[)arc i4

./ -e !{r. Cris Rosales an emplcyee cf Slaiza Manufacturing Corpar-at*oe

offered Eo reslgn to take advantage of the company's offer of voluntary,
tedundancy--prAgle4 to reduce overhead expenses. His separation pav is:
,
1,,,
' l'J -.,-,
,. a. subject to income tax because his separation from the employment was
'ii'
i{1i..'.r*,r" voluntary on his part in view of his offer to resign.
b.;oE--sunlect to income tax because his separation is due to
redundancy which is a cause beycrid his controL,
c. subject to both income tax and donor's tax because the separation
pay constitutes a gJ-ft from his employer.
d. not subject to any tax because separation due redundancy connotes
involuntariness on the part of the employee.
The foll.owlng frlnqe benel-lEs were glven by an cmployer ECI its
1,,. employces for the quarter endinq Mareh 31, 20L7t
Houelng beneflEs Eo supelvlsors aRd manaqers (repregentlnq
total rents) P34 0, 000
Rclmbursed expenses of. rank and file em Ieveee 200,00CI
De mlnlmis benefltc (psf, exe€edin the maximum) 100, 000
1,.\\.' .- z
the frlrrge beneflg tax Fayable for the quarter{'' -,rlC,w'ffrL' w-,k
,

How muefi was

a, ?3l1tfi6 e. p180,000 (ltl.,\z W'" : J5'it :. 1A;k
IkrZa
, 1". Tn'.
,-, 18. On January 15, 2077 , Christj-ne Company has a deposit account ,i1l{' :1 t"\_

\ Banco de Plata obtsained a loan from Audrey Einancing Corporation in

connection with the operation of its business. Christine Company's
taxable net income for the year 2O!1 -b_q!qlce- tne deduction of the
interest expe-gse - amountecl to g1-.-g-9,0;00n> For the year 2017 , the
interest income it derived from the said deposi't wi.th Banco de Plata
amounted to P180;g0fi on which a fj -ai iax of P35,000 had been
withheld. fts intierest -expqnse on the loan' obtained frorn. Audrey
Financing Corporation during the same year amounted to'P160,000/
\*_
How much is the tax\due for taxable year zAfi?
Ai fA"4-
r,r
;^{'i) /, a. P272,820 '.:Tfit l- i,u. c. P255,000
1,, *L tYi/}':f'
ro. One of tshe differences of Net, Opepating , Loss Carry Over from Net
rl Capital Loss carry over is: &rirra V,'-< i.'<i-:l!,-,
utff0\':"{,f,.-1t; t a. NOLCO is allowed to indivi<iubi taxpayels_enly.
,n i
h,r,xri ;i,r sl"lrfi b. NOLCO's carry over period is 33ga.1s elpgpt-t 1n the case of mines
a

other than oi1 and Eas wells which is J-;.gslb.

0,,1.r.,)..!f,
tt't1\ c. NOLCO is deductible from gross incomel'-
d. NOLCO started in the year 1998.
--1 20. On October 15, 2A\6, Cruz Corporation invested P300,000 in Samson
iJ corporation common shares. The following year, on Jury 15, 2016,
Samson Corporation common shares became worthless. How much was the
capital loss to be recognized by Cruz Corporaticn?
a. P300,000 c. P75,000
b. P150,000 d. None of the choices
o,, a.Which of the following statements is incorrec[?
For income tax purposes, the accounting period of a taxpayer is a
period of 12 months
b. Calendar year is a period of 12 mont-hs starting from January 1 and
ending on December 31.
c. Fiscal year is a period of 12 months ending on the last day of any
month other than December.
d. A taxpayer may not have a taxable period of less than 12 months.