PRE FI: TAX

Question 1

• laying a tax through which the government generates income to defray it’s expenses
• a way to raise funds for the government programs and services that benefit Filipino citizens
• a process inherent in every state to exercise the power to exact a proportional enforced contribution on person, property or rights to raise revenue in order to defray the necessary expenses of the government

Answer 1

TAXATION

Question 2

NATURE OF TAXES

Answer 2

•-Taxes are enforced contributions
-Taxes are for the support of the government and all its public needs
–Taxes are proportional in character
-Taxes are levied by authority of the law
–Tax is the bloodline of a country (Lifeblood Doctrine)

Question 3

• mode of raising revenue for public purposes

Answer 3

TAXATION

Question 4

An enforced proportional contribution from person and property, levied by the state by virtue

Answer 4

TAX

Question 5

TYPES OF TAX

Answer 5

• NATIONAL TAX
• LOCAL TAX

Question 6

Types of tax
- entire country/nation
- are the ones paid to the government through the BUREAU OF INTERNAL REVENUE (BIR)

Answer 6

NATIONAL TAX

Question 7

Types of tax
- region,city, barangay

Answer 7

LOCAL TAX

Question 8

TYPES OF NATIONAL TAX
- a tax imposed on gains that may have been realized by a seller from the sale, exchange, or other disposition of assets located in the Philippines

Answer 8

CAPITAL GAINS TAX

Question 9

Two classification of properties ( CAPITAL GAINS TAX)
- day to day cap. of a business

ORDINARY ASSETS OR CAPITAL ASSETS

Answer 9

ORDINARY ASSETS

Question 10

Two classification of properties ( CAPITAL GAINS TAX)
- personal assets

ORDINARY ASSETS OR CAPITAL ASSETS

Answer 10

CAPITAL ASSETS

Question 11

TYPES OF NATIONAL TAX
- a tax on document, loan agreements and papers

Answer 11

DOCUMENTARY STAMP TAX

Question 12

TYPES OF NATIONAL TAX
- a tax on a donation or gift. It is also a tax imposed on the gratuitous transfer of property between two or more persons who are living at the time of the transfer.

Answer 12

DONOR TAX

Question 13

types of transfer
- exchange
- expect something to receive

Answer 13

ORNOUS TRANSFER

Question 14

Types of transfer
- gratitude (donation or gift)
- not expecting something to receive

Answer 14

GRATUITOUS TRANSFER

Question 15

TYPES OF NATIONAL TAX
- a tax on the right of the deceased person to transmit his/her estate to lawful heirs and beneficiaries at the time of death and on certain transfers which are made by law as testamentary disposition. It is not a tax on property.

Answer 15

ESTATE TAX

Question 16

TYPES OF NATIONAL TAX
- a tax on all annual profits made from property ownership, profession, trades or offices. It is also a tax on a person’s income, emoluments, profits and the like.

Answer 16

INCOME TAX

Question 17

Types of income tax
- salary of your work
- anything that you earn

Individual or corporate income tax

Answer 17

INDIVIDUAL INCOME TAX

Question 18

Types of income tax
- any type of business

Individual or corporate income tax

Answer 18

CORPORATE INCOME TAX

Question 19

TYPES OF NATIONAL TAX
- a business tax imposed on persons or entities who sell or lease goods, properties, in the course of trade or business whose sales or receipts do not exceed the amount required to register as VAT-registered taxpayers.

Answer 19

PERCENTAGE TAX

Question 20

TYPES OF NATIONAL TAX
- a business tax imposed and collected from the seller in the course of trade or business on every sale of properties (real or personal), lease of goods or properties (real or personal), or vendors of services.

Answer 20

VALUE-ADDED TAX (VAT)

Question 21

Types of NATIONAL TAX
- a tax imposed on goods manufactured or produced in the Philippines for domestic sale consumption or any other disposition

Answer 21

EXCISE TAX

Question 22

TYPES OF NATIONAL TAX
- a tax withheld from individuals receiving purely compensation income arising from an employer-employee relationship.

Answer 22

WITHHOLDING TAX ON COMPENSATION

Question 23

TYPES OF NATIONAL TAX
- is prescribed only for certain payors like those withheld on rental income and professional income.

Answer 23

EXPAND WITHHOLDING TAX

Question 24

TYPES OF NATIONAL TAX
- a kind of withholding tax which is prescribed only for certain payors and is not creditable against the income tax due of the payee for the taxable year.

Answer 24

FINAL WITHHOLDING TAX

Question 25

TYPES OF NATIONAL TAX
- is the withholding tax withheld by government offices including government-owned or -controlled corporations and local government units, before making any payments to private individuals, corporations, partnerships and/or associations

Answer 25

WITHHOLDING TAX ON GOVERNMENT MONEY PAYMENTS