CH7-MCTP2

1. D – Properties sold by a non-dealer are not subject to output tax

2. B – Sale of furniture will result in an output VAT
3. C–
4. C – sale of investment in stocks is not subject to output tax when sold by a
realty dealer
5. C – the output VAT on the installment sale of property may be reported in
installment if the ratio of initial payment do not exceed 25% of the selling
price.
6. C – consignment of goods when actual sale is made within 60 days is not
deemed sales transaction
7. C – distribution of property dividend by a VAT-taxpayer is subject to VAT
8. D – distribution of properties held for sale as dividends is subject to VAT
9. D – vacant lot not used in business is not subject to VAT in a foreclosure
sale
10. C – sale of the entire business is a deemed sale transaction
11. A – if the output VAT is erroneously billed, the amount shown in the
invoice is not exclusive of VAT
12. A – By revenue regulation, the VAT shall be displayed separately from the
selling price in the invoice
13. A – as a rule, only VAT taxpayer are subject to the 12% output tax
14. A – sale of silver to the BSP is subject to the 12% regular output tax
15. A – receipts from the transport of passengers by land is not subject to
regular output tax