TRANSFER TAX Flashcards
In the absence of a marriage settlement, or when the regime agreed upon was void, the property relations of the spouses who were married on or after August 3, 1988 would be:
Absolute community of property
Which of the following is exclusive property under the system of conjugal partnership of gains?
a. Property before marriage
b. Inheritance during marriage
c. Property acquired during marriage out of exclusive money
d. All of the above.
c. Fruits of property inherited during the marriage
A person who inherits specific personal property through a will
1 point
a. Devisee
b. Legatee
c. Heir
d. Successors
B. LEGATEE
Exclusive property of the wife is called?
1 point
a. Income
b. Capital
c. Paraphernal
d. equity
C. PARAPHERNAL
Exclusive property of the husband is called?
1 point
a. Income
b. Capital
c. Paraphernal
d. equity
B. CAPITAL
An act liberality whereby one disposes gratuitously a thing or right in favor of another who accepts it
1 point
a. Succession
b. Occupation
c. Donation
d. Tradition
C. DONATION
Donor tax is:
1 point
a. A property tax
b. A personal tax
c. A business tax
d. An excise tax
D. AN EXCISE TAX -
*** imposed on the act of passing the ownership of property at
the time of death and not on the value of the property or right.
The subject matter or object of transfer taxes is
1 point
a. Right to transmit
b. Decedent
c. Properties of the decedent
d. Beneficiaries
A. RIGHT TO TRANSMIT
The common characteristics of transfer taxes is that the transfer of property:
1 point
a. Is onerous
b. Takes effect during the lifetime of the transferor
c. Takes effect upon the death of the transferor
d. Is gratuitous
D. GRATUITOUS
The following are the requisites of a donation for purpose of the donor’s tax, except one.
1 point
a. Capacity of the donor
b. Capacity of the donee
c. Delivery of the subject matter of gift
d. Donative intent
b. Capacity of the donee
For the donation to be considered valid, accepted of the donation must be made:
1 point
a. During the lifetime of donor only
b. During the lifetime of the done only
c. During the lifetime of the donor and the donee
d. None of the choices
C. DURING THE LIFETIME OF THE DONOR AND THE DONEE
Which of the following is subject to donor’s tax?
a. Those made between persons who were guilty of adultery or concubinage at the time of the donation
b. Those made to conceived and unborn children
c. Those made to a public officer by reason of his office
d. Those made between husband and wife during their marriage
a. Those made between persons who were guilty of adultery or concubinage at the time of the donation
If the gift is made in properties, it shall be appraised at its:
1 point
a. Fair market value as of the time the donor’s tax return is filled
b. Fair market value as of the time of donation
c. Historical cost at the time the donated property was acquired
d. Value in the hands of the donor
b. Fair market value as of the time of donation
What is the difference between a donation inter vivos and a donation mortis causa?
a) A donation inter vivos is made during the donor’s lifetime, while a donation mortis causa is made after the donor’s death.
b) A donation inter vivos is subject to donor’s tax, while a donation mortis causa is subject to estate tax.
c) A donation inter vivos is made voluntarily, while a donation mortis causa is made by will.
d) All of the above
D. ALL OD THE ABOVE
What is the difference between a gift and an inheritance?
1 point
a) A gift is made during the donor’s lifetime, while an inheritance is received after the donor’s death.
b) A gift is subject to donor’s tax, while an inheritance is subject to estate tax.
c) A gift is made voluntarily, while an inheritance is received by right.
d) All of the above
D. ALL OF THE ABOVE
What is the purpose of the exemption for gifts to educational, charitable, religious, etc. organizations?
1 point
a) To encourage philanthropy
b) To reduce the tax burden on these organizations
c) To ensure that these organizations are properly funded
d) All of the above
D
What is the deadline for filing and paying the donor’s tax return?
1 point
a) Within one (1) year from the date of the gift
b) Within 30 days after the date the gift is made or completed
c) Within 60 days after the date the gift is made or completed
d) Within 90 days after the date the gift is made or completed
B. Within 30 days after the date the gift is made or completed
Which of the following is NOT considered a transfer subject to donor’s tax?
1 point
a) Direct gift
b) Gift through creation of a trust
c) Condonation of debt
d) Sale of real property at a price below fair market value
e) Inheritance
e) Inheritance
*** it is subject to ESTATE TAX
Which of the following is NOT an element of a taxable donation?
1 point
a) Capacity of the donor to transfer property
b) Donative intent
c) Delivery
d) Acceptance by the donee
e) Payment of donor’s tax
e) Payment of donor’s tax
What is the purpose of the “vanishing deduction” for estate tax?
1 point
a) To reduce the amount of estate tax payable.
b) To prevent double taxation on the same property.
c) To encourage charitable donations.
d) To simplify estate tax calculations
b) To prevent double taxation on the same property.
What is a codicil?
1 point
a) A legal document that revokes a will.
b) A supplement or addition to a will.
c) A legal document that appoints an executor or administrator.
d) A legal document that transfers ownership of property during the lifetime of the donor.
b) A supplement or addition to a will.
What is the deadline for filing an estate tax return under the TRAIN Law?
1 point
a) Within six months after death.
b) Within one year after death.
c) Within two years after death.
d) Within five years after death.
b) Within one year after death.
Estate tax is _______.
a. A property tax because it is imposed on the property transmitted by the decedent to his heirs.
b. An indirect tax because the burden of paying the tax is shifted on the executor or any of the heirs of the decedent
c. An excise tax because the object of which is the shifting of economic benefits and enjoyment of property from the dead to the living
d. A poll tax because it is also imposed on residents of the Philippines whether Filipino citizens or not
c. An excise tax because the object of which is the shifting of economic benefits and enjoyment of property from the dead to the living
The following are the elements of succession, except:
a. Decedent
b. Estate
c. Heir
d. Executor
Correct answer
d. Executor
To prevent undue avoidance of tax, inter-vivos disposition in contemplation of death is subject to
0/1
a. Donor’s tax
b. Estate tax
c. Income tax
d. Excise tax
Correct answer
b. Estate tax
The following are the requisites of a donation for purpose of the donor’s tax, except one.
a. Capacity of the donor
b. Capacity of the donee
c. Delivery of the subject matter of gift
d. Donative intent
Correct answer
b. Capacity of the donee
Which of the following is subject to donor’s tax?
0/1
a. Those made between persons who were guilty of adultery or concubinage at the time of the donation
b. Those made to conceived and unborn children
c. Those made to a public officer by reason of his office
d. Those made between husband and wife during their marriage
Correct answer
a. Those made between persons who were guilty of adultery or concubinage at the time of the donation
If the gift is made in properties, it shall be appraised at its:
0/1
a. Fair market value as of the time the donor’s tax return is filled
b. Fair market value as of the time of donation
c. Historical cost at the time the donated property was acquired
d. Value in the hands of the donor
Correct answer
b. Fair market value as of the time of donation
What is the purpose of the “Exemption/Deductions” in the donor’s tax computation?
0/1
a) To reduce the amount of the taxable gift
b) To increase the amount of the taxable gift
c) To determine the amount of the exemption
d) To ensure that the donor’s tax is paid in full
Correct answer
a) To reduce the amount of the taxable gift
What is the difference between a resident citizen and a non-resident alien for donor’s tax purposes?
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a) A resident citizen is subject to donor’s tax on gifts made within and outside the Philippines, while a non-resident alien is only subject to donor’s tax on gifts made within the Philippines.
b) A resident citizen is subject to a higher donor’s tax rate than a non-resident alien.
c) A resident citizen is required to file a donor’s tax return, while a non-resident alien is not.
d) There is no difference between a resident citizen and a non-resident alien for donor’s tax purposes.
Correct answer
a) A resident citizen is subject to donor’s tax on gifts made within and outside the Philippines, while a non-resident alien is only subject to donor’s tax on gifts made within the Philippines.
Which of the following is NOT considered a transfer subject to donor’s tax?
0/1
a) Direct gift
b) Gift through creation of a trust
c) Condonation of debt
d) Sale of real property at a price below fair market value
e) Inheritance
Correct answer
e) Inheritance
Which of the following is NOT an element of a taxable donation?
0/1
a) Capacity of the donor to transfer property
b) Donative intent
c) Delivery
d) Acceptance by the donee
e) Payment of donor’s tax
Correct answer
e) Payment of donor’s tax
