ABCs Flashcards
WHAT IS THE TAX RATE FOR FRINGE BENEFIT?
A final tax of thirty-five (35%) is imposed on the grossed-up monetary value of fringe benefit furnished or granted to the employee (except rank and file employees by the employer, whether an individual or a corporation
Section 33-A NIRC
ARE TAX EXEMPTIONS CONSTRUED AGAINST THE TAXPAYER?
Yes. It is strictly consturf becuase the law does not look with favor on tax exemptions, they being contrary to the life-blood theory which is the underlying basis for taxes
Who is authorized to receive BIR Preliminary Assessment Notice.
Only Authorized Representatives of Taxpayer May Receive BIR Preliminary Assessment Notice.
Similar with the Formal Assessment Notice (FAN), the personal delivery of the Notice of Informal Conference (NIC) and the Preliminary Assessment Notice (PAN) must be served only upon the taxpayer or his/her duly authorized representatives.
The Court held that such requirements are necessary for “unless the recipient possesses a certain degree of authority or discretion, they would be unable to grasp the gravity of the service of an assessment notice and the potential impact it would have to the taxpayer they purport to serve and represent.
