Question 1

For purposes of availing the family home deduction to the extent allowable, a person may constitute:
Group of answer choices

One family home for each spouse

One family home for each child
As many family homes as possible
Only one family home

Question 2
Which of the following statements is incorrect in connection with family home deduction?
Group of answer choices

The total value of the family home must be included as part of the gross estate of the decedent
Family home deduction may not be lower than P 10,000,000
Family home deduction shall be allowed only if such family home is situated within the Philippines
For purposes of availing family home deduction, a person may constitute only one family home

Question 3
S1: In order that there can be vanishing deduction, the estate tax on a prior succession must have been
previously finally determined and paid.
S2. The underlying reason for vanishing deduction is to offer a relief from heavy burden of taxation if the
same property is subjected to two estate taxes within a short period of time because of proximate
dates.
Group of answer choices

Both statements are correct

Only S1 is correct
Only S2 is correct
Both statements are incorrect

Question 4
Which of the following items does not require that the value of the said deductible amount should be
included as part of the decedent’s interest reflected in the gross estate?
Group of answer choices

Claims against insolvent person

Receivable under RA 4917
Accommodation loan
Claims against the estate
Question 5
The following requisites are needed for the deductibility of claims against the estate, except:
Group of answer choices

The liability was contacted in good faith and for adequate and full consideration in money or money’s
worth.
All personal obligations existing at the time of the decedent’s death, including medical expenses prior to
death
The creditor’s claim must be enforceable in court
The indebtedness was not have been condoned or prescribed

Question 6
The following are requisites for vanishing deduction, except one:
Group of answer choices

The estate tax of the prior succession must have been finally determined
The property with respect to which deduction is sought can be identified
The property must have formed part of the gross estate situated in the Philippines of the prior decedent
The present decedent dies within five years from the date of death of the prior decedent

Question 7
The following deductions are deductible in full, except:
Group of answer choices

Family home
Transfer for public use
Judicial expenses
Casualty losses

Question 8
S1: The share of the surviving spouse in the estate shall be deducted equal to ½ of the gross conjugal
property.
S2: Standard deductions are in lieu of actual itemized deductions from the gross estate.
Group of answer choices

Both statements are correct

Only S2 is correct
Both statements are incorrect
Only S1 is correct

Question 9
Which of the following losses actually incurred should be allowed as deduction from the gross estate?
Group of answer choices

Losses from fire that happened after death fully recovered with insurance
Losses from theft incurred a week after the date of death
Losses that occurred after the distribution of the estate
Losses from earthquake which happened a week before date of death
Question 10
Amounts received under RA 4917 is appropriately classified as:
Group of answer choices

Exclusive and ordinary deductions

Conjugal and ordinary deductions
Exclusive and special deductions
Conjugal and special deductions

Question 11
Which of the following unpaid taxes is not deductible from the gross estate:
Group of answer choices

Property taxes accrued prior to decedent’s death

Gift taxes on life time gifts which remains unpaid at the date of death
Income taxes on income earned and received by the estate after decedent’s death
Capital gain tax on transfers before death and paid after date of death.

Question 12
S1: If the loan is found to be merely an accommodation loan where loan proceeds went to another
person, the value of the unpaid loan must be included as a receivable of the estate.
S2: In case unpaid mortgage payable is being claimed by the estate, verification must be made as to who
was the beneficiary of the loan proceeds.
Group of answer choices

Only S2 is correct
Both statements are incorrect
Both statements are correct
Only S1 is correct

Question 13
One of the following is not a requisite for deduction from gross estate of losses
Group of answer choices

Losses are incurred not later than the last for the payment of the estate tax.
Losses are not compensated for by insurance or otherwise.
Losses have been claimed as a deduction for the income tax purposes in an income tax return.
Losses are incurred during the settlement of the estate arising from fires, storms, shipwreck, or other
casualties, or from robbery, theft or embezzlement.
Question 14
The following are the requisites in order for claims against the decedent’s estate to be deductible,
except which one?
Group of answer choices

They must be existing against the estate.

They must be enforced by the claimant.
They must have been prescribed.
They must be reasonably certain as to amount.

Question 15
Which of the following taxes shall be deductible from the gross estate of the decedent?
Group of answer choices

Estate tax due from the transmission of his estate

Income tax for income received before death
Property taxes not accrued before his death
Income tax for income received after death

Question 16
The decedent is a married man with a surviving spouse with the following data:

Conjugal real properties. 15,000,000.00

Exclusive family home. 2,000,000.00
Other exclusive properties. 2,500,000.00
Conjugal ordinary deductions. 1,450,000.00

The taxable net estate is:

4,275,000.00
3,750,000.00
4,775,000.00
4,750,000.00

Question 17
The decedent is a married man with a surviving spouse with the following data:

Conjugal real properties. 5,000,000.00

Conjugal family house. 1,000,000.00
Exclusive family lot. 4,000,000.00
Other exclusive properties. 12,500,000.00
Conjugal ordinary deductions 1,500,000.00

The taxable net estate is:

Group of answer choices

9,275,000.00
9,750,000.00
9,250,000.00
8,775,000.00

Question 18
Mr. J Santos, resident decedent, married, died, leaving the following properties:

Real and personal properties acquired during the marriage 3,000,000.00

House and land inherited from the father 1 year and 3 months before he died (fair market value when
inherited, P1,500,000) used as decedent's family home. 2,000,000.00
Car purchased with cash received as gift from the mother during the year the decedent died
500,000.00
Cash (inclusive of P500,000 received as inheritance from the father). 1,500,000.00

The following obligations and expenses were also made available:

Claims against conjugal properties. 600,000.00

Unpaid mortgage on the inherited house and land (original mortgage was for P600,000) 100,000.00

How much was the vanishing deduction?

Group of answer choices

1,530,000.00
1,000,000.00
450,000.00
1,080,000.00

19. 262,603
20. 1,162,603
21. 5,437,397
22. 326,244
23. 3,200,000
24. 6,450,000
25. 544,041
26. 900,000
27. None of the choices
28. 112,500
29. 100,000
30. 93,000