Fringe Benefit Tax

Question 1

FBT

Answer 1

• housing
• expense account
• interest on loan
• vehicle
• housing personnel
• membership fee
• expenses for foreign travel
• holiday an d vacay expenses
• educational assistance to employee or dependents
• life or health insurance

Question 2

FBT

Answer 2

Non performance based

if per based = compensation

Question 3

Characteristics of FBT

Answer 3

1. Applies to managerial, supervisory and rank &file
   * rank and file bibigyan pero di kasama sa fbt tax part of comp income
2. Withheld by employer

Question 4

rate

Answer 4

RC, RA, NRC, NRAETB - 35%

NRANETB - 25%

Question 5

Base

Answer 5

Gross up monetary value - allo ded to employer

MV
_____ = GUMV x 35% = Fringe Benefit Tax Expense
65%

Question 6

JE

Answer 6

FBE xx
FBTE xx
CASH xx
FBT PAYABLE xx

Question 7

FBT XPN

Answer 7

benefit of giving will benefit employer more that employee this is bus exp not FBT

Question 8

HOUSING -Employer leases residential property

for the use of the employee

Answer 8

Rental paid x 50%

then GUMV

Question 9

HOUSING - Employer owns residential property which was assigned to an officer for his use as residence

Answer 9

Higher of FMV or Zonal Value x 5% x 50%

then GUMV

Question 10

HOUSING - Employer purchases residential property on the installment basis and allows the employee to use the same as his residence

Answer 10

Acquisition cost exclusive of interest x 5% x 50%

then GUMV

Question 11

HOUSING - Employer purchases a residential property and transfers the ownership in the name of the employee

Answer 11

Employer’s acquisition cost or zonal value, whichever is higher (100%)

then GUMV

Question 12

HOUSING - Employer purchases a residential property and transfers ownership for the latter’s residential use at a price less than the employer’s acquisition cost

Answer 12

FMV or zonal value, whichever is higher, less payment by employee (100%)

then GUMV

Question 13

VEHICLE - Employer owns and maintains a fleet of motor vehicles for the use of the business and employees

Answer 13

Acquisition cost of all motor vehicles not normally
used for business divided by 5 years x 50%

then GUMV

Question 14

VEHICLE - Employer leases and maintains a fleet of motor vehicles for the use of the business and the employees

Answer 14

“Amount of rental payments for motor vehicle
not normally used for business purposes x 50%”

then GUMV

Question 15

VEHICLE - Employer purchases the motor vehicle in the name of the employee

Answer 15

Acquisition cost (100%)

then GUMV

Question 16

VEHICLE - “Employer provides the employee with cash for the purchase of a
motor vehicle in the name of the employee”

Answer 16

Amount of cash received by the employee (100%)

THEN GUMV

Question 17

VEHICLE - “Employer shoulders a portion of the amount of the purchase price of a motor vehicle in the name of the employee”

Answer 17

Amount shouldered by the employer (100%)

Question 18

VEHICLE - Employer purchases the car on installment in the name of the employee

Answer 18

“Acquisition cost exclusive of interest divided

by 5 years (100%)”

Question 19

VEHICLE - Use of yacht, whether owned and maintained or leased by employer

Answer 19

“Depreciation of a yacht at an estimated

useful life of 20 years”

Question 20

Deminimis

Answer 20

• Relatively small values given to employee
• 90k ceiling w/in ceiling exempt
• kung hindi pa puno ang 90k ng 13th month and other benefit isama dito if puno na sa basci tax