A- TRUE

B- FALSE

. Gross annual sales and/or receipts which does not exceed P 1,919,500 is subject to 3%
percentage tax.
- FALSE
The exercise of profession by regularly rendering services to clients for a fee is considered a
business subject to business tax.
- FALSE
. The sale of water by water utility franchise grantees is subject to VAT,
- TRUE
Individuals are limited to use only the calendar accounting period.
- TRUE
Tax rates on exempt sales of goods, properties or services range from 1% up to 129
- TRUE
Taxes are imposed on real properties but not personal which are in proportion either to its value,
or in accordance with some other reasonable method of apportionment.
- FALSE
. Taxes are generally personal to the taxpayer.
- TRUE
Businesses principally for subsistence or livelihood refer to businesses with gross
sales or receipts not exceeding P 1M annually.
- TRUE
Under the current tax rules, sales to senior citizens are exempt from VAT.
- TRUE
To an international carrier, transport of passengers is subject to VAT.
- FALSE
By fiscal adequacy as a sound tax system means that the tax burden should be
proportionate to the taxpayer's ability to pay.
- TRUE
VAT registration of franchises of radio and television broadcasting is irrevocable.
- FALSE
Exempt sales are exempt from both the VAT and percentage tax,
-
On gross receipts of all franchises on radio and/or television broadcasting companies whose
annual gross receipts of the preceding year do not exceed P10,000,00 is still subject to 3% tax.
- TRUE

A- Administrative feasibility B- Tax Avoidance C- Gross Selling Price D- Fiscal E- Business

Taxpayers F- Taxation Power G- Police Power H- Marginal Income earner I- Progressive
J- Gross Receipts Tax K- Situs of Taxation L- Regressive M-Premium Tax

the strongest of all interent poweraftre govemment

- M Premium Tax
It means a place of taxation.
- K Situs of Taxation
Tax laws should be capable of convenient, just and effective administration.
- A Administrative feasibility
This is also called tax minimization
- B Tax Avoidance
Tax on banks and quasibanks
- J Gross Receipts
As to graduation or rate, tax rate increase as tax base or bracket increases
- I Progressive
This can be obtained by craeting new taxes or new tax machinery
- C Gross Selling Price
A business owner principally for subsistence or livelihood
- E Business Taxpayers

Put the letter ONLY (CAPSLOCK)

Question: are taxable persons in business taxation which Include any individual, trust, estate,
partnership, corporation joint venture, cooperative or association.

A- Exempt/Not Subject to Business Tax

B- Business Tax (Percentage Tax or VAT)
C- Other Percentage Tax. (OPT)

Put the letter only. (CAPSLOCK)

Question: refers to the total amount of money or its equivalent which the purchaser pays or is
obligated to pay to the seller.

A- Exempt/Not Subject to Business Tax

B- Business Tax (Percentage Tax or VAT)
C- Other Percentage Tax. (OPT)
Mr. X is regularly engaged in the sale of goods. He will pay:
A) VAT only
C) either A or B
B) Percentage tax only
D) neither A nor B

Franchises on radio and/or television broadcasting whose annual gross receipts of the
preceding year do not exceed P 10 M.
© C- Che Percentage Tax (OPT)

IDENTIFICATION
A- Exempt/Not Subject to business Tax
B- Business Tax (Percentage Tex or VAT)
C- Other Percentage Tax (OPT)
Winnings on Horse races
- C
Franchise grantees of water with receipts exceeding P10.M
- B, C
Operator of cockpits
- C
Franchise grantees of gas with receipts Do not exceed P2M
- B,C
An owner of sari-sari store with sales less than F100.000 during the year
- B
Sale of dried/ smoked fishes
- A
Golf course
- C
Operator of 5 units tricycle
- B
Bank’s processing Fees
-
transport of cargo by domestic common carriers by sea within the Philippines
- B
transport of cargo by domestic common carriers by air within the Philippines
- B
Bowling alleys
- C
Bank short-term loan
- B, C
sale of books, newspapers and magazines
- A
Franchise grantees of electricity
- B
transport of cargo by domestic common carriers by land
- B
common carrier by Sea - Cargoes
- B
sale of real property not primarily held for sale to customers
- A
sale of real property held for sale to customers
- B

CHOICES A B

Exempt sales are exempt from both the VAT and percentage tax
● A
 ● B
A casual sale and is not made in the ordinary course of business is exempt from
paying business tax
● A
● B
Taxes are classified as to who bears the burden as well as determination of
amount but not as 10 purpose.
● A
● B
A person who is below the VAT threshold may, at his option, register as a VAT
Taxpayer.
● A
● B
On gross receipts of all franchises on radio and/or television broadcasting
companies whose annual gross recelpts of the preceding year do not exceed P
● A
● B
Businesses principally for subsistence or livelihood refer to businesses with gross sales or
receipts not exceeding P 1M annually.
● A
● B
Domestic land carers and keepers of garage are subject to 2% percentage tax.
● A
● B
Franchises on radio and television broadcasting have an option to register as VAT
taxpayers.
● A
● B
On gross receipts of franchises on gas and water utilities derived from the
business covered by law granting the franchise is subject to 2% percentage tax.
● A
● B
Under the current tax rules, sales to senior citizens are exempt from VAT.
● A
● B
Individuals are limited to use only the calendar accounting period.
● A
● B
Tax rates on exempt sales of goods, properties or services range from 1% up to 12%
● A
● B
Taxes are imposed on real properties but not personal which are in proportion either to its value,
or in accordance with some other reasonable method of Apportionment.
● A
 ● B
Taxes are generally personal to the taxpayer.
● A
● B
Businesses principally for subsistence or livelihood refer to businesses with gross sales or
receipts not exceeding P 1M annually.
● A
● B

The business tox on services specifically subject to other percentage tax IS.
A) VAT
C) A or B
B) Percentage Tax
D) neither A nor B

The following factors are determinants to the situs of taxation:

A) source of income being taxed
B) residence of the taxpayer
C) subject matter of the tax
D) All of these

Essential elements of taxes include/s

A) enforced contribution
B) proportionate in character
C) both A and B
D) A only

Taxes are levied for public purpose/s which may include:

A) construction of roads and bridges
C) A only
B) pensions to retited govetnment employees
D) both A and B

It is a compensation for the use of somebody else's property determined by the cost of the
improvement
A) Tariff
B) Special Assessment
C) Toll
D) License fee

There are two competing keepers of garage with the folloving receipts:
Mr. X - P 1.200,000 Mr Y- 3,500.0D0 Who will pay a Percentage lax?
A)Mr. X
B) Mr."
C) both A and 8
D) None of them

Statement 1 - Seller of goods are subject to percentane tax

Statement 2 - Seller of services are subject to VAT.
Which statement is correct?
A) Statement 1
B) Statement 2
C) both Statements
D) neither of the Statements

Mr. X is regularly engaged in the sale of goods. He will pay:

A) VAT only
C) either A or B
B) Percentage tax only
D) neither A nor B

Under this method, the taxpayer uses unlawful means to evade or lessen the payment of tax:
A) Tax evasion
B) Tax avoidance
C) Tax aption
D) Tax exemption

Mr. P made a casual sale involving a cor to Mrs. a buyer who is not a car depler. Who is subject
to business tax?
A) Mr. P
B) Mrs. T
C) both Mr. P and Mrs. T
D) neither Mr. P not Mrs. T

Items 61 to 63 refer to the following:

The following data pertain to a Non- VAT taxpayer, during the 3rd Quater of 2020
July August September
Revenue (Sales)- 200,000 240,000 230,000
Purchanas- 175,000 300,000 170,000

61. Which of these properly reflects business tax payment as a service provider?
- C J175,000 A300,000 S170,000
62. Which of these properly reflects the payment of business tax as a seller of goods?
- A J0 A0 S 670,000
63. Which of these properly reflects the filling of business tax either as a seller of goods or
services?
- B J- A- S2551Q D-oct.25,2020
64. What amount is subject to percentage tax?
 -
65. How much is the percentage tax payable for the quarter?
-
66. The amusement tax due is:
- A0
67. Assume that the bout was not a word championship but the winner will become the No.
challenge. How much if any should be reported as amusement tax?
- A0
ITEM 68 TO 71
68. How much is subject to common carrier tax?

69. How much is the Common carrier tax?

70. How much is subject to percentage tax?

- E 600,000
71. How much is the percentage tax payable?
- D 270,000
ITEM 72 TO 75
72. Assume that the taxpayer is generating and selling electricity, what is the correct business
tax for the year?
- A0
73. Assume that the taxpayer is a water utility franchise, what is the correct business tax for the
year?
- C 250,000
74. Assume that the taxpayer is a television franchise who opted as a VAT taxpayer, what is the
correct business tax for the year?
-
75. Assume that the taxpayer is a radio broadcasting franchise who registered as a Non-VAT
taxpayer, what is the correct business tax the year?
- F 100,000
ITEMS 78 TO 80
76. Its business tax liability in 2020 is:
- E 600,000
77. It's business tax liability in 2022 is:
- B 25,000
78. How much is the Gross Receipt tax in A?
- G 250
79. How much is the Gross Receipt tax in A and B?
- C 25,000
80. How much is the total Gross receipt tax in year 2020?
- I 7,500
TRUE/FALSE (a. true, b. false)
A. Gross annual sales and/or receipts which does not exceed P1,919,500 is subject to
3% percent tax.
B. The exercise of profession by regular rendering services to clients for a free is
considered a business subject to business tax.
A. The sale of water by water utility franchise grantees is subject to VAT.
A. Individual are limited to use only the calendar accounting period.
B. Tax rates on exempt sale of goods, properties or services range from 1% up to 12%.
B. Taxes are imposed on real properties but not personal which are in proportion either
to its value, or in accordance with some other reasonable method of appointment.
B. Taxes are generally personal to the taxpayer.
Business principally for subsistence or livelihood refer to the business with gross sales
or receipt not exceeding P1M annually.
A. Under the current tax rules, sales to senior citizens are exempt from VAT.
B. To an international carrier, transport of passengers is subject to VAT.
A. By fiscal adequacy as a sound tax system means that the tax burden should be
proportional to the taxpayer’s ability to pay.
A. VAT registration of franchise of radio and tv broadcasting is irrevocable.
B. Exempt sales are from both the VAT and percentage tax.
B. A casual sale and is not made in the ordinary course of business is exempt from
paying business tax.
B. Taxes are classified as to who bears the burden as well as determination of amount
but not as to purpose.
B. A person who is below the VAT threshold may, at his opinion, register as VAT
taxpayer.
B. On gross receipts of all franchise on radio and/ or tv broadcasting companies whose
annual gross receipts of the preceding year do not exceed P10,000,000 is still subjected
to 3%
MATCHING TYPE

A. B. Tax C. D. E. F. G. H. I. J. K. L.
Administ Avoid Gro Fiscal Busin Taxa Poli Marg Progres Gros Situs Regre
ration ance ss Adeq ess tion ce inal sive s of ssive
Feasible Selli uacy Taxpa Pow Po Inco Rece Taxa M.
 ng yers er wer me ipts tion Premiu
Pric Tax m Tax
e

G. The strongest of all inherent power of the government.

K. It means place of taxation
A. Tax laws should be capable of convenient, just and effective administration
B. This is also called tax minimization.
J. Tax on banks and quasi-bank.
As to graduation or rate, tax rate increases as tax base or bracket increases.
This can be obtained by creating new taxes or new tax machinery.
J. A business owner principally for subsistence or livelihood.
PUT THE LETTER ONLY. (CAPS)
Question: are taxable persons in business taxation which include any individual, trust,
estate, partnership, corporation joint venture, cooperative or association.
a- exempt /not subject to business tax
b- business tax (percentage tax or vat
c- other percentage tax (opt)
Answer:
Question: refers to the total amount of money or its equivalent which the purchaser pays
or obtained to pay the seller.
a- exempt /not subject to business tax
b- business tax (percentage tax or vat0
c- other percentage tax (opt)
Answer:
IDENTIFICATION
a- exempt /not subject to business tax
b- business tax (percentage tax or vat0
c- other percentage tax (opt)
C. Winning on horse races.
C. Franchise grantees of water with receipt exceeding P10M.
C. Operator of cockpits
B. An owner of sari-sari store with sales less that P100k during the year.
A. Sales of dried/smoked fishes.
C. Golf course
A. Operator of 5 units tricycle
B. Banks processing fees
C. Transport of cargo by domestic common carries by sea within the Philippines.
C. Transport of cargo by domestic common carries by air within the Philippines.
C. Bowling alleys.
B. Bank short-term.
A. Sales of books, newspaper and magazines.
C. Franchise grantees of electricity.
C. Transport of cargo by domestic common carries by land.
C. Common carries by sea-Cargoes.
A. Sales real property not primarily held for sale to customers.
A. Sale of real property to held for sale to customers.
RED COLOR- NOT SURE
YELLOW COLOR- SURE
Franchise on radio/tv broadcasting whose annual gross receipt of the preceding year
does not exceed P10M.
a- exempt /not subject to business tax
b- business tax (percentage tax or vat
c- other percentage tax (opt)
Mr. X is regularly engaged in the sale of goods. He will pay:
a- VAT only
b- percentage tax only
c- either a and b
d- neither a nor b
The business tax on services specifically subject to other percentage tax is:
a- VAT only
b- percentage tax only
c- either a and b
d- neither a nor b
The following factors are determinants to the situs of taxation.
a- source of income taxed
b- residence of taxpayer
c- subject matter of the tax
d- all of these
Essential elements of taxes include/s:

a- enforced distribution
b- proportionate in character
c- both a and b
d- a only
Taxes are levied for public purpose/s which may include:
a- construction of roads and bridges
b- pensions to retired government employees
c- a only
d- both a and b
It is compensation for the use of somebody else property determined by the cost of the
a- tariff
b- special assessment
c- troll
d- license fee
There are two competing keepers of garage with the following receipts:
Mr. x -P1,200,000
Mr. y – 3,500,000
a- mr. X
b- mr. Y
c- both a and b
d- none of them
Statement 1- seller of goods are subject to percentage tax.
Statement 2- seller of services are subject to VAT.
a- Statement 1
b- Statement 2
c- Both statement
d- Neither of the statement
Mr. x regularly engaged in the sale of goods. He will pay:
a- Vat only
b- Percentage tax only
c- Either a or b
d- Neither a or b
Under this method, the taxpayer uses unlawful means to evade or lessen the payment
tax:
a- Tax evasion
b- Tax avoidance
c- Tax option
d- Tax exemption
Mr. p made casual sale involving a car to mrs. t, a buyer who is not a car dealer. Who is
subject to business tax?
a- Mr. p
b- Mrs. t
c- Both
d- Neither
SHORT PROBLEMS (GIKAN SA SOURCE ANG UBAN NUMBERS KAY DI SURE
MAO BAGYUD NA KAY BLURRED SIYA SA PIC)
61.
62.
63.

64. 100,000
65. 1,000
66. 0
67. 0
68. 250,000
69. 7,500
70. 25,000
71. 250,000
72. 600,000
73. 100,000
74. 600,000
75. 150,000 ?
76. 270,000
77. 1,440,00
78. 125,000
79. 175,000
80. 210,000