

J_____-TAX OF A FIXED AMO!NT IMPOSED BY HEAD OR N!MBER , OR BY SOMESTANDARD OF WEIGHT OR MEAS!REMENT .-EXAMPLES: EXCISE TAXES ON DISTILLED

SPIRITS, CIGARS, CIGARETTES

_____-TAX OF A FIXED PROPORTION OF THE AMO!NT OR VAL!E OF PROPERTY WITH RESPECT TO WHICH THE TAX IS ASSESSED. EXAMPLES: REAL ESTATE TAX,CUSTOMS DUTIES, INCOME TAX

L_____-TAX IMPOSED TO RAISE REVENUE FOR THE GOVERNMENT. EXAMPLES: INCOME TAX, BUSINESS TAXES

M_____-TAX TO ACHIEVE SOME SOCIAL OR ECONOMIC ENDS IRRESPECTIVE OFWHETHER REVENUE IS ACTUALLY RAISED OR NOT. EXAMPLES: PROTECTIVE TARIFFS ON

IMPORTED GOODS

N_____-TAX IMPOSED BY NATIONAL GOVERNMENT. -EXAMPLES: NIRC-COVERED TAXES(INCOME TAX, DONOR!S TAX, VAT, ETC.)

O_____-TAX IMPOSED BY M!NICIPAL CORPORATIONS OR LOCAL GOVERNMENTS-EXAMPLES: TAX ON OCCUPATIONS, FLOOD TAX

P_____-TAX BASED ON A FIXED PERCENTAGE OF THE AMO!NT OF PROPERTY,INCOME OR OTHER BASIS TO BE TAXED. EXAMPLES: REAL ESTATE TAX, VAT.

"_____-TAX THE RATE OF WHICH INCREASES AS THE TAX BASE INCREASESEXAMPLES: INCOME TAX, ESTATE TAX, DONOR!S TAX

R_____-TAX THE RATE OF WHICH DECREASES AS TAX BASE INCREASES

S_____- A TAX ON ALL YEARLY PROFITS ARISING FROM PROPERTY, PROFESSIONS, TRADESOR OFFICES OR A TAX ON A PERSON!S INCOME, EMOLUMENTS, PROFITS AND THE LI E.

T_____-PLACE OF TAXATION OR THE STATE OR POLITICAL UNIT W#C HAS JURISDICTION TOIMPOSE TAX OVER ITS INHABITANTS

U_____-THE POWER TO PROTECT CITI)ENS AND PROVIDE FOR SAFETY AND WELFAREOF SOCIETY

V_____-THE POWER TO TA$E PRIVATE PROPERTY (WITH JUST COMPENSATION) FORP!BLIC !SEW_____-COURTEOUS RECOGNITION, FRIENDLY AGREEMENT, INTERACTION AND RESPECTACCORDED BY ONE NATION TO THE LAWS AND INSTITUTIONS OF ANOTHER

I.MATCHING TYPE-PART II


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M_____1. DO!BLE TAXATION

I______2.MAR$ING D!TY

L______3. TAX IMPRESCRIPTIBILITY

$______4. PROSPECTIBILITY OF TAX LAWS

'______ . D!MPING D!TY

A______".INHERENT LIMITATIONS

W_____#. E(!ITABLE RECO!PMENT

R______%. TRANSFORMATION

G______&. DISCRIMINATORY D!TY

F______10. POC$ET VETO

S______11. EXEMPTION FROM TAXATION

E______12. ITEM VETO

C______13. E(!AL PROTECTION OF LAW

N______14. TAX EVASION

H______1 . CO!NTERVAILING D!TY

O______1". TAX AVOIDANCE*TAX MINIMI)ATION

P______1#. TAX OPTION

(______1%. SHIFTING

D______1&. !NIFORMITY R!LE OF TAXATION

T______20. EXPRESSED EXEMPTION

!______21. IMPLIED EXEMPTION OR BY OMISSION

B______22. CONSTIT!TIONAL LIMITATIONS

V______23. CONTRACT!AL EXEMPTION


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A_____-NAT!RAL RESTRICTIONS TO SAFEGUARD AND ENSURE THAT THE POWER OF TAXATION SHALL BE EXERCISED BY THE GOVERNMENT ONLY FOR THE BETTERMENT OFTHE PEOPLE WHOSE INTEREST S#B SERVED, ENHANCED AND PROTECTED

B_____-PROVISIONS OF THE CONSTITUTION THAT RESTRICT THE SUPREME, PLENARY,

UNLIMITED AND COMPREHENSIVE EXERCISE BY THE STATE OF ITS INHERENT POWER TO TAX

C_____-ALL PERSONS SUBJECT TO LEGISLATION SHALL BE TRETED ALI E UNDER SIMILARCIRCUMSTANCES AND CONDITIONS BOTH IN THE PRIVILEGES CONFEREED ANDLIABILITIES IMPOSED

D_____-TAX OPERATES WITH THE SAME FORCE AND EFFECT IN EVERY PLACE WHERE THESUBJECT MAY BE FOUND

E_____-THE POWER TO VETO ITEMS IN APPROPRIATION BILLS WITHOUT AFFECTING

OTHER PROVISIONS OF SUCH BILLS

F_____-THE POWER TO DISAPPROVE LEGISLATIVE ACT BY THE PRESIDENT WITH THERESULT THAT BILLS SHALL FAIL TO BECOME LAWS

G_____-SPECIAL DUTY WHOSE PURPOSE IS TO OFFSET ANY FOREIGN DISCRIMINATIONAGAINST OUT LOCAL COMMERCE

H_____-IMPOSED TO OFFSET ANY FOREIGN SUBSIDY GRANTED TO IMPORTED GOODS TO THE PREJUDICE OF OUR LOCAL INDUSTRIES

I_____-ADDITIONAL DUTY TAX GENERALLY IMPOSED ON IMPORTED ARTICLES AND#ORCONTAINERS WITH IMPPROPER CLASSIFICATION

J_____ADDITIONAL DUTY TAXES IMPOSED ON IMPORTED GOODS WITH PRICESLESSER THAN THEIR FMV TO PROTECT LOCAL INDUSTRIES

____-A TAX BILL MUST ONLY BE APPLICABLE AND OPERATIVE AFTER BECOMING A LAW

L_____-UNLESS OTHERWISE PROVIDED BY THE TAX LAW ITSELF, TAXES IN GENERALARE NOT CANCELLABLE

M_____-ACT OF THE SOVEREIGN BY TAXING TWICE FOR THE SAME P!RPOSE IN THESAME YEAR UPON THE SAME PROPERTY OR ACTIVITY OF THE SAME PERSON

N_____-!NLAWF!L MEANS TO LESSEN THE PAYMENT OF TAX

O_____-REDUCING OR TOTALLY ESCAPING PAYMENT OF TAXES THROUGH LEGALLY PERMISSIBLE MEANS


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P_____-CHOICE TO PAY LOWER TAX RATES IN SOME TRANSACTIONS AS PERMITTED BY TAX LAWS

"_____-TRANSFER OF TAX BURDEN TO ANOTHER

R_____-THE PRODUCER ABSORBS THE PAYMENT OF TAX TO REDUCE PRICES AND TOMAINTAIN MAR ET SHARE

S_____-GRANT OF IMMUNITY, EXPRESSED OR IMPLIED, TO A PARTICULAR PERSON,CORPORATION, OR TO PERSONS OR CORPORATIONS OF A PARTICULAR CLASS, FROM A

TAX UPON PROPERTY OR AN EXCISE W#C PERSONS AND CORPORATIONS GENERALLY W#IN THE SAME TAXING DISTRICT ARE OBLIGED TO PAY

T_____- EXEMPTIONS THAT ARE STAT!TORY LAWS IN NAT!RE AS PROVIDED BYCONSTITUTION, STATUTE, TREATIES, ORDINANCES, FRANCHISES OR SIMILAR LEGISLATIVEACTS

U_____-WHEN TAX IS IMPOSED ON A CERTAIN CLASS OF PERSONS, PROPERTIES OR TRANSACTIONS W#O MENTIONING OTHER CLASSES, THOSE NOT MENTIONED AREDEEMED EXEMPTED

V_____-THOSE LAWFULLY ENTERED INTO BY THE GOV!T IN CONTRACTS UNDER EXISTINGLAWS

W_____-A LAW DOCTRINE W#C STATES THAT A TAX CLAIM FOR REFUND, W#C ISPREVENTED BY PRESCRIPTION, MAY BE ALLOWED AS PAYMENT FOR UNSETTLED TAXLIABILITIES IF BOTH TAXES ARISE FROM THE SAME TRANSACTION IN W#C OVERPAYMENT

IS MADE AND UNDERPAYMENT IS DUE

I. MATCHING TYPE-PART III

P_____1. STAT!TES

A_____2. DOCTRINE OF SET-OFF TAXES

W_____3. LOCAL TAX ORDINANCES

N_____4.INTERNAL REVEN!E TAXES

B_____ . PENALTY

O_____". PRINCIPLE OF +PARI MATERIA

R_____#. TAX TREATIES AND CONVENTIONS

E_____%. TOLL


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S_____&.REVEN!E REG!LATIONS

H_____10. TARIFF

I_____11. S!BSIDY

P_____12. STAT!TES

M_____13.INTERNAL REVEN!E LAW

!_____14.BIR R!LINGS

G_____1 . C!STOMS D!TIES

V_____1". '!DICIAL DECISIONS

C_____1# REVEN!E

D_____1%. DEBT

T_____1&. REVEN!E MEMORAND!M CIRC!LARS

F_____20. LICENSE FEE

(_____21. EXEC!TIVE ORDERS

'_____22. MARGIN FEE

$_____23. SPECIAL ASSESSMENT

L_____23. TAX LAW

A_____-TAXES ARE NOT SUBJECT TO SET-OFF OR LEGAL COMPENSATION BECAUSE THEGOV!T AND THE TAXPAYER ARE NOT MUTUAL CREDITOR AND DEBTOR OF EACH OTHER

B____-ANY SANCTION IMPOSED, AS A PUNISHMENT FOR VIOLATIONS OF LAW OR ACTSDEEMED INJURIOUS

C_____-ALL FUNDS OR INCOME DERIVED BY THE GOV T

D_____-AN OBLIGATION TO PAY OR RENDER SERVICE FOR A DEFINITE FUTURE PERIOD OF TIME BASED ON CONTRACT

E_____-COMPENSATION FOR USE OF SOMEBODY ELSE!S PROPERTY DETERMINED BY THECOST OF THE IMPROVEMENT


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F_____-CONTRIBUTION BY THE GOV!T PRIMARILY TO RESTRAIN AND REG!LATEB!SINESS OR OCC!PATION

G_____-IMPOSITION ON IMPORTED GOODS TO PROTECT LOCAL INDUSTRY

H_____-SCHEDULE OR LIST OF RATES, DUTIES OR TAXES IMPOSED ON IMPORTED GOODS

I_____-MONETARY AID DIRECTLY GRANTED OR GIVEN BY THE GOV!T TO AN INDIVIDUAL ORPRIVATE COMMERCIAL ENTERPRISES DEEMED BENEFICIAL TO THE PUBLIC

J_____-TAX ON FOREIGN EXCHANGE DESIGNED TO CURB THE EXCESSIVE DEMANDS ONOUR INT!L RESERVES

_____-AN AMOUNT COLLECTED BY THE GOV!T FOR THE PURPOSE OF REIMBURSINGITSELF FOR CERTAIN EXTENDED BENEFITS REGARDING CONSTRUCTION OF PUBLICWOR S

L_____-BODY OF LAWS W#C CODIFIES ALL NATIONAL TAX LAWS INCLUDING INCOME,ESTATE, GIFT, EXCISE, STAMP AND OTHER TAXES

M_____-INCLUDES ALL LAWS LEGISLATED PERTAINING TO THE NAT L GOV T TAXES , W#CIS EMBODIED IN THE NIRC

N_____-TAXES IMPOSED BY THE LEGISLATIVE BODY OTHER THAN CUSTOMS DUTIESON IMPORTS

O_____-TAX LAWS S#B INTERPRETED W# REFERENCE TO OTHER TAX LEGISLATIONS AND

THEIR EFFECT AS A WHOLE MAY BE GIVEN CONSIDERATION

P_____-LAWS ENACTED AND ESTABLISHED BY THE WILL OF THE LEGISLATIVE DEPT. OF THE GOV!T

"_____-REGULATIONS ISSUED BY THE PRESIDENT OR SOME ADMINISTRATIVE AUTHORITYUNDER HIS DIRECTION FOR THE PURPOSE OF INTERPRETING, IMPLEMENTING, ORGIVING ADMINISTRATIVE EFFECT TO A PROVISION OF THE CONSTITUTION OR SOMELAW OR TREATY

R_____INTERNATIONAL AGREEMENTS W# FOREIGN COUNTRIES REGARDING TAXENFORCEMENT AND EXEMPTIONS

S_____-RULES OR ORDERS HAVING FORCE OF LAW ISSUED BY EXECUTIVE AUTHORITY OF THE GOV!T TO ENSURE UNIFORM APPLICATION OF THE TAX LAW

T_____-ADMINISTRATIVE RULINGS AND OPINIONS W#C ARE LESS GENERALINTERPRETATIONS OF TAX LAWS BEING ISSUED FROM TIME TO TIME BY BIRCOMMISSIONER OR BOC COMMISSIONER


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U_____-EXPRESSED OFFICIAL INTERPRETATION OF THE TAX LAWS AS APPLIED TOSPECIFIC TRANSACTIONS

V_____-DECISIONS FOR APPLICATION MADE CONCERNING TAX ISSUES BY THE PROPERCOURTS EXERCISING JUDICIAL AUTHORITY OF COMPETENT JURISDICTION

W_____-TAX ORDINANCES ISSUED BY THE PROVINCE, CITY, M!NICIPALITY ANDBARANGAY SUBJECT TO SUCH LIMITATIONS AS PROVIDED BY THE LG CODE AND REALPROPERTY TAX CODE

I. M!LTIPLE CHOICE

$. INHERENT POWER(S) OF THE STATE

A) POLICEB) EMINENT DOMAIN

C) TAXATIOND ALL OF THE ABOVE

%. THE POWER OF TAXATION IS A POTENT POWER AND THEREFORE IS

A HOWEVER S!B'ECT TO CONSTIT!TIONAL AND INHERENTLIMITATIONS

B) ABSOLUTE

&. THE ELEMENT(S) OF A STATE

A) PEOPLEB) TERRITORYC) SOVEREIGNTYD) GOVERNMENTE ALL OF THE ABOVE

'. LOCAL GOVERNMENTS DO NOT POSSESS THE INHERENT POWER OF THESTATE

A TR!EB) FALSE

. IN ITS STRICTEST SENSE, THE POWER TO MA E TAX LAWS CAN NOT BEDELEGATED TO OTHER BRANCHES OF THE GOV!T

A TR!EB) FALSE

. THE POWER TO VALUE PROPERTY, ASSESS AND COLLECT TAXES ARE


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A ADMINISTRATIVE IN NAT!RE AND CAN BE DELEGATED

B) LEGISLATIVE IN NATURE AND CAN NOT BE DELEGATED

*. AN EXAMPLE OF INTERNATIONAL COMITY LIMITATION ON THE POWER OF TAXATION IS

A) NON-TAXABILITY OF PCSO AND PHILHEALTH

B THE TAX EXEMPTION OF PROPERTIES !SED BY DIPLOMATS ORHEAD OF STATES IN THE EXERCISE OF SOVEREIGN POWERSAND DIPLOMATIC F!NCTIONS

+. AS A GENERAL RULE, AGENCIES PERFORMING GOV!TAL FUNCTIONS AREEXEMPT FROM TAX UNLESS EXPRESSLY TAXED, WHILE THOSE PERFORMING

PROPRIETARY FUNCTIONS ARE SUBJECT TO TAX UNLESS EXPRESSLYEXEMPTED

A TR!EB) FALSE

. WHICH OF THE FOLLOWING IS NOT INHERENT LIMITATION ON POWER TO TAX

A) TAXES MAY BE LEVIED ONLY FOR PUBLIC PURPOSEB D!E PROCESS OF LAW

C) TAXATION MAY NOT BE DELEGATED

$ . WHICH OF THE FOLLOWING IS NOT CONSTIT!TIONAL LIMITATIONON POWER TO TAX

A TAXATION IS S!B'ECT TO INTENATIONAL COMITY B) E"UAL PROTECTION OF LAWC) RULE OF UNIFORMITY AND E"UITY

$$. THAT THE LAW S#B REASONABLE AND NOT OPPRESSIVE DESCRIBES

A S!BSTANTIVE D!E PROCESSB) PROCEDURAL DUE PROCESS

$%. CONGRESS SHALL EVOLVE A

A) REGRESSIVE SYSTEM OF TAXATIONB PROGRESSIVE SYSTEM OF TAXATION

$&. ITEM VETO IS ALSO NOWN AS


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A PARTIAL VETOB) VETO EN TOTO

$'. POC ET VETO IS ALSO NOWN AS

A) PARTIAL VETOB VETO EN TOTO

$ . NON-PROFIT, NON-STOC EDUCATIONAL INSTITUTIONS ARE

A TAX-EXEMPTB) TAXABLE

$ . NO LAW GRANTING ANY TAX EXEMPTION SHALL BE PASSED WITHOUT THE CONCURRENCE OF A MAJORITY OF _________OF CONGRESS

A ALL MEMBERSB) "UORUM

$*. NON-PAYMENT OF A POLL TAX SENDS THE DELIN"UENT TAXPAYER TOPRISON

A) TRUEB FALSE

$+. NECESSITY THEORY AS BASIS OF TAXATION IS NO DIFFERENT FROMBEBEFIT-RECEIVED THEORY

A) TRUEB FALSE

$ . THE PURPOSE(S) OF TAXATION

A) REVENUE PURPOSEB) REGULATORY PURPOSEC) COMPENSATORY PURPOSED ALL OF THE ABOVE

% . THE OBJECT(S) OF TAXATION

A) PERSONSB) PROPERTIESC) EXCISE OBJECTSD ALL OF THE ABOVE

%$. THE SCOPE OF THE TAX LAW SHALL COVER


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A) PAST TRANSACTIONSB) PRESENT TRANSACTIONSC) FUTURE TRANSACTIONSD) ALL OF THE ABOVE

E B AND C ONLY

%%. TAX AVOIDANCE IS THE ______MEANS OF LESSENING THE PAYMENT OF TAX WHILE TAX EVASION IS THE __________MEANS OF LESSENING THEPAYMENT OF TAX

A) ILLEGAL LEGALB LEGAL/ ILLEGAL

%&. WHICH OF THE FOLLOWING IS NOT A FORM OF TAX AVOIDANCE

A E(!ITABLE RECO!PMENTB) TAX OPTIONC) SHIFTINGD) TRANSFORMATIONE) EXEMPTION

%'. THE PHILIPPINE INTERNAL REVENUE TAXES ARE GENERALLY _________INNATURE

A CIVILB) POLITICAL

C) PENAL

% . TAX EXEMPTIONS ARE STRICTLY CONSTRUED AGAINST THE

A TAXPAYERB) GOV!T

% . WHENEVER THERE IS A CONFLICT BETWEEN THE TAX CODE AND THECIVIL CODE, THE CIVIL CODE SHALL PREVAIL OVER THE TAX CODE

A) TRUEB FALSE

%*. RA +'%' A A NIRC#CTRP TOO EFFECT

A) JANUARY $, $B) JANUARY $, $ *C 'AN!ARY 1, 1&&%

%+. TAX ORDINANCES ISSUED BY THE PROVINCE, CITY, MUNICIPALITY ANDBARANGAYS ARE GOVERNED BY


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A) RA +'%'B LOCAL GOV T CODE AND REAL PROPERTY TAX CODE

% .TARIFF OR TAX BILLS EMANATE FROM:

A HO!SE OF REPRESENTATIVESB) SUPREME COURTC) SENATE

& . THE PHILIPPPINES FOLLOWS THIS SYSTEM OF TAXATION

A) REGRESSIVE SYSTEM OF TAXATIONB PROGRESSIVE SYSTEM OF TAXATION

&$. INCO DOUBT, TAX LAWS ARE

A) NEUTRALLY INTERPRETEDB) INTERPRETED STRICTLY AGAINST THE TAXPAYER AND LIBERALLY IFO THE GOV!TC INTERPRETED LIBERALLY IFO THE TAXPAYER AND STRICTLY AGAINST THE

GOV T&%. EVEN WITHOUT BASIS, INTENTIONALLY DECREASING THE INCOME AND INCREASING

TAX DEDUCTIONS IS AN EXAMPLE OF

A) TAX AVOIDANCEB TAX EVASION

&&. AVAILING OF TAX DEDUCTIONS ALLOWED BY LAW IS

A TAX AVOIDANCEB) TAX EVASION

&'. THIS DEPARTMENT HAS SUPERVISION AND CONTROL OF THE BIR

A) DEPT. OF JUSTICEB) DEPT. OF TRADE AND INDUSTRYC DEPT OF FINANCE

& . THE CURRENT BIR COMMISSIONER IS

A $IM HENARESB) CHI/ ESCUDEROC) LEILA DE LIMAD) MANNY PAC"UIAO

& . THE REVENUE REGIONAL OFFICES AND REVENUE DISTRICT OFFICES OF BIR AREUNDER


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A) INFORMATION SYSTEMS GROUPB) RESOURCE MANAGEMENT GROUPC OPERATIONS GRO!P

&*. THIS COURT HAS EXCLUSIVE APPELLATE JURISDICTION ON TAX CASES

A) REGIONAL TRIAL COURTB) COURT OF FIRST INSTANCEC CO!RT OF TAX APPEALS

&+. WHICH OF THE FOLLOWING DOES NOT BELONG TO THE GROUP

A REAL PROPERTY TAXB) PERCENTAGE TAXC) INCOME TAX

D) ESTATE TAXE) DONOR!S TAXF) VALUE-ADDED TAXG) EXCISE TAXH) DOCUMENTARY STAMPS TAX

& . A RESIDENT PHIL. CITI/EN IS TAXABLE FOR ALL INCOME

A) W#IN THE PHIL.B) W#OUT THE PHIL.C) W*IN AND W*O!T THE PHIL .

' . IN RELATION TO 0& ABOCE, MR.X, A RESIDENT PHIL. CITI/EN HAS INCOME EARNEDIN THE PHIL. AMOUNTING TO P , MALAYSIA, P& , INDONESIA, P% , . HIS

TAXABLE INCOME IS

A P1,000,000B) P% ,C) P& ,D) P ,

'$. A NON-RESIDENT PHIL. CITI/EN IS TAXABLE FOR ALL INCOME

A W*IN THE PHIL.B) W#OUT THE PHIL.C) W#IN AND W#OUT THE PHIL.

'%. IN RELATION TO 0'$ ABOVE, MR. Y, A NON-RESIDENT PHIL. CITI/EN HAS INCOMEFOR THE YEAR EARNED IN THE PHIL. AMOUNTING TO P* , THAILAND, P$ ,CHINA, P% , . HIS TAXABLE INCOME IS


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B) CALENDAR YEAR

' . THIS IS A IND OF SUMMONS OR SUBPOENA THAT CIR MAY ISSUE AND WHOSEOBJECT IS THE PRESENTATION OF BOO S OF ACCOUNTS OR OTHER ACCOUNTINGRECORDS RELEVANT TO THE CIR!S IN"UIRY AS TO DETERMINE THE TAX LIABILITY OF A

TAXPAYER

A S!BPOENA D!CES TEC!MB) SUBPOENA TESTIFICANDUM

. IN RELATION TO 0 ABOVE, IF THE OBJECT IS FOR PERSON SUMMONED TO GIVE HIS TESTIMONY RELEVANT TO THE CIR!S IN"UIRY, IT IS

A S!BPOENA TESTIFICAND!MB) SUBPOENA DUCES TECUM

$.ISSUANCES SIGNED BY THE SEC. OF FINANCE, UPON RECOMMENDATION OF CIR, THATSPECIFY, PRESCRIBE, OR DEFINE RULES AND REGULATIONS FOR THE EFFECTIVEENFORCEMENT OF THE PROVISIONS OF NIRC AND RELATED STATUES

A) REVENUE MEMORANDUM ORDERSB) BIR RULINGSC REVEN!E REG!LATIONS

%. REAL ESTATE TAX IS AN EXAMPLE OF PPRIVILEGE TAX

A) TRUE

B FALSE

&. CUSTOMS DUTIES ON IMPORTED GOODS IS AN EXAMPLE OF INDIRECT TAX

A TR!EB) FALSE

'. UNDER EMPLOYER-EMPLOYEE RELATIONSHIP, TRADE, BUSINESS OR PROFESSIONEXCLUDES PERFORMANCE OF SERVICES BY THE TAXPAYER AS AN EMPLOYEE

A TR!EB) FALSE

CHAPTER II-TAX ADMINISTRATION

I. MATCHING TYPE

L_____1. RECEIPT

A_____2.TAX ADMINISTRATION


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M_____3.TAX ASSESSMENT

B_____4.LEVY OR IMPOSITION OF TAXES

O_____ .ASSESSMENT PERIOD

N_____". TAX RET!RN

C_____#.ASSESSMENT

E_____%. FISCAL ADE(!ACY

D_____&. PAYMENT OF TAX

I_____10. B!REA! OF INTERNAL REVEN!E BIR

G_____11. ADMINISTRATIVE FEASIBILITY

P_____12. IN'!NCTION

!_____13. FORFEIT!RE

T_____14. SEI)!RE

$_____1 . SALES OR COMMERCIAL INVOICE

F_____1". E(!ALITY OR THEORETICAL '!S

'_____1#. 'EOPARDY ASSESSMENT

CC_____1%.DEFICIENCY

H_____1&. DEPARTMENT OF FINANCE DOF

BB_____20. S!RCHARGE

(_____21. DISTRAINT OF PERSONAL PROPERTY

AA_____22. DELIN(!ENCY

R_____23. LEVY OF REAL PROPERTY

)_____24. CRIMINAL ACTION

S_____2 . TAX LIEN


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Y_____2". CIVIL ACTION

X_____2#. NATIONAL TAX REGISTER

V_____2%. COMPROMISE

W_____2&. LETTER OF A!THORITY

A_____- A SYSTEM INVOLVING ENFORCEMENT OF THROUGH ASSESSMENT ANDCOLLECTION

B_____-INVOLVES THE PASSAGE OF TAX LAWS OR ORDINANCES THROUGH THELEGISLATURE. INVOLVES THE GRANTING OF TAX EXEMPTIONS, TAX AMNESTIES, AND TAXREMEDIES

C_____ -ACT OF ADMINISTRATION AND IMPLEMENTATION OF THE TAX LAWS BY THE

EXECUTIVE THROUGH ITS ADMINISTRATIVE AGENCIES SUCH AS THE BIR OR BOC

D_____-A PROCESS INVOLVING THE ACT OF COMPLIANCE BY THE TAXPAYER INCONTRBUTING HIS SHARE TO DEFRAY THE EXOENSES OF THE GOV!T

E____-SOURCES OF REVENUE SHOULD BE S!FFICIENT TO MEET THE DEMANDS OFPUBLIC EXPENDITURES.

F_____-TAX IMPOSED SHOULD BE PROPORTIONATE TO THE TAXPAYER S ABILITY TOPAY.

G____TAX LAWS SHOULD BE CAPABLE OF CONVENIENT, '!ST AND EFFECTIVEADMINISTRATION.

H_____- THE PRINCIPAL ADMINISTRATIVE AGENCY OF THE GOV!T FOR TAXADMINISTRATION

I_____- THE ADMINISTRATIVE AGENCY OF THE GOV!T IN CHARGE OF THE PRIMARYFUNCTION REGARDING THE EXECUTION OF THE NIRC AND OTHER TAX LAWS ANDREGULATIONS

'_____- TERMINATION OF THE TAX PERIOD

$_____- DOCUMENT ISSUED BY THE SELLER OF GOODS TO THE BUYER

L_____-DOCUMENT ISSUED FOR SALES OF SERVICES

M_____-PROCESS OF DETERMINING THE CORRECT AMO!NT OF TAX DUE INACCORDANCE WITH THE PREVAILING TAX LAWS


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N_____-FORMAL REPORT PREPARED BY THE TAXPAYER OR HIS AGENT IN A PRESCRIBEDFORM SHOWING AN ENUMERATION OF TAXABLE AMOINTS AND DESCRIPTION OF

TAXABLE TRANSACTIONS, ALLOWABLE DEUDCTIONS, AMOUNT OF TAX, AND TAX PAYABLE TO THE GOV!T

O_____-THE PERIOD IN PROCESSING, APPRAISING, DETERMINING THE VAL!E OFTHE S!B'ECT OF TAXATION , INCLUDING THE COMPUTATION OF TAX PRESCRIPTION,SURCHARGES AND INTERESTS TO ARRIVE AT THE SPECIFIC SUM OF TAX CHARGED TO APERSON OR PROPERTY

P_____-A RESTRAINING ORDER ISSUED BY THE COURT HAVING JURISDICTION OVER THEFILED SUIT INTENDED TO FORBID THE CONTIN!ANCE OF THE ACTION OF LAW

"_____-SEI/URE BY THE GOV!T OF PERSONAL PROPERTY-TANGIBLE OR INTANGIBLE - TO ENFORCE THE PAYMENT OF TAXES, TO BE FOLLOWED BY ITS PUBLIC SALE IF TAXESACCRUING THERETO ARE NOT VOLIUNTARILY PAID

R_____-SEI/URE BY THE GOV!T OF REAL PROPERTY TO ENFORCE THE PAYMENT OF TAXES, TO BE FOLLOWED BY ITS PUBLIC SALE IF TAXES ACCRUING THERETO ARE NOTVOLIUNTARILY PAID

S_____-A LEGAL CLAIM GRANTED TO THE GOV!T TO SECURE THE PROPER PAYMENT OF THE TAX, SURCHARGES, INTERESTS, AND COSTS ON ALL PROPERTY SUBJECT TO LEVY ORDISTRAINT

T_____-SEI/ED PROPERTY IS SOLD AND PROCEEDS OF SALE ARE APPLIED TO SATISFY TAXLIABILITY AND THE EXCESS THEREOF SHALL BE RET!RNED TO THE TAXPAYER

U_____-FORFEITED (TA ING OF PROPERTY W#O COMPENSATION AS A RESULT OF ANOFFENSE COMMITTED) PROPERTY IS SOLD AND NO PART OR PROCEEDS GOES TOTHE TAXPAYER BECAUSE THE PROPERTY IS CONFISCATED IFO THE GOV!T

V_____-A CONTRACT WHEREBY THE PARTIES, BY RECIPROCAL CONCESSIONS, AVOIDLITIGATION OR PUT AN END TO ONE ALREADY COMMENCED

W_____-A RE"UEST TO THE TAXPAYER TO PERMIT THE BEARER THEREOF TO CONDUCT THE NECESSARY EXAMINATION OF SAID BOO$S AND RECORDS , AND SIGNED BY THE THE BIR COMMISSIONER, HIS DEPUTY, OFFICIALS OF THE INVESTIGATING DIVISION,REGIONAL DIRECTOR, ASSISTANT DIRECTOR, OR THE RDO

X_____-A RECORD OF THE NAMES OF PERSONS RESIDING IN EACH CITY OR MUNICIPALITYEPT AND MAINTAINED BY EVERY REVENUE REGIONAL DIRECTOR OF EVERY REGIONALDISTRICT

Y______-ONE THAT IS BROUGHT TO ENFORCE, REDRESS OR PROTECT PRIVATE RIGHTS


20/23


21/23

C) ADMINISTRATIVE FEASIBILITYD) ALL OF THE ABOVE

. THE PRINCIPAL ADMINISTRATIVE AGENCY OF THE GOV!T FOR TAXADMINISTRATION

A) DEPT. OF TOURISMB) DEPT. OF JUSTICEC DEPT. OF FINANCED) NONE OF THE ABOVE

*. CONSTITUTED AGENT(S) OF BIR COMMISSIONER TO COLLECT NATIONALINTERNAL REVENUE TAXES

A) COMMISSIONER OF CUSTOMSB) HEAD OF APPROPRIATE GOV!T OFFICE

C) AUTHORI/ED AGENT BAN SD ALL OF THE ABOVE+. THE CIR HAS THE EXCLUSIVE AND ORIGINAL POWER TO INTERPRET

PROVISIONS OF NIRC AND OTHER LAWS SUBJECT TO REVIEW BY THESECRETARY OF FINANCE

A TR!EB) FALSE

. THE TERMINATION OF THE TAX PERIOD IS A A

A 'EOPARDY ASSESSMENTB) PRELIMINARY ASSESSMENTC) FINAL ASSESSMENT

$ . NOTWITHSTANDING THE BAN SECRECY ACT (RA $' ), THE CIR CANIN"UIRE INTO BAN DEPOSIT A#C OF THE TAXPAYER WHEN

A) DEATH OF A TAXPAYER TO DETERMINE GROSS ESTATEB) FILING OF CLAIM OF BAN RUPTCY BY TAXPAYER TO THE PREJUDICE OF

PAYMENT OF TAX LIABILITYC) WEDDING OF THE TAXPAYERD A AND B ONLY

$$. THE INITIAL LIN OF A TAXPAYER WITH THE BIR IS HIS

A) VOTER!S IDB TAXPAYER IDENTIFICATION N!MBERC) NBI CLERANCE


22/23

$%. ALL PERSONS SUBJECT TO ANY INTERNAL REVENUE TAX ARERE"UIRED TO ISSUE RECEIPTS OR SALES INVOICES WHEN THE VALUE OF THEMERCHANDISE SOLD OR SERVICE RENDERED IS

A) P& . OR MORE

B) P& . OR MOREC P2 .00 OR MORE

$&. THE ORIGINAL RECEIPT SHALL BE ISSUED TO THE PURCHASER, AND THE ISSUER SHALL EEP THE DUPLICATE IN HIS PLACE OF BUSINESS FOR

A) + YEARSB) YEARSC 3 YEARS

$'. IN THE PHILIPPINES, THE FILING AND PAYMENT OF TAX IS UNDER

A) PAY NOW, FILE LATER SYSTEMB PAY-AS-YO!-FILE SYSTEMC) FILE NOW, PAY LATER SYSTEM

$ . FOR SIMPLE NEGLECT, THE TAX SURCHARGE IS

A) * 1B 2C) 1

$ . FOR WILLFUL NEGLECT, THAT TAX SURCHARGE IS

A) * 1B) % 1C 0

$*. ANY TAX DEFICENCY SHALL BE SUBJECT TO THE INTEREST AT THE RATEOF ______W#C INTEREST SHALL BE ASSESSED AND COLLECTED FROM THEDATE PRESCRIBED FOR ITS PAYMENT UNTIL THE FULL PAYMENT THEREOF.

A) $%1B 20C) % 1

$+. FOR INDIVIDUALS EARNING PURELY COMPENSATION INCOME, THE BIRFORM TO USE IS

A) $* %B) $* $C 1#00


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$ . FOR INDIVIDUALS EARNING BOTH BUSINESS AND COMPENSATIONINCOME, THE BIR FORM TO USE IS

A) $* %

B 1#01C) $*

% . FOR CORPORATIONS AND PARTNERSHIP, THE BIR FORM TO USE IS

A 1#02B) $* $C) $*

.

END OF LONG (!I) 1

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Feu Lq #1 Answer Key Income Taxation Feu Makati Dec.4, 2012