INCOTAX- REVIEW

TRUE OR FALSE: A business partnership is subject to the rule on minimum corporate income tax.

• True

• False

TRUE OR FALSE: A business partnership may avail of optional standard deduction in computing its taxable income.

• True

• False

TRUE OR FALSE: Employees of BIR are disqualified to receive reward as tax informers.

• True

• False

TRUE OR FALSE: Excess of cash advances on travel allowances of employees are taxable to them if not returned to their employer.

• TRUE

• FALSE

One of the following is not subject to income tax

• Wagering Gains

• Bribes given to an officials

• Winnings In Lotto Amounting To 10,000

• Winnings In Jueteng

If an individual renders services to a creditor who in consideration thereof cancels the debt, the cancellation of indebtedness may amount to a:

• Capital Contribution

• Gift

• Payment Of Income

• Donation Inter Vivos

It is the process or means by which the sovereign, through its lawmaking body, raises income to defray the necessary expenses of the government.

• Tax

• Government Tax

• Scope Of Taxation

• Taxation

The power of the state to enact such laws in relation to persons and property as may promote public health, public morals, public safety, and the general welfare of the people.

• Taxation

• Eminent Domain

• Direct Tax

• Police Power

It means the place of taxation. The rule is that the state which has jurisdiction to tax the person, property, or transactions may rightfully levy and collect tax.

• Sinus Of Taxation

• Situs Of Taxation

• Shifting

• Capitalization

Which are the sources of tax laws? (Choose 2)

• Constitution

• Judicial Decisions

• Revenue Law Purposes

• Tax Bill