Tax 1

Which of the following is not one of the Powers and Duties of the Bureau of Internal Revenue?

• To assess and collect all national internal revenue taxes, fees, and charges

• To enforce all forfeitures, penalties and fines connected therewith

• To execute judgment in all cases decided in its favor by the CIR

• To give effect and administer the supervisory/police powers conferred upon it by the NIRC or other special laws

Defined as a tax on all yearly profits arising from property, professions, trades, or offices, or as a tax on the person’s income, emoluments, profits and the like. It may be succinctly defined as a tax on income, whether gross or net, realized in one taxable year.

• Percentage Tax

• Income Tax

• Thumb Tax

• Taxation

A kind of taxpayer which is taxable on all income derived from sources within and without the Philippines

• Resident Alien

• Resident Citizen

• Non-Resident Citizen

• Non-Resident Alien

Under this Income Tax System, it does not matter whether the income received by the taxpayer is classified as compensation income, business or professional income, passive investment income, capital gain, or other income. All items of gross income, deductions, and personal and additional exemptions, if any, are reported in one income tax return, and one set of tax rates are applied on the tax base.

• Global System

• Schedular System

• Semi-Schedular or Semi-Global

• Direct

Under this Income Tax System, different types of income are subject to different sets of graduated or flat income tax rates. The applicable tax rate(s) will depend on the classification of the taxable income and the basis could be gross income or net income. Separate income tax returns (or other types of return applicable) are filed by the recipient of income for the particular types of income received.

• Global

• Schedular

• Direct

• Semi-schedular or Semi-global

Under this Income Tax System, all compensation income, business or professional income, capital gain and passive income not subject to final tax, and other income are added together to arrive at the gross income, and after deducting the sum of allowable deductions, the taxable income is subjected to one set of graduated tax rates or normal corporate income tax.

• Global

• Schedular

• Semi-schedular or Semi-global

• Indirect

A feature of the Philippine Income Tax where the tax burden is borne

by the income recipient upon whom the tax is imposed.

• Direct Tax

• Progressive Tax

• Comprehensive Tax

• Semi-Schedular or Semi-Global

A feature of the Philippine Income Tax where the The tax rate increases as the tax base increases. It is founded on the ability to pay principle and is consistent with Sec. 28, Art. VI, 1987 Constitution.

• Direct Tax

• Progressive Tax

• Comprehensive Tax

• Semi-Schedular or Semi-Global

Which of the following is NOT a criteria in imposing Philippine Tax

• Citizenship

• Residence

• Source

• Profitability

A Resident Alien is:

1. 1. An alien actually present in the Philippines who is not a mere transient or sojourner is a resident for income tax purposes.

2. 2. One who comes to the Philippines for a definite purpose, which in its nature may be promptly accomplished.

• True, True

• True, False

• False, False

• False, True