Fringe and De Minimis Benefits Flashcards
MV
Housing – rented by employer
50% of rental
MV
Housing – owned by employer, no transfer of ownership to
employee
50% Actual Value (5% FMV/Tax Dec.
or ZV whichever is higher
MV
Housing – employer buys on installment, no title transfer
50% Actual Value (5% acquisition cost,
exclusive of interest)
MV
Housing – employer buys house, transfers title
Total cost of Zonal Value
whichever is higher
MV
Expense Account
Entire value of benefit
MV
Vehicle of any kind – employer buys
motor vehicle in the name of employee
Entire value of benefit
MV
Vehicle of any kind – Employer buys car installment in name of
employee
Cost exclude interest divided by 5
years
MV
Vehicle of any kind – Cost partially borne by employer in name
of employee
Entire value of cost borne by
employer
MV
Vehicle of any kind – Employer owns motor vehicle fleet
50% (cost of motor vehicle/5 years)
MV
Vehicle of any kind – Employer rents motor vehicle fleet
50% (rental of motor vehicle)
MV
Household expense
Entire value of benefit
MV
Interest on loan less than market (12%
standard rate)
Foregone interest equivalent
MV
Membership fees in clubs paid for by employer
Full value of benefit
MV Expenses for foreign travel - First class ticket
30%
MV
Expenses for foreign travel - Travel expenses of employee paid for by employer
Full value of benefit
MV
Holiday and vacation expenses – expenses of
employee paid for by employer
Full value of benefit
MV
Educational assistance to employee &/or dependents,
except scholarship to employee directly connected to
business
Full value of benefit
MV
Life/health/non-life insurance in excess of allowed
Full value of benefit
DMB
Monetized unused vacation leave credits of employees
not exceeding ten (10) days during the year
DMB
Monetized value of vacation and sick leave credits paid to
government officials and employees
Full
DMB
Medical cash allowance to dependents of employees
not
exceeding One Thousand Five Hundred Pesos (P1500.00)
per employee per semester or Two Hundred Fifty Pesos
(P250.00) per month
DMB
Rice subsidy
Two Thousand Pesos (P2,000.00) or one (1)
sack of fifty (50) kg. rice per month amounting to not more
than Two Thousand Pesos (P2,000.00)
DMB
Uniform and clothing allowance
not exceeding Six Thousand Pesos
(P6,000.00) per annum
DMB
Actual medical assistance, e.g., medical allowance to cover medical and healthcare needs, annual medical/executive check-up, maternity
assistance, and routine consultations
not exceeding Ten Thousand Pesos (P10,000.00) per annum
DMB
Laundry allowance
not exceeding Three Hundred Pesos (P300.00)
per month
DMB
Employees achievement awards e.g., for length of service or safety
achievement, which must be in the form of a tangible personal
property other than cash or gift certificate, with annual monetary
value
not exceeding Ten Thousand Pesos (P10,000.00) received by
the employee under an established written plan which does not
discriminate in favor of highly paid employees
DMB
Gifts given during Christmas and major anniversary celebrations
not
exceeding Five Thousand Pesos (P5,000.00) per employee per
annum
DMB
Daily meal allowance for overtime work and night/graveyard shift
not exceeding twenty-five percent (25%) of the basic minimum wage
on a per region basis
DMB
Benefits received by an employee by virtue of a collective
bargaining agreement (CBA) and productivity incentive schemes
provided that the total annual monetary value received from both
CBA and productivity incentive schemes combined
do not exceed
ten thousand pesos (P10,000.00) per employee per taxable year
% Grossed Up Divisor - Employers of non-resident alien (NETB)
not engaged in trade or business
25%
% Grossed Up Divisor - Regional or area headquarters and regional
operating headquarters of multinationals
35%
% Grossed Up Divisor - Offshore banking units
35%
% Grossed Up Divisor - Petroleum service contractors
35%
