XTAXREV

Name:__
_____
_____
_____
_____
____,
CPA2016 Dat
e:_
___
___
___
___
___
___
_
Sect
ion:
___
_____
_____
_____
_____
__ CORPORATI
ON

1.PAASA,acor por ationr egi ster edi nNor way ,hasa50M el ect ri
cpowerpl anti nSanJose,Bat angas.Asi def rom
PAASA’ si ncomef rom i tspowerpl ant ,whi chamongt hef ollowi ngi sconsi der edaspar tofi t
si ncomef rom
sour ceswi t
hi nt hePhi l
ippi nes?
a.Gai nsf r
om t hesal et oanI locosNor tepowerpl antofgener ator sboughtf rom t heUni t
edSt at es.
b.Int erest sear nedoni tsdol l
ardeposi tsi nt hePhi l
ippi nebankundert heExpandedFor eignCur r
encyDeposi t
Sy stem.
c.Di v i
dendsf r om t het wo- yearol dNor wegi ansubsi diar ywi thoper ationsi nZambi abutder iv es60%ofi t
sgr oss
i
ncomef rom t hePhi l
ippi nes.
d.Roy al ti
esf r
om t heusei nBr azil ofgener at orset sdesi gnedi nt hePhi li
ppinesbyi tsengi neers.
2. UMASA Cor por at i
oni sr egi ster edundert hel awsoft heVi rginI slands.I thasext ensi veoper ationsi n
Sout heastAsi a.I nt hePhi lippi nes,i t
spr oduct sar ei mpor tedandsol datamar k-upbyi tsexcl usivedi stributor
,
Andr ea’ sTr adi ngI nc.TheBI Rcompi ledar ecor dofal lthei mpor tsofAndr eaf rom UMASAandi mposedat axon
UMASA’ sneti ncomeder ivedf r om i tsexpor tst oAndr ea.I st heBI Rcor rect?
a.Yes.UMASAi sanon- resi dentf or eigncor por ationengagedi nt radeorbusi nessi nt hePhi l
ippi nes.
b.No.Thet axshoul dhav ebeencomput edont hebasi sofgr ossr ev enuesandnotneti ncome.
c.No.UMASAi sanon- resi dentf or eigncor por at i
onnotengagedi nt radeorbusi nessi nt hePhi l
ippines.
d.Yes.UMASAi sdoi ngbusi nessi nt hePhi li
ppi nest hr oughi tsexcl usi v edist ribut orAndr ea’sTr adingI nc.
3. MANHI DI nc. ,acor por ationr egi steredandhol dingof fi
cei nAust r
alia, notoper atingi nt hePhi lippines, may
besubj ectt oPhi li
ppi nei ncomet axat ionon
a.Gai nsi tder ivedf rom sal ei nAust raliaofanor ecr usheri tboughtf rom t hePhi l
ippineswi tht hepr oceeds
conv ertedt opesos.
b.Gai nsi tder ivedf rom sal ei nAust raliaofshar esofst ockofPhi lexMi ningCor por ation, aPhi li
ppinecor por ati
on.
c.Di v i
dendsear ned f rom i nv estmenti naf oreigncor por at i
ont hatder ived 40% ofi tsgr ossi ncomef rom
Phi li
ppi nesour ces.
d.I nter estsder ivedf rom i t
sdol l
ardeposi tsi naPhi li
ppi nebankundert heExpandedFor eignCur r
encyDeposi t
Sy stem.
4. A cor por ation or gani zed and cr eat ed undert hel awsofa f orei gn count ryand i saut hor i
zed t o do
business/ tr
adei nt hePhi li
ppi nesi s:
a.Domest iccor por at i
on c.Non- resi dentf or eigncor porat i
on
b.Resi dentf or eigncor por ation d.Gener al co-par tner shi p
5. Acor por ationwhi chmaybecl assi fi
edasei therar esi dentcor por ationoranon- residentcor por ati
oni s
a.Domest iccor por at i
on c.Gov ernmentownedandcont rolledcor por ati
on
b.For eigncor por at ion d.Non- pr of i
thospi tal
6. Adomest iccor por ationmayempl oy , asabasi sf orf ili
ngi tsannual cor por ateincomet axr eturnthe:
a.Cal endary earonl y c.Ei t
hercal endarorf iscal y ear
b.Fi scal yearonl y d.Nei t
hercal endarnorf iscal year
7. Acor por ationf ilesaquar t
er l
yr etur nwi thin
a.30day saf tert heendofeachoft hef ir
st3quar ters
b.60day saf tert heendofeachoft hef ir
st3quar ters
c.30day saf tert heendofeachoft hef ir
st4quar ters
d.60day saf tert heendofeachoft hef ir
st4quar ters
8.Af inal orannual ret ur ni sf il
edonorbef oret he15thdayort he
rd
a.Mont hfol l
owi ngt hecl oseoft het axabl ey ear c.3 mont hf ol lowi ngt hecl oseoft het axabl ey ear
b.2ndmont hf ollowi ngt hecl oseoft het axabl ey ear d.4t hmont hf ollowi ngt hecl oseoft het axabl ey ear
9.Acor por ationonaf iscal yearendi ngMar ch31, shoul df ilei tsannual return
a.Onorbef or eApr i
l 15oft hesamey ear c.Onorbef or eJul y15oft hesamey ear
b.Onorbef or eApr i
l 15oft hef ollowi ngy ear d.Onorbef or eJul y15oft hef ollowi ngy ear
10.Oneoft hegener al princi plesofi ncomet axat ion:
a.Af oreigncor por ationengagedi nt hebusi nessi nt hePhi li
ppi nesi st axabl eonal l i
ncomeder i
vedf rom sour ces
wi thinawi thoutt hePhi l
ippi nes.
b.Af oreigncor por ationengagedi nt hebusi nessi nt hePhi li
ppi nesi st axabl eonal l i
ncomeder i
vedf rom sour ces
wi thint hePhi li
ppi nesonl y.
c.Adomest iccor por ationi st axabl eoni ncomeder ivedf rom sour ceswi thint hePhi l
ippi nesonl y.
d.Adomest iccor por ationi st axabl eoni ncomeder ivedf rom sour ceswi thoutt hePhi lippinesonl y
11.Oneoft hef ollowi ngdoesnotf allundert hedef ini
tionofa“ cor por at ion”f ori ncomet axpur pose:
a.Gener al par tner shi p c.I nsur ancecompany
b.Joi ntst ockcompany d.Sol epr opr i
et or shi p
12.Whi choft hef ollowi ngi ssubj ectt ot hecor por atei ncomet ax?
a. Anon- st ockandnonpr ofiteducat ional inst i
tut ion
b. Publ iceducat i
onal inst itution
 c.Civ
icleagueororganizati
onnotorgani
zedf
orprof
itandoperat
edexcl
usivel
yfort
hepr
omot
ionofsoci
al
welf
are.
d.Mutualsavi
ngsbankandcooper ati
vebankhav
ingacapitalstockr
epresent
edyshar
esor
gani
zedand
operat
edformut
ual purposesandpr
ofit
.

13.Whi choft hef ollowi ngi scl assi fiedasspeci al cor por at i
onsubj ectt opr ef er ent i
al cor porateincomet axrate?
a.Soci al Secur itySy stem c.Phi l.Char i
t ySweepst akesOf fice
b.Pr opr iet aryEducat ional Inst itut i
on d.Gov er nmentSer viceI nsur anceSy st
em
14.ThePhi lippi neHeal thI nsur anceCor por ation, agov er nmentownedcor por at i
oni s:
a.Exemptf rom t hecor por at ei ncomet ax
b.Subj ectt ot hepr ef erent ial cor por at ei ncomet axf orspeci alcor por at i
ons
c.Subj ectt ot hebasi ccor por at ei ncomet ax
d.Subj ectt of inal t
ax
15.Publ i
ceducat ional inst i
tut ions, liket heUni ver sityoft hePhi l
ippi nesi sdeemedbyl aw:
a.Subj ectt ot hepr ef erent ial cor por at ei ncomet axf orspeci alcor por at i
ons
b.Subj ectt ot hebasi ccor por at ei ncomet ax
c.Subj ectt obot ht hepr efer ent i
al incomet axandt hebasi ccor por at ei ncomet ax
d.Exemptf rom t hecor por at ei ncomet ax
16.Whi chi snotcor r
ect ?Thef ol l
owi ngar eexemptf rom t hecor por atei ncomet ax:
a.Phi li
ppi neChar it
ySweepst akesOf fice c.Gov ’t.Ownedorcont rol ledcor p.
b.Bur eauofI nt ernal Rev enue d.Soci al Secur i
t ySy st em
17.Whi choft hef ollowi ngmay besubj ectt ot hecor por atei ncomet ax?
a.Anon- st ockandnon- pr of iteducat i
onal i
nst i
tut ion c.Apr iv ateeducat ional inst i
tution
b.Apubl iceducat ional i
nst itution d.Gov er nmentSer v i
ceI nsur anceSy stem
18.Thei mpr oper lyaccumul at edear ningst axshal l appl yt o
a.Publ iclyhel dcor por at ion c.I nsur ancecompani es
b.Banksandot hernon- bankf inanci al inter medi ar i
es d.Pr iv at ecor por at i
ons
19.Whi choft hef ollowi ngst at ement si snotcor rect ?
a.MCI Ti snotappl icabl et or esi dentf or eigncor por at i
ons
b.Thecor por at equar t
er lyr et urnshal lbef iledwi thin60day sf ol l
owi ngt hecl oseofeachoft hefi
rstt hr
ee
quar teroft het axabl ey ear
c.Resi dentf or eigncor por at ionswoul dbet axedonneti ncomef r
om wi t hint hePhi ls.Onl y
d.Non- resi dentf oreigncor por at ionsar et axedongr ossi ncomef r om wi thint hePhi ls.
20.Thef ollowi ngi ncomear esubj ectt of inal tax ,except
a.Roy altyi ncomer ecei v edbyadomest iccor por at i
onf rom adomest iccor por ation.
b.Cashdi videndsr ecei v edbyanon- r
esi dentf or eigncor por ationf rom adomest iccor por ati
on
c.Cashdi videndsr ecei v edbyadomest iccor por ationf rom adomest iccor por ation
d.Inter esti ncomer ecei v edbyr esi dentf or eigncor por ati
onf rom aPhi lippi nebank
21.TheMCI Tshal l notappl yt hef ol l
owi ngr esi dentf or eigncor por ation s, except
a.RFCengagedi nbusi nessasi nt er nat ional car riersubj ectt o21/ 2%oft hei rGr ossPhi l
ippineBi l
li
ngs
b.RFCengagedi nbusi nessasOf f shor eBanki ngUni tsont hei rincomef rom f orei gncur rencyt r
ansactionswi t
h
l
ocal commer cial banks
c.RFCengagedi nbusi nessasr egi onal oper at i
ngheadquar t
er s
d.RFCengagedi nhot el, mot el andr esor toper at i
ons
22.ThePr esi dent ,uponr ecommendat ionoft heSecr etar yofFi nance, mayal lowcor por ati
onst heopt iontobet axed
at15%ofgr ossi ncome, af tert hef ol lowi ngcondi tions, exceptone, hav ebeensat isf ied.Whi chist heexception?
a.At axef for tr atioof40$ofGr ossNat ional Pr oduct( GNP)
b.Ar at ionof40%ofi ncomet axcol l
ect iont ot ot al t
axr ev enue
c.Av att axef fortof4%ofGNP
d.A0. 9%r atioofconsol idat edpubl icsect orf inanci al posi ti
ont oGNP
23.Whi choft hef ollowi ngi snotcor r ect ?Thegr ossi ncomet ax
a.Isopt i
onal toaqual ifiedcor por at i
on
b.Isav ailabl ei ft her at i
oofcostofsal est ogr osssal esorr ecei pt sf rom al l sour cesdoesnotexceed55%
c.Shal l bei rrev ocabl ef ort hr eeconsecut iv et axabl ey ear st hatt hecor por at ioni squal ifi
edundert hescheme
d.Iscompar edwi tht henor mal incomet axandmi ni mum cor por atei ncomet ax
24.UMASA Cor por ationdecl ar edanddi st ribut edt oi tsst ockhol der sshar esofPAASA Cor porati
on.Oneofi t
s
stockhol der s,Joy ce,r ecei ved100shar esofPAASACor por at i
onshar esasdi vidends.Att hedat eofdi v
idend
declarat ion,t hef airmar ketv alueofPAASACor por ationshar eswasP120pershar eandbyt het i
meJoy ce
receivedt hedi vidend, thef ai rmar ketv aluepershar ewasP180.Whi choft hef ol lowi ngi scor r
ect ?Thedi v
idend
i
s
a.Ast ockdi vidend, henceexemptf rom t ax
b.Apr oper tydi vidend, hencepar toft axabl ei ncomeofW
c.Apr oper tydi vidend, hencesubj ectt of inal t axbasedoni tsf airmar ketv alueofP120pershar e
d.Apr oper tydi vidend, hencesubj ectt of inal t axbasedoni tsf airmar ketv alueofP180pershar e
25.Ifthegrossi ncomef rom unr
elat
edact
ivi
tyexceeds50% oft hetotalgr
ossincomederi
vedbyanypr i
vat
e
educati
onalinsti
tuti
on,therat
eshallbeforordinar
ycor porat
ionbasedont heenti
retaxabl
eincome.Thi
s
pri
ncipl
eisknownas
a.Construct
ivereceipt c.Endtrustdoctr
ine
b.Taxbenefitrule d.Predominancetest

26.Alloft hefol l
owi ngst atement sar ecor r
ect,exceptone.Whi chi stheexcept ion?
a.Thesour ceofi nt erestincomei st hecount r
ywher ethedebt orr esides
b.Thesour ceofdi videndi ncomei st hecount r
ywher ethecor porationwasi ncorporated
c.Rent sareconsi der edder i
vedf rom t hecount rywher ethepr oper t
yi slocat ed
d.Incomef rom per sonal serv
icesi sconsi deredder ivedfrom thecount rywher etheser v
iceswererendered
27.Statement1– Agai nf rom sal eofshar esofadomest iccorpor ationshal lbeconsi deredderi
vedf rom t
he
Phili
ppi nesr egardl essofwher et heshar eswer esol d
Statement2–Agai nfrom saleofshar esofaf orei gncor porati
onshal lbeconsi deredderi
v edf
rom thecountr
y
wher et hecor por at i
onwascr eat edoror ganized
a.Tr ue, Trueb.Tr ue, False c.Fal se, True d.Fal se, False
28.Forincomet axat i
onpur poses, thet er m“ corporation”excl udesoneoft hef ollowing
a.Or dinarypar t
ner ship c.Gener al prof
essi onal par t
nership
b.Ani ncorpor atedbusi nessor gani zat i
on d.Busi nesspar tnershi p
29.ACor poration’sr ecor dsshow:
Nor mal Taxes ExcessMCI T ExcessWi thholding
Quar ter I ncomeTax MCI T Wi t
hheld Pr iorYear TaxPr i
orYear
Fi
rst P100, 000 P80,000 P20, 000 P30, 000 P10, 000
Second 120, 000 250, 000 30, 000
Third 250, 000 100, 000 40, 000
Four th 200,000 100,000 35, 000
Thei ncomet axduef ort hefir
stquar teri
s
a.P100, 000b.P80, 000 c.P50, 000 d.P40, 000
30.Thei ncomet axduef ort hesecondquar teri
s
a.P120, 000b.P250, 000 c.P150, 000 d.P230, 000

31.Theincometaxduefort
het
hir
dquarteri
s
a.P250,000b.P100,
000 c.P140,
000 d.P70,
000

32.Theincometaxduefort
heyear
a.P200,000b.P100,
000 c.P135,
000 d.P165,
000

33.Usi
ngthepr ecedi
ngproblem exceptt
hatt
henormali
ncomet
axf
ort
hef
our
thquar
teri
sP50,
000(
inst
eadof
P200,
000),
theincomet axdueforthey
eari
s
a.P120,
000b.P55, 000 c.P45, 000 d.P75,000

34.ABANGERSUni versity
,apr i
vateeducati
onali
nstit
uti
onorgani
zedi
n2000,hadthefol
l
owingdat
afor
2012.
Tuit
ionfees P850,000
Rentali
ncome( netof5%cwt ) 142,500
Schoolrelatedexpenses 820,000
Theincomet axstillduefor2012i s
a.P54,000 b.P10, 500 c.P18, 000 d.P46, 500
35.NABASTEDCol l
ege, apri
v ateeducati
onali
nsti
tuti
onorgani
zedin2000,
hadthefol
l
owingdataf
or2012
Tuit
ionfees P480,000
Rentali
ncome( netof5%cwt ) 494,000
Schoolrelatedexpenses 945,000
Theincomet axstillduefor2012i s
a.P16,500 b.(P9, 500) c.( P6,000) d.P20, 000

36.INIWANANAi r
li
nes,ar esidentforeigni nt
ernat
ionalcarri
erhast hefoll
owingr ecordsofincomefortheperi
od.
(thei
ncomer epresentsgrossPhi l
.Bi l
l
ings)
a.Cont i
nuousf l
ightfrom Mani l
at oToky o=1,000t i
cketsatP2,000perticket
b.Fl i
ghtfr
om Mani latoSi ngapore:tr
ansferfli
ghtfrom SingaporetoTokyo=2, 000t i
cket
satP2,
000perti
cket
c. Conti
nuousf l
ightfrom Mani l
at oSingapore=3, 000ti
cketsatP1,000pert icket
Theincomet axduei s
a.P225,000b.P125, 000 c.P100, 000 d. P175,000
37-46.TheNANGI WANCor porati
onpr ovidedthefoll
owi ngdataf orcal
endary earendingDecember31,2012($1=
P50)
 Phi
li
ppines Abroad
GrossI
ncome P4,
000,000 $40,000
Deduct
ions 2,
500,000 15,
000
I
ncomeTaxPaid 3,
000
37.Ifi
tisadomest i
ccor
por
ati
on,i
tsincometaxaft
ertaxcrediti
s
a.P812,500b.P675,
000 c.P962, 500 d.P480,000

38.Ifi
tisar
esi
dentcor
porat
ion,
itsi
ncomet
axis
a.P730,
000b.P450,
000 c.P480,000 d.P525,
000

39.Ifi
tisnon-
resi
dentcor
por
ati
on,i
tsi
ncometaxis
a.P730,
000b.P1,280,
000c.P1,
200,
000 d.P1,
400,
000

40.UnderNo.37,
buti
toptst
ocl
aimthetaxpai
dabr
oadasdeduct
ionf
rom gr
ossi
ncome,
itsi
ncomet
axi
s
a.P910,
000b.P832,
000 c.P275,
000 d.P780,000

41.Ifi
tisar
esi
denti
nternat
ional
car
ri
er,i
tsi
ncomet
axis
a.P100,
000b.P10,000 c.P37, 000 d.P125,000

42.Ifi
tisanon-r
esi
dentcinematogr
aphi
cfi
l
m owner
/l
essor
,it
sincomet
axi
s
a.P1,000,
000 b.P100,
000 c.P300,
000 d.P128,000

43.Ifi
tisanon-
resi
dentl
essorofv
essels,
itsi
ncomet
axi
s
a.P100,
000b.P180,000 c.P300,000 d.P128,
000

44.Ifi
tisanon-
resi
dentl
essorofai
rcr
aft
s,machi
ner
iesandequi
pment
s,i
tsi
ncomet
axi
s
a.P100,
000b.P180,000 c.P300,000 d.P128,000

45.I
fitisar esidentcor
porat
ionbuti
tsexpenseswi
thinandout
sidet
hePhi
l
ippi
nesi
sP3M,unal
l
ocat
ed(
disr
egar
d
ori
ginal
dat aonexpenses),i
tsi
ncometaxis
a.P640,000b.P700, 000 c.P480,
000 d.P600, 000

46.Ifi
tisar esi
dentcor
porati
onanditremi
tted60%ofit
snetprof
itt
oit
sheadofficeabroad,i
tst
otalt
axl
i
abi
l
ityi
s
(ori
ginal
data)
a.P480,000b.P571,800 c.P544,500 d.P612,750
47.BITTERCor por
ati
on,aresi
dentcor
porat
ion,pr
ovi
dedt
hefol
lowi
ngdataf
ortaxableyear2012

Phi
li
ppi
nes USA
GrossIncome P40M P20M
Divi
dendsf rom:
Domest icCor poration 5M
Foreigncor por ati
on( connected
witht heconductofi tsbusiness
i
nt hePhi l
s.) 4M
Businessexpenses 12M 8M
Thecorpor
ationremi t
tedt oi tsheadof f
icet heP5M di vi
dendi ncomeand40%ofi tsnetprofi
ttoi
tsheadof
fi
cei
n
USA.Thecorporati
on’st ot al t
axl iabili
tyincludingthet axont heprof
itr
emi t
tedi s
a.P10,
240,000 b.P12, 448, 000 c.P12, 960,
000 d.P10,944, 000
48.SI
NGLECor porati
onhast hef ollowi ngdat aforthey ear2011
GrossIncome, Philippines P1,000,000
GrossIncome, USA 500, 000
GrossIncome, Japan 500, 000
Expenses, Phi lippines 300, 000
Expenses, USA 200,000
Expenses, Japan 100, 000
OtherIncome:
Divi
dendf r
om SanMi guelCorp 70,
000
Divi
dendf r
om For dMot ors,USA 120,000
Gain, sal esofSanMi guel sharesdirectl
ytobuyer 150,000
Roy alties, Philippines 50,000
Roy alties, USA 100, 000
I
nter est( ot hert hanf rom banks) 60,000
Rent ,landi nUSA 250,000
Otherr enti ncome 100,000
 Pr
ize,
cont
esti
nManila 200,
000
Thetot
alt
axli
abi
li
tyasadomesti
ccorpor
ati
oni
s
a.P689,
000b.P669,
000 c.P679,750 d.P669,
500

49.Basedontheabov
eprobl
em,i
tstot
alt
axl
i
abi
li
tyifiti
sar
esi
dentcor
por
ati
oni
s
a.P318,
000b.P338,
000 c.P328,
750 d.P348,520

50.WALANG- FOREVER,i sadomest i

ccorporationengagedi nmerchandisingbusi
ness.Fort hecalendaryear2014,
i
thadaneti ncomeperbooksofP500, 000, afterconsideri
ng,
amongot hers,
thefol
lowing:
a.Di vi
dendr eceiv edf r
om adomest i
ccorpor ation P30,000
b.Pr ovi
sionf ordoubt f
ul accounts 10,000
c. Divi
dendr eceiv edf r
om af or
eigncor
por ati
on 20,000
d.Por ti
onofP150, 000adv ancerent
alal
readyear ned 100,000
e. Recoveryofr ecei vablespr evi
ousl
ywrittenof f(
incl
udedaspar tofnet
i
ncomeabov e):
Allowedbyt heBI Rasdeduction 10,000
Disal l
owedbyt heBIRasdeduct i
on 30,000
f. Refundoft axes( incl
udedaspar tofnetincomeabov e)
:
Allowedbyt heBI R 25,000
Disal l
owedbyt heBIR 15,000
g.Banki nteresti ncome:
Phi l
ippineBank 80,
000
USABank 100,000
Thetaxableneti ncomei s
a.P485,000b.P365, 000 c.P375, 000 d.P405, 000

51.Thenetoperat
inglossi
ncurredint
axableyearduri
ngwhicht
hetaxpayerwasexemptfr
om i
ncomet
axshal
l
a.Becarr
iedov erasadeducti
onfrom gr
ossincomef ort
henextt
axableyear
b.Becarr
iedov erasadeducti
onfrom gr
ossincomef ort
henext3consecuti
vet
axabl
eyear
s
c.Becarr
iedov erasadeducti
onfrom gr
ossincomef ort
henext5consecuti
vet
axabl
eyear
s
d.Notbeall
owedasadeduct i
onforthenexttaxabl
eyear

52.Anyincomef rom transacti

onswithdeposi
tor
ybanksundert
heexpandedf
orei
gncur
rencydeposi
tsy
stem shal
l
beexemptf r
om i ncomet axifder
ivedbya
a.Domest i
ccor porati
on
b.Residentforei
gncor porati
on
c.Non-resi
dentf orei
gncor por
ati
on
d.Residentali
en

53.Select
ed cumul ativebal anceswer et aken from ther ecordsofMAGHI HIWALAY- DIN-
SILA Co.,adomest i
c
corporat
ion,ini tsf i
fthyearofoper ati
oni n2014, whi
chhadani ncomet axr efundableofP10,000foraprecedi
ng
yearforwhicht her eisacer ti
fi
cateoftaxcr edi
t
Q1 Q2 Q3 Q4
Grosspr ofitfr
om sale P800,000 P1,
600,000 P2, 400,000 P3, 100,000
Capi t algainonsal edirect
ly
tobuy erofshar esofdomest ic
cor por ation 50,000 50,000 50,000 100,000
Div i
dendf r
om domest ic
cor por ation 10,000 10,000 20,000 20,000
Inter estonPhi l
ippi
nes
cur rency
Bankdeposi ts 5,000 10,
000 15,
000 20,
000
Busi nessexpenses 600,000 1,
200,000 1,
700, 000 2,
100,000
Incomet axwi thheld 15,000 35,000 65,
000 115,000
Ift
hecor porat i
onusest hecal endaryear,theannualincomet axr et
urnisdueon
a.Apr i
l15,2014 b.Apr i
l15,2015 c.July15,2015 d.July15,2014

54.Theincometaxdueattheendoft
hef
ir
stquar
ter
a.P39,000 b.P45,
000 c.P35,000 d.P60,000

55.Theincometaxdueattheendoft
hesecondquar
ter
a.P50,000 b.P70,
000 c.P40,000 d.P85, 000

56.Thei
ncomet
axdueatt
heendoft
het
hir
dquar
ter
 a.P70,
000 b.60,
000 c.P75,
000 d.P80,
000

57.Theincometaxdue(ref
undabl
e)attheendoft
heyear
a.P52,000 b.P50,
000 c.P30, 000 d.P40, 000

58.Therecordofacl oselyhel ddomest i

ccor porati
onshowt hefol
lowi
ngdatafor2014:
Grossincome P1,
500,000
Businessexpenses 600,000
Gainonsal eofbusi nessasset s 60,
000
I
nterestondeposi t
swi thMet r
obank, netoftax 5,
000
Salesofshar esofst ocks,notlist
edandt raded:
Sel
lingprice 150,000
Cost 115,000
Divi
dendsf rom VictoryCorpor ati
on,domest i
c 35,
000
Divi
dendspai dduri
ngt heyear 120,
000
Reservedf orbuil
dingacqui sit
ion 300,000
In2013,thecorporationsuf f
eredanoper at
inglossofP130, 000 .t
hisamountwascar r
iedf
orwar
dandcl
aimed
asdeductionfrom grossi ncomei n2012.Thei ncomet axduein2014is
a.P234,375 b.P249,000 c.P273, 937 d.P288, 000

59.Theimpr
oper
lyaccumul
atedear
ningt
axi
s
a.P48,
640 b.P34,
765 c.P35, 640 d.P36,
425

60.Adomest i
corgani
zedin1998prov
idedthefoll
owinginf
ormation:
2006 2007 2008 2009 2010
Netsal
es P4,
000,000 P5, 000,
000 P6, 000,000 P7,000,
000 P9,000,
000
Costofsal
es 2,
000,
000 3,
500,
000 4,
200,
000 5,
000,
000 5,
200,
000
Busi
nessexpenses 1,
900,
000 1,550,
000 1,
820,000 2,
100,
000 2,
300,
000
Theincometaxduefor2006is
a.P35,000 b.P30,
000 c.P40, 000 d.P32, 000

61.Theincomet axduef or2010

a.P293,000b.399,000 c.P344, 000 d.P450, 000
62-64.Therecor
dsofadomest iccor porati
onorganizedin2000show:
2012 2013 2014
Gr ossi
ncome P2,
000,
000 P3,
000,
000 P4,
000,
000
Ot heri
ncome:
Capital
gai nfrom saleof
Commer ciall
and 400,
000 500,
000
I
nterestincomef r
om bankdeposi t 80,
000 96,
000
Capital
gai nfrom saleofsharesof
stock–notl i
sted 60,
000 70,
000
Allowablededuct i
on 1,
940,
000 3,
100,
000 3,
500,
000
62.Theincomet axpayablein2012i s
a.P138,000b.P40,000 c.P42, 000 d.P18, 000

63.Thetaxablei
ncomein2014i
s
a.P400,000b.900,
000 c.1,000,
000 d.P500,
000

64.Theincomet axpay abl ein2014is

a.P150,000b.P120, 000 c.P38, 000 d.P68, 000
65-66.TherecordofSAWICor porat
ion,organizedin2004showedt hefol
lowingdat
afor2014.
Grossi ncome P2,
000,
000
Less:Al l
owabl ebusinessexpenses
(otherthanbaddebt s) P1,
850,000
Baddebt swr it
tenoff 100,
000 1,
950,
000
Taxableneti ncome P 50,000
I
n2015, 80%oft hebaddebt swr i
ttenof fi
n2014wascol l
ected
65.Theincomet axduei n2014i s
a.P40,000 b.P45, 000 c.P15, 000 d.P25, 000
66.In2015, whi
choft hef oll
owingstatementi scorrect ?
a.Therei sadefici
encyi ncomet axofP24, 000f or2014
b.Thet axabl
eneti ncomeshoul dbecor rectedtoP130, 000
c.Therei sataxabler ecoveryamount i
ngt oP80, 000i n2015
d.Thebaddebt
sexpensei
n2014shoul
dber
educedt
oP20,
000

“
DELI
GHTYOURSELFI
NTHELORDANDHEWI
LLGI
VEYOUTHEDESI
RESOFYOURHEART”-
PSALM 37:
4